Gap Inc. (GAP) Earnings: Q2 Fiscal 2026 Results and Next Report Date

The quarter ended August 1, 2026 and Gap Inc. published the results on August 27, 2026. Revenue and diluted EPS are shown against Q2 fiscal 2025, the same quarter a year earlier, which takes seasonal swings out of the comparison. Gap Inc. reports EPS two ways: GAAP, under the accounting rules every US filer follows, and adjusted, which leaves out items the company considers outside its operating results. The release reconciles the two, and when they diverge, the reconciliation says why.

• GAAP results include a $417 million reduction in cost of goods sold for the expected recovery of tariffs imposed under the International Emergency Economic Powers Act (IEEPA): about $512 million of refunds, less about $95 million committed to certain vendors. Gap Inc.'s adjusted figures exclude it. Gap Inc. reported no adjusted metrics in fiscal 2025, so the adjusted EPS has no year-ago comparison.
• Gap Inc.'s fiscal year ends on the Saturday closest to January 31. Q2 fiscal 2026 is the 13 weeks ended August 1, 2026.

Source: Gap Inc. Q2 fiscal 2026 results, August 27, 2026. Also in the Form 10-Q for the quarter ended August 1, 2026. Figures as reported; checked against the release on November 10, 2026.

How Gap Inc. splits revenue in its own release, under its own labels, for Q2 fiscal 2026 against Q2 fiscal 2025. Indented lines are parts of the line above them.

• Gap Inc.'s Old Navy Global revenue was $2.1 billion in Q2 fiscal 2026, down 4% from $2.1 billion in Q2 fiscal 2025, 56% of total revenue.
• Gap Inc.'s Gap Global revenue was $844 million in Q2 fiscal 2026, up 9% from $772 million in Q2 fiscal 2025, 23% of total revenue.
• Gap Inc.'s Banana Republic Global revenue was $478 million in Q2 fiscal 2026, up 1% from $475 million in Q2 fiscal 2025, 13% of total revenue.
• Gap Inc.'s Athleta Global revenue was $264 million in Q2 fiscal 2026, down 12% from $300 million in Q2 fiscal 2025, 7% of total revenue.
• Gap Inc.'s Other revenue was $4.0 million in Q2 fiscal 2026, down 86% from $28.0 million in Q2 fiscal 2025, under 1% of total revenue.

Segment lines are the figures writers cite most often, because they show where the growth in a quarter came from. Companies redraw their segments from time to time and restate the prior year to match, so a year-ago figure here can differ from the one printed a year ago. When that has happened, the note above says so.

From the earnings release

In its Q2 fiscal 2026 release, Gap Inc. said:

“On a reported basis, the Company now expects full year diluted earnings per share to be approximately $3.77 to $3.87.”

“The Company's updated full-year net sales outlook of up 1% to 1.5% now assumes Old Navy comparable sales of flat to down 1%, compared with the prior range of flat to up 1%, reflecting the brand's second-quarter performance.”

“Comparable sales at the Gap brand are now expected to grow in the high-single to low double-digit range, compared with prior expectations of up high-single digits, while expectations for the balance of the portfolio remain unchanged.”

“The Company's adjusted outlook excludes the impact of the refunds.”

Source: Gap Inc. Q2 fiscal 2026 release, Aug 27, 2026.

This is the company's own guidance as of Aug 27, 2026, quoted as given. Walnut does not make forecasts of its own. Analyst estimates for the coming quarters are on the GAP forecast page.

Revenue and diluted EPS for the last 5 quarters. Each date links to that quarter's release.

GAAP net sales and diluted EPS, each as first reported in that quarter's release.

Gap Inc.'s next report is scheduled for November 19, 2026. This page will show Q2 fiscal 2026 until those results are out and have been checked against the release.

Each quarter keeps its own page with the figures as reported, so a link to one stays pointed at the same numbers after the next report.

• Q2 fiscal 2026 (this page), reported Aug 27, 2026

Gap Inc. reported Q2 fiscal 2026 net sales of $3,651 million, down 2% from $3,725 million, with comparable sales down 1%. Old Navy is most of the business at $2,061 million, followed by Gap at $844 million, Banana Republic at $478 million and Athleta at $264 million. (Gap Inc. Q2 fiscal 2026 release, Aug 27, 2026)

The brands moved in different directions. Gap brand comparable sales rose 10%, which Gap Inc. tied to denim, fleece, and kids and baby. Old Navy comparable sales fell 4%, which Gap Inc. put down to expected pressure in the women's seasonal assortment and an unanticipated slowdown in traffic. Athleta comparable sales fell 12%, and Banana Republic's rose 3%. (Gap Inc. Q2 fiscal 2026 release, Aug 27, 2026)

