Gap, Target same-store sales top estimates amid warmer weather

CARS sit parked in front of Target Corp. signage displayed outside of a store in Minneapolis, Minnesota
Posted 3/1/12

NEW YORK - Gap Inc. and Target Corp. posted February same-store sales that topped analysts’ estimates as unseasonably warm weather boosted purchases of spring merchandise.

Sales at Gap, the largest U.S. apparel chain, climbed 4 percent, beating the average projection for a 1.4 percent drop from analysts surveyed by Retail Metrics Inc. Target, the second-largest U.S. discount retailer, posted a 7 percent increase in same-store sales, topping the 5 percent estimate.

Warmer weather helped retailers who aggressively rolled out new products, Eric Beder, an analyst at Brean Murray Carret & Co. in New York, said in a report before results were announced. December and January were the warmest in six years, with mild temperatures continuing into February, according to Planalytics, a weather data provider.

“Warm weather could have led to a fairly stellar February,” Joel Bines, head of retail practice at AlixPartners in Dallas, said in a telephone interview before the results. “All indications point to a strong Valentine’s Day and the retail world benefiting from pent-up demand.”

Gap, based in San Francisco, rose 10 percent to $25.70 at 8:12 a.m. in in New York. Minneapolis-based Target climbed 1.3 percent to $57.45.

Same-store sales for the more than 20 companies tracked by Swampscott, Mass.-based researcher Retail Metrics were estimated to rise 3.5 percent. Full results will be available later today.

Most chains count locations open at least a year to tabulate same-store sales. The revenue is as key indicator of a retailer’s growth because new and closed sites are excluded.

PBN Hosted

Join PBN for the best networking event and party of the winter - January 15, 2015 - the Book of Lists Party at the Providence Public Library. Reserve your spot by December 31st and get a holiday gift from PBN!
  • Best Places to Work
    Enrollment is now open for the 7th annual Best Places to Work program. Winners w ...
  • Manufacturing Awards
    Applications are now being accepted for the 2nd Annual Manufacturing Awards. Dea ...
Purchase Data
Book of Lists
Book of Lists cover
PBN's annual Book of Lists has been an essential resource for the local business community for almost 30 years. The Book of Lists features a wealth of company rankings from a variety of fields and industries, including banking, health care, real estate, law, hospitality, education, not-for-profits, technology and many more.
Data icons
Data can be purchased as single lists, in either Excel or PDF format; the entire database of the published book, in Excel format; or a printed copy of the Book of Lists.
  • Purchase an e-File of a single list
  • Purchase an e-File of the entire Book of Lists database
  • Purchase a printed copy of the Book of Lists
    Latest News