Walmart, Inc. (NYSE: WMT) Stock
Walmart shares moved slightly higher after the company announced upbeat third-quarter profit before the opening bell on Thursday. The Dow component also revised its 2018 profit outlook upward, motivated by powerful e-commerce and store sales.
Arkansas-based Walmart has reinvented itself through a strong online presence and acquisitions, even as things continue to get worse for other retail giants like Kohl’s and J.C. Penney.
The latest results are proof that the company is doing well as it continues to counter Amazon dominance.
WMT Earnings & Outlook
The company walked away with a profit of $1.71 billion, or $0.58 per share during the quarter, down 2.2% from the same three months a year ago. Excluding one-time items, Walmart posted adjusted earnings of $1.08 per share, surpassing analyst estimates by 7 cents.
Net revenue grew 1.4% to $124.9 billion, compared with $123.18 billion in the year-ago quarter. The big-box retailer attributed the slow revenue growth to currency translations and lower overseas sales. Analysts had called for net revenue of $125.55 billion, according to figures compiled by Refinitiv.
Same-store sales increased by 3.4%, ahead of Wall Street expectations of 2.9%. Sales in the U.S were boosted by increased demand for apparel, fresh foods, and other categories. Walmart also said toy sales have climbed by nearly 40% this fall since the exit of Toys R Us.
For the current fiscal year ending in January, the company expects adjusted earnings to be in the range of $4.75 to $4.85 per share, compared with its previous guidance of $4.65 to $4.80 adjusted EPS.
“We have momentum in the business as we execute our plan and benefit from a favorable economic environment in the U.S. We’re accelerating innovation and utilizing technology to shape the future of retail. We’re making shopping at Walmart faster and easier,” Walmart President and CEO Doug McMillon said in a press release.
Our associates are equipped with the tools to serve customers better than even before, and they’re doing a great job. With the holidays approaching, customers can count on Walmart to save them money, and we’ll also provide busy families with another important gift – time back in their day.”
Walmart, Inc. engages in retail and wholesale business. It operates through the following business segments: Walmart U.S., Walmart International, and Sam’s Club. The Walmart U.S. segment operates as a merchandiser of consumer products, operating under the Walmart, Wal-Mart, and Walmart Neighborhood Market brands, as well as walmart.com and other eCommerce brands.
The Walmart International segment manages supercenters, supermarkets, hypermarkets, warehouse clubs, and cash & carry. The Sam’s Club segment comprises membership-only warehouse clubs and samsclubs.com. The company was founded by Samuel Moore Walton and James Lawrence Walton on July 2, 1962 and is headquartered in Bentonville, AR. – CNN Money