Walmart Inc. (NYSE: WMT) reported its second-quarter earnings results on Tuesday, before the market opened. For the quarter, closely-followed same-store sales came in at 5.2%, compared to forecasts of growth of 3.12%. On a two-year stack, the U.S. comp sales grew 14.5%.
- Adjusted EPS: $1.78 v. $1.57 estimate
- Revenue: $141 billion v. $136.78 billion
- Walmart U.S. comp-store sales (excluding gas): 5.2% v. 3.12% estimate
- Walmart U.S. e-commerce sales: 6%
Walmart noted that the better-than-expected comp sales reflect “strong underlying business trends, a robust U.S. economy and stimulus spending.” The retailer added that comp sales gains increased each month in the quarter, with the strongest sales posted in July.
Walmart, the biggest retailer in the U.S., posted its last earnings on May 16. For the first quarter, the company reported total revenue of $138.3 billion, an increase of $3.7 billion, or 2.7%. Walmart U.S. eCommerce sales reported growth of 37% with solid results across all channels. Net sales at Walmart International fetched $27.3 billion, a decline of 8.3%.
“This was a strong quarter. Every segment performed well, and we’re encouraged by traffic and grocery market share trends. Our optimism is higher than it was at the beginning of the year. We have a strong position as our store environment improves and eCommerce continues to grow. We anticipate continued pent-up demand throughout 2021,” said Doug McMillon, President and CEO of, Walmart in the Q1 F.Y. 2022 earnings results report.
The company clocked total revenue of $141.7 billion for the fourth quarter, an increase of $2.9 billion, or 2.1 %, versus the corresponding period 2019. Net sales at Walmart International came at $33.0 billion, an increase of 2.3%. For the fiscal year 2020, the retail giant posted total revenue of $524.0 billion, increasing $9.6 billion, or 1.9%. While Walmart U.S. comp sales surged 2.8% and 6.4% on a two-year stacked basis. Sales in Walmart U.S. eCommerce rose 37%, respectively.
In its 2021 full-year guidance report, the company expects Walmart U.S. eCommerce net sales to grow by 30%. The Walmart International net sales growth is expected to grow 4% in constant currency. The guidance states that EPS is estimated to be $5.00 to $5.15, up 1.5% to 4.5% compared with FY20 adjusted EPS. For FY22, the company predicts the Walmart International net sales to decline 20-25% in constant currency due to divestitures.
Founded in 1962, Walmart is an American multinational retail corporation that operates a chain of hypermarkets, discount department stores, and grocery stores from the United States. It has its headquarters in Bentonville, Arkansas. The first Walmart store opened in 1962 in Rogers, Arkansas. According to the company website, approximately 220 million customers and members visit about 10,500 stores and clubs under 48 banners in 24 countries and eCommerce websites each week. Walmart employs over 2.3 million associates worldwide.
Walmart is seeking a digital currency and cryptocurrency product lead. According to the listing for the role mentioned on the retailers’ careers page, the person will develop the digital currency strategy and product roadmap. Two years ago, Walmart had applied for a patent on price-stable crypto similar to Facebook’s nascent project, then called Libra. The company had also experimented with distributed ledger technology for non-financial uses, such as tracking drugs and food in their supply chain.
Walmart also has announced to offer warehouse employees bonuses, and temporary pay raises ahead of its peak holiday season. Walmart has over 1.6 million workers making it the biggest employer in the U.S.