Gap Inc. said Thursday its revenue at stores open at least a year fell 2 percent in September, dragged down by Old Navy stores.
Analysts polled by Thomson Reuters expected flat same store revenue following a decline of 1 percent a year earlier at the San Francisco-based retailer.
Same-store revenue is a key metric because it measures sales at established stores while excluding sales at newly opened ones.
Same-store revenue at Gap stores fell 1 percent in September, compared with an 8 percent drop last year. Banana Republic same-store revenue was flat, compared with a 12 percent decline last year. But sales at Old Navy stores failed to improve, dropping 5 percent in September compared with growth of 13 percent last year.
Total sales in October rose 1 percent to $1.34 billion. So far this year, net sales are up 3 percent to $9.12 billion.