Aug 29 (Reuters) - Apparel retailer Gap on

Thursday posted a 5% jump in its second-quarter sales on robust

demand for its Old Navy and namesake brands, in a surprise early

announcement.

The company has been attempting to turn around its business

by bringing in fresher styles and keeping a tight leash on

costs.

Net sales at Old Navy were up 8% over the year earlier,

while the Gap banner saw 1% growth.

The retailer reaffirmed its net sales and operating expense

outlook for fiscal 2024 and increased its gross margin

expectations.

Gap now expects annual gross margin to expand by about 200

basis points, compared with its prior forecast of at least a

150-basis-point increase.

The company, which was scheduled to report results after

markets close on Thursday, posted net sales of $3.72 billion for

the quarter ended Aug. 3, compared with $3.55 billion a year

earlier.

Shared of Gap were up about 3%, after being briefly halted.