Wal-Mart Stores raised its full-year earnings per share guidance today (16 November) on the back of a US$191m tax gain in the third quarter and expectations for a solid underlying operational performance in the fourth quarter.
The world’s largest retailer increased its full-year EPS guidance to between $4.08 and $4.12 a share compared to the previous range of $3.95 to $4.05 per share.
“The full-year increase in our EPS guidance reflects the tax benefit from the third quarter, and our expectations for solid underlying operational performance by our segments in the fourth quarter,” said CFO Tom Schoewe.
For the third quarter ended 31 October, net income from continuing operations was up 9% to $3.4bn, while net sales were up 2.6% to $101.2bn.
The company’s US performance remained weak, with Wal-Mart US sales falling 0.1% to $62.2bn, while sales in its Sam’s Club division grew 2.7% to $12.1bn. Like-for-like sales in its US division, excluding fuel and including Sam’s Club, fell 0.7%.
Its international division continued to drive growth, with sales up 9.3% to $26.9bn.
“The company added almost 10m square feet of retail space this quarter, with 37% of the square footage growth in Walmart International. International net sales grew more than 9 percent this quarter compared to last year’s third quarter,” said CEO Mike Duke.
Click here for the company’s full earnings statement. Please check back later for further insight into the results.