Retail giant Walmart Stores net sales up in first quarter

18 May 2012 (Last Updated May 18th, 2012 09:08)

US-based major retailer Walmart Stores has posted an 8.6% increase in net sales to $112.3bn in the first quarter of fiscal 2013, compared to $103.4bn in the same period of previous fiscal year.

Walmart Stores

US-based major retailer Walmart Stores has posted an 8.6% increase in net sales to $112.3bn in the first quarter of fiscal 2013, compared to $103.4bn in the same period of previous fiscal year.

Net sales in the first quarter included acquisitions of $1.9bn and negative currency exchange rate fluctuations of nearly $800m.

The retail giant said Brazil, Mexico and the UK had the strongest overall sales growth during the reporting quarter.

Net sales for Sam's Club, excluding fuel, rose 7.1% to $12.1bn in the first quarter from the same period of last year, while Sam's membership income grew 2% over last year.

Consolidated operating income, which includes unallocated corporate overhead, advanced 8.3% to $6.4bn in the first quarter over the same period previous year.

Excluding the $50m of net pre-tax items realized in last year's first quarter, consolidated operating income rose 9.2%.

Walmart US operating income climbed 8.1% for the quarter, due primarily to higher sales, aided by the firm's price investment strategy, continued focus on productivity and expense management.

Walmart International unit recorded operating income of $1.3bn in the first quarter at constant currency basis, including a negative impact from currency exchange rate fluctuations of $50m.

Sam's Club operating income during the first quarter increased 7.7% and the impact of fuel was minimal.

Income from continuing operations attributable to Walmart totalled $3.7bn, up 9.2% from the first quarter of previous year.

Membership and other income increased 3.2%, excluding $51m from the sale of an investment owned by Walmart Chile during the previous year's same quarter.

In the 13-week period ended April 27, 2012, both traffic and ticket rose for Walmart US and all merchandise units delivered comparable sales growth except entertainment, which continues to experience price deflation.

Comparable traffic and ticket, excluding fuel, increased for both Business and Advantage members of Sