US: Wal-Mart Q2 profit edges up 1.3%
- Q2 net profit up 1.3% to US$4.1bn
- Net sales rise 2.4% to $116.2bn
- Apparel boosts “disappointing” US performance
World’s biggest retailer Wal-Mart Stores posted an underwhelming set of second quarter results, with US comparable store sales flat despite a slight overall profit increase.
The company downgraded its full-year sales and earnings forecasts, predicting net sales to rise 2-3% (versus its previous guidance of up 5-6%) and earnings per share of $5.10-5.30, down from $5.20-5.40 previously.
US sales rose 2.1% to $68.7bn, international revenues were up 2.9% to $32.96bn, and Sam’s Club sales increased 2.6% to $14.53bn, in the three months to 31 July.
Walmart US president and CEO Bill Simon singled out apparel for praise after the category recorded a low single-digit positive comp figure in the period, while apparel was also a plus for Sam’s Club.
Company president and CEO Mike Duke admitted that sales and US comps had fallen below expectations, but added: “While the retail environment was challenging across all of our markets, the Walmart US and Sam’s Club businesses improved comp sales from the first quarter, and the growth of International sales was consistent.
“I’m encouraged by our position to execute in the second half of the year, particularly with the steps we’re taking to improve performance.
“There are areas of our business where we can do a better job, and we will.”
In 2008, the US-based multinational company Wal-Mart Stores acquired the Chilean hypermarket, supermarket and retail company D&S, which already owned more than 250 stores across the country. Every yea...
Wal-Mart de México SAB de CV is the leading and most influential chained grocery retailer in Mexico. The company’s strategy is based on offering a wide range of products at affordable prices. Conseque...
Global Online Retail industry profile provides top-line qualitative and quantitative summary information including: market size (value 2008-12, and forecast to 2017). The profile also contains descrip...
Close to a year after the Rana Plaza disaster, progress on improving worker safety and labour rights in Bangladesh has been painfully slow - but who is responsible for the delays?...
Online Retail in the United States industry profile provides top-line qualitative and quantitative summary information including: market size (value 2008-12, and forecast to 2017). The profile also co...
- Why should brands care about China cotton?
- New Gap CEO set to tackle “aesthetic issue”
- Low labour cost countries linked to highest risks
- China cotton: implications and opportunities
- Falling euro adds to Bangladesh production woes
- M&S Asia head quits as China stores to close
- Gap names new design head amid mixed Q4
- JC Penney share price falls on Q4 loss
- Pay rise mulled for Sri Lanka garment workers
- US labour concerns at Honduras apparel makers
- Myanmar's Garment Sector - Opportunities & Challenges in 2015
- Apparel Retail: Top 5 Emerging Markets Industry Guide
- Outdoor performance apparel: peaks, valleys, and green fields
- Management briefing: Outlook 2015: Apparel industry issues in the year ahead
- Global market review of swimwear - forecasts to 2019