Customers exit a Walmart store on January 24, 2023 in Miami, Florida. Walmart announced that it is raising its minimum wage for store employees in early March, store employees will make between $14 and $19 an hour.
Joe Raedle | Getty Images News | Getty Images
Walmart on Tuesday topped holiday-quarter earnings expectations, as the discounter said it drew budget-conscious shoppers searching for food, gifts and household items at a lower price.
Here’s what the company reported for the fiscal fourth quarter that ended Jan. 31, according to Refinitiv consensus estimates:
- Earnings per share: $1.71, adjusted vs. $1.51 expected
- Revenue: $164.05 billion vs. $159.72 billion expected
The big-box retailer said it expects same-store sales for Walmart U.S. to rise by between 2% and 2.5% excluding fuel, in the fiscal year ahead. It said it expects adjusted earnings per share to range from $5.90 to $6.05, excluding fuel. Shares of the company fell about 4% premarket.
In a call with CNBC, Walmart’s CFO John David Rainey said grocery prices still remain elevated, which is causing shoppers to buy fewer discretionary items.
“The consumer is still very pressured,” he said. “And if you look at economic indicators, balance sheets are running thinner and savings rates are declining relative to previous periods. And so that’s why we take a pretty cautious outlook on the rest of the year.”
Walmart reported a net income of $ 6.28 billion, or $2.32, up from $3.56 billion, or $1.28, a year earlier.
Same-store sales for Walmart U.S. rose 8.3%, excluding fuel. The key industry metric that includes sales from stores and clubs open for at least a year. E-commerce sales jumped by 17% year over year for Walmart U.S.
The company is not only the nation’s largest retailer. It’s also a grocery powerhouse, a factor that has steadied sales and driven foot traffic as Americans watch the budget because of high inflation.
Walmart’s reputation for value has helped the retailer – as has its large grocery…
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