Gap shares rise 12% after naming new Old Navy CEO

Gap Inc. announced on Thursday that it has appointed a new chief executive officer for its Old Navy division, following the brand’s report of a decline in comparable sales for the most recent quarter. The appointment comes as the retailer seeks to reverse a downward trend in sales that has persisted for several periods, with the quarter’s comparable sales falling by 1.6 % year‑over‑year.

The new CEO, whose name was not disclosed in the brief statement, is expected to lead a restructuring of Old Navy’s merchandising and marketing strategies. Gap’s corporate leadership highlighted the need to strengthen the brand’s online presence and streamline its product mix, while maintaining the discount‑value proposition that has historically driven Old Navy’s performance. The company will monitor the impact of the leadership change on sales momentum in the coming quarters.