Leadership

Wal-Mart exceeds profit forecast for Q3

12.11.2009
The world’s largest retailer Wal-Mart has reported third-quarter profit which exceeded its guidance, although it noted it was operating in a “very challenging economy”.

Wal-Mart’s profit per share for the quarter grew to US$0.84, exceeding the company's forecast of US$0.78 to US$0.82.

Net sales at the retailer were up 1.1pc to US$98.67bn.

The group’s international division was its fastest-growing segment during the third quarter, with strong sales performances reported in the UK, Mexico and Brazil.

Including its Chilean acquisition, Wal-Mart’s international sales increased 12.1pc during the quarter to US$27.9bn, with operating income growing by 9.2pc.

“Increased productivity and improved inventory management led to a better customer experience and contributed to our strong financial performance,” said Wal-Mart president and chief executive officer Mike Duke.

“The sales environment continued to be difficult this quarter, but customer traffic is up throughout the company. We gained market share, especially in the US, the UK and Mexico,” he added.

“We are encouraged by both our traffic and market share gains across the company,” Duke said.

Asda posts 5.6pc rise in sales
Wal-Mart’s UK business Asda saw its third-quarter comparable sales, excluding VAT and fuel, rise 5.6pc and reported a rise in market share from 16.9pc to 17.3pc.

The supermarket also announced it aims to save customers £150m this Christmas, which it said will be the most aggressive on price in a decade.

Walmart serves customers more than 200 million times per week at over 8,159 retail units located in 15 countries.