Gap Inc. has announced the appointment of Michael Francis as President and Chief Executive Officer of Old Navy, effective November 2, 2026. Francis will succeed Haio Barbeito, who will transition from his operating role into an advisory capacity.
Gap’s latest transformation comes as the retailer aims to boost its sluggish sales.
“Old Navy is poised for its next chapter of growth, and Michael is uniquely equipped to step into this operating role,” said Richard Dickson, President and Chief Executive Officer of Gap Inc. “Michael is one of the most respected commercial, brand and customer leaders in retail. His experience building iconic brands, cultivating customer connections, and driving transformation at scale will help Old Navy strengthen its relevance, accelerate growth, and deliver even greater value for customers.”
In his new role, Francis and the Old Navy team will continue to build upon the transformation already underway. His focus will include strengthening the brand’s storytelling across commercial and marketing channels, enhancing the omni-channel customer experience, elevating in-store experiences, and deepening Old Navy’s connection with the families it serves.
Gap CEO Richard Dickson told reporters the leadership reshuffle was “a planned and thoughtful transition”.
“We’ve been working — from fixing fundamentals to building momentum and ultimately looking to accelerate growth, and so there’s not a change in strategy,” Dickson said in an interview. “We’re just going to continue to execute better, continuously improve our core business, while we drive some accelerators that we’re really excited about.”
The company also reported its Q2 results, with Old Navy posting net sales of $2.1 billion — down 4% year over year. Comparable sales were down 4%, compared with comparable sales growth of 2% during the same period last year.
“While top-line results in the second quarter were modestly below expectations, continued operational and financial rigor contributed to gross margin strength resulting in the Company exceeding profit expectations,” CEO Dickson told investors.
For the full fiscal year, Gap narrowed its net sales growth outlook from 1% to 2% to 1% to 1.5% due to the lag at Old Navy. Still, the company hiked its expectations for adjusted earnings per share from $2.30 to $2.40 for the full year to $2.35 to $2.45.
Gap shares rose 12% following the announcements.
By CEO NA Editorial Staff
