Walmart reports strong holiday growth, but earnings outlook falls short of estimates
It marks the first earnings report since new Walmart CEO John Furner took over in early February.
TL;DR
- Walmart's holiday-quarter sales rose nearly 6%, exceeding expectations.
- E-commerce, advertising, and third-party marketplace boosted business.
- Full-year earnings outlook of $2.75-$2.85 per share missed Wall Street's $2.96 expectation.
- Speedy deliveries from stores are attracting more shoppers, including higher-income households.
- Inflation in the U.S. was just above 1% in the fourth quarter.
- U.S. comparable sales increased 4.6%, and Sam's Club comparable sales rose 4%.
- U.S. e-commerce sales grew 27%, accounting for a record 23% of total sales.
- Walmart announced a new $30 billion share repurchase authorization.