The Gap, Inc. (GAP)
Pretax margin
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 556,000 | -139,000 | 323,000 | -1,102,000 | 528,000 |
| Revenue | US$ in thousands | 14,889,000 | 15,616,000 | 16,670,000 | 13,800,000 | 16,383,000 |
| Pretax margin | 3.73% | -0.89% | 1.94% | -7.99% | 3.22% |
February 3, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $556,000K ÷ $14,889,000K
= 3.73%
The pretax margin of The Gap, Inc. has fluctuated over the past five years. In the most recent fiscal year ending on February 3, 2024, the pretax margin stood at 3.73%, indicating that the company generated $3.73 in pretax profit for every $100 in revenue. This represents an improvement compared to the previous year, which had a pretax margin of -0.89%, signifying a loss before taxes.
Looking back further, in the fiscal year ending on January 29, 2022, The Gap, Inc. had a pretax margin of 1.94%, showing a moderate level of profitability. However, in the fiscal year ending on January 30, 2021, the pretax margin was notably negative at -7.99%, suggesting significant operating challenges or unusual expenses during that period.
In contrast, the fiscal year ending on February 1, 2020, saw a more favorable pretax margin of 3.22%, indicating solid profitability relative to revenue. Overall, the trend in pretax margin for The Gap, Inc. reflects variability in the company's financial performance over the analyzed period.
Peer comparison
Feb 3, 2024