Gap’s key sales metric up 2pc in March

Gap Inc. reported a 2 percent increase in a key revenue metric for March as surging business at Old Navy offset sales declines at its namesake division and its Banana Republic stores.

The results, which were released after the regular markets closed on Thursday, beat estimates for a 0.6 percent increase in sales in stores open at least a year, according to Thompson Reuters. But the figure was compared to a 6 percent drop in the same year-ago period. Shares fell in after-hours trading.

Revenue from stores open at least a year is considered a key indicator of retail performance because it strips away the impact of recently opened or closed stores.