Walmart reported a jump in first-quarter profits, due in part to a strong performance at US stores (NICHOLAS KAMM)
New York (AFP) – Walmart reported a jump in first-quarter earnings Thursday on higher US store sales and eCommerce growth following heavy investment in new “omnichannel” retail ventures.
The world’s biggest retailer reported profits of $3.8 billion.
That’s an increase of 80 percent from the year-ago period when results were dented by a one-time earnings hit following US tax reform.
Revenues climbed one percent to $123.9 billion.
Comparable sales at US stores — a key retail-sector benchmark closely-watched by Wall Street — jumped 3.4 percent, marking the company’s best performance in nine years, the company said.
Chief Executive Doug McMillon highlighted the strong US figures, which come as the company ramps up programs to allow customers to pick up groceries that are ordered online and provide more direct delivery of goods.
New ventures include voice-ordering for grocery and free next-day delivery of frequently purchased items for orders of $35 or more in the US.
“We’re embracing new processes and technologies with the goal of serving our customers even better,” McMillon said.
Retailers have been unnerved by President Donald Trump’s moves to hike tariffs on imported goods as part of a trade deal negotiation, particularly the White House’s latest threat to enact tariffs on nearly all goods from China.
“We’re monitoring the tariff discussions and are hopeful that an agreement can be reached,” said chief financial officer Brett Biggs
Shares rose 1.3 percent to $101.20 in pre-market trading.
Disclaimer: Validity of the above story is for 7 Days from original date of publishing. Source: AFP.