However, its forward guidance signaled potential economic uncertainty, sending shares down nearly 3% before the market open on Thursday, News.Az reports, citing AP.
For the quarter ended Jan. 31, Walmart posted earnings of $4.24 billion, or 53 cents per share. Adjusted earnings came in at 74 cents per share, slightly above Wall Street expectations, according to FactSet. A year earlier, the retailer earned $5.25 billion, or 65 cents per share.
Revenue rose 5.6% to $190.7 billion, topping forecasts. Comparable sales, including online transactions, increased 4.6%, following a 4.5% gain in the previous quarter. Global e-commerce sales jumped 24%.
The earnings mark the first quarterly report under new chief executive John Furner, who recently succeeded Doug McMillon. Under McMillon’s leadership since 2014, Walmart expanded its digital capabilities and delivered strong sales growth.
Walmart shares have climbed more than 25% since its last earnings release, and earlier this month the company became the first non-technology firm to surpass a $1 trillion market valuation.
With inflation prompting many Americans to be more selective in their spending, Walmart’s performance is often seen as a gauge of consumer health. The company says more than 150 million customers visit its stores or website each week.
Although inflation has eased, prices remain roughly 25% higher than five years ago. Economists warn that rising U.S. tariffs could push more companies to pass higher costs on to consumers.
Walmart said its lower-price positioning has helped it capture more affluent shoppers, with the largest market share gains coming from households earning over $100,000 annually. The retailer has managed rising expenses by adjusting product offerings and absorbing some added costs.
Looking ahead, Walmart expects first-quarter sales growth of 3.5% to 4.5% and earnings per share between 63 and 65 cents — slightly below analysts’ expectations of 68 cents. For the full year, the company forecasts revenue of $706.4 billion and earnings per share of $2.64, compared with Wall Street projections of $712.6 billion in sales and the same earnings estimate.
