GAP INCGAP

GAP INC Segments Disclosure

10-KFiled Mar 17, 20262 min read
Segment Information
We identify our operating segments according to how our business activities are managed and evaluated. As of January 31, 2026, our operating segments included: Old Navy Global, Gap Global, Banana Republic Global, and Athleta Global. Each of our brands serves customer demand through our store and franchise channel and our online channel, leveraging our omni-channel capabilities that allow customers to shop seamlessly across all of our brands. Additionally, our products, suppliers, customers, methods of distribution, and regulatory environment are similar across our brands. We have determined that each of our operating segments share similar qualitative and economic characteristics, and therefore the results of our operating segments are aggregated into one reportable segment as of January 31, 2026. We continually monitor and review our segment reporting structure in accordance with authoritative guidance to determine whether any changes have occurred that would impact our reportable segments.
Gap Inc.’s chief operating decision maker ("CODM") is our President and Chief Executive Officer. The CODM reviews measures of segment profit by comparing budgeted versus actual and forecasted results for purposes of assessing performance, allocating resources, and making decisions. The measure of segment assets is reported on the Consolidated Balance Sheets in total.
The following table presents information for segment profit and significant expenses:
Fiscal Year
($ in millions)202520242023
Net sales
$15,366 $15,086 $14,889 
Cost of goods sold
7,232 6,984 7,202 
Occupancy expenses (1)
1,866 1,875 1,912 
Operating expenses (2)
5,153 5,115 5,215 
Operating income
$1,115 $1,112 $560 
__________
(1)Occupancy expenses include lease and other occupancy related cost, depreciation, and amortization related to our store operations, distribution centers, information technology, and certain corporate functions.
(2)Operating expenses primarily include payroll and benefits expenses, advertising expenses, information technology expenses and maintenance costs, and other administrative expenses.
Long-lived assets, excluding long-term deferred tax assets, by geographic location are as follows: 
($ in millions)January 31,
2026		February 1,
2025
U.S. (1)$5,858 $5,700 
Other regions665 582 
Total long-lived assets$6,523 $6,282 
__________
(1)U.S. includes the United States and Puerto Rico.
See Note 3 of Notes to Consolidated Financial Statements for disaggregation of revenue by channel and by brand and region.

Historical Timeline

Fiscal YearFiled
2026Mar 17, 2026Showing above
2025Mar 18, 2025
2024Mar 19, 2024
2023Mar 14, 2023
2022Mar 15, 2022
2021Mar 16, 2021

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.

Other Available Disclosures

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