Gap Inc. Named Michael Francis Old Navy CEO
The veteran executive will take the helm of the brand on November 2 as it works to reverse declining store traffic.
Updated on Oct. 6, 2026 in Retail
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Gap Inc. has appointed Michael Francis as the new CEO of its Old Navy brand, succeeding Haio Barbeito. The leadership change comes as the company seeks to stabilize the division, which accounts for nearly 60 percent of its total revenue.
Why it matters
Old Navy has struggled with declining customer traffic and marketing campaigns that lacked clear product messaging. A leadership refresh aims to revitalize the brand's performance after comparable sales fell 4 percent year-over-year.
Old Navy reported $2.1 billion in net sales for the fiscal second quarter, representing nearly 60 percent of Gap Inc.'s $3.65 billion in total quarterly revenue. Gap Inc. overall net income for the period was $501 million.
The players
Michael Francis
He is an incoming executive set to lead Old Navy following his tenure as the company's chief customer officer.
Haio Barbeito
He has served as the leader of the Old Navy brand since 2022 and will transition to an advisory capacity.
Gap Inc.
It is a major American clothing retailer that operates several global apparel brands, including Old Navy, Athleta, and Banana Republic.
The details
Michael Francis, who joined the company as chief customer officer in May, will take over the top spot from Haio Barbeito, who is transitioning to an advisory role. Gap Inc. saw shares jump 12 percent in extended trading following the announcement of the management shakeup.
Timeline
Haio Barbeito has led the brand since 2022.
Michael Francis joined Old Navy in May 2026.
The fiscal second quarter ended on August 1, 2026.
Gap announced the leadership change on October 6, 2026.
Francis assumes the CEO role on November 2, 2026.
Market Landscape
This leadership change follows the pattern of large retail conglomerates delegating autonomous control to turnaround experts when a core division underperforms. As Old Navy contributes the majority of revenue, the company is prioritizing its recovery to compete against faster-moving value retailers.
Average shoppers may see changes in marketing messaging and product focus at Old Navy stores as the new leadership implements its turnaround strategy. These adjustments are aimed at reversing recent traffic declines and could influence future promotions and product availability.
The takeaway
Management changes in major retail divisions often serve as a bellwether for shifts in marketing strategy and inventory management. Investors and customers should look for clearer product messaging as the new leadership team attempts to improve the brand's competitive position.
Further reading
For broader insights into current industry shifts, explore the Retail sector page.
Source note: This article includes information reported by RocketNews.
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