Dive Brief:

• The Gap Inc. announced January same-store sales grew 1% , handily beating an expected dip of 1.3%. Fourth quarter net sales were $4.58 billion, compared to last year’s $4.73 billion. Last year the quarter was a week longer.

• The retailer has seen its fortunes rise and fall, but revenues have not really been growing for a decade.

• A year ago, Danish branding expert Rebekka Bay joined The Gap and its recent merchandise has been well-received so far by fashion experts.

Dive Insight:

After years of stumbling through over-expansion and faltering design strategies, San Francisco-based The Gap Inc. appears to be sailing smoother waters. In addition to cleaning up structurally and financially, the retailer a year ago hired Danish Branding expert Rebekka Bay to shape up its merchandise. Fashion observers like what they see so far. But it’s still the early days, and, of course, the retailer’s ultimate success will be determined by its customers.