Gap Inc Beats On Earnings Despite Currency Headwinds And Port Delays, But Issues Weak Guidance

The company?s underlying performance is clearer when we exclude the impact of currency fluctuations. For the fourth quarter of 2014, while the retailer?s earnings per share improved 10% year over year on a reported basis, it increased 20% on a constant currency basis. For the full year, these figures were at 5% and 10% respectively. Strengthening dollar has troubled a number of retailers who have their operations spread out globally and Gap Inc is the latest addition to this list.