Store sales fell 3% and online sales 1%; online was 35% of total net sales. Gap Inc. ended the quarter with nearly 3,500 store locations in about 35 countries, 2,471 of them company-operated, and its franchise partners ran about 1,000 franchise stores. The U.S. accounted for $3,223 million of net sales, Canada $286 million and other regions $142 million. (Gap Inc. Q2 fiscal 2026 release, Aug 27, 2026)

Each of the four brands also runs a private label and a co-branded credit card program through a third-party financing company, and Gap Inc. books its share of that revenue. In the first quarter of fiscal 2026 it rebranded its U.S. loyalty program as Encore. (Gap Inc. Form 10-K, fiscal 2025, Mar 17, 2026)

Gap Inc.'s GAAP diluted EPS of $1.38 was well above its adjusted EPS of $0.52 in Q2 fiscal 2026 because of the net IEEPA tariff recovery. Gap Inc. recorded a $417 million adjustment to cost of goods sold for it, made up of about $512 million of expected refunds less about $95 million committed to certain vendors, which added $0.86 a share. It received $95 million of refunds and $5 million of related interest in the quarter and expects the rest in the third quarter. (Gap Inc. Q2 fiscal 2026 release, Aug 27, 2026)

Reported gross margin was 52.8%, up 1,160 basis points, of which 1,140 basis points came from the tariff recovery. Excluding it, adjusted gross margin was 41.4%, up 20 basis points. Operating margin was 18.5% reported and 7.1% adjusted, on operating income of $676 million and $259 million. (Gap Inc. Q2 fiscal 2026 release, Aug 27, 2026)

Buybacks cut Gap Inc.'s diluted share count to 362 million from 379 million a year earlier. In the quarter it completed a $200 million accelerated share repurchase (8.3 million shares in total) and bought 9.3 million shares in the open market for $200 million, leaving $399 million under its authorization. It paid a quarterly dividend of $0.175 a share, up 6%. (Gap Inc. Q2 fiscal 2026 release, Aug 27, 2026)

Diluted EPS divides net income by the weighted average number of shares outstanding in the quarter, plus the shares that options and other equity awards could add. Buybacks shrink that count and lift EPS for the same profit; share issuance and stock awards enlarge it.

Gap Inc. gives a full-year and a next-quarter outlook in its release, mostly on an adjusted basis that excludes the tariff refunds. For fiscal 2026 it expects net sales up 1% to 1.5% (it had said 1% to 2%), adjusted operating margin of about 7.4% to 7.6% and adjusted diluted EPS of about $2.35 to $2.45, up from $2.30 to $2.40. On a reported basis it expects diluted EPS of about $3.77 to $3.87. (Gap Inc. Q2 fiscal 2026 release, Aug 27, 2026)

The lower sales range assumes Old Navy comparable sales of flat to down 1%, against a prior range of flat to up 1%, while Gap brand comparable sales are now expected to grow in the high-single to low double-digit range. For Q3 fiscal 2026 Gap Inc. expects net sales up 1.5% to 2.5% and gross margin up about 25 to 75 basis points from 42.4% a year earlier. (Gap Inc. Q2 fiscal 2026 release, Aug 27, 2026)

A consensus figure is the average of the models published by the analysts who cover Gap Inc., collected by a data provider and revised up to the day of the report. A quarter that lands above it says how expectations were set as much as how the business did, and the share price on the day also reflects the guidance and the lines no consensus covers.

The consensus figures on this page are Yahoo Finance's, as pulled on the date shown. Each comes with the number of analysts behind it; the smaller that number, the more one revised estimate can move the average.

The figures below are the ones Gap Inc.'s own release and filings put weight on for Q2 fiscal 2026, with the latest reported value for each.

What the quarter means for a holding is a separate question from what it reported. The case for and against owning GAP is on is GAP a buy or a sell?, what analysts expect next is on the GAP forecast, and what the company does is on the Gap Inc. (GAP) stock page.

Every number on this page can be traced to a document Gap Inc. published. Checking one takes a couple of minutes, and it is worth doing before you quote a figure anywhere.

• The results release is the document linked in the source line above. Companies publish it on their investor relations site at the moment results go out, and it carries the headline tables: revenue, operating income, net income and EPS for the quarter and the year-ago quarter.
• The same release is filed with the SEC as Exhibit 99.1 to a Form 8-K under Item 2.02, usually on the day of the report. The SEC copy does not change after the fact, which makes it the safer thing to link when you cite a number.
• The quarterly report (Form 10-Q) follows within a few weeks and carries the full financial statements, the segment note and management's discussion of what changed. The fourth quarter is covered by the annual report (Form 10-K) instead.
• Restated comparisons are flagged in the notes on this page. When a company redraws its segments or changes how it adjusts EPS, it restates the year-ago column, so the year-ago figure in a new release can differ from the one printed a year ago. This page always uses the comparison in the newer release, because that is the like-for-like one.

A walk-through of every line in a release, with what each one tells you, is in how to read an earnings report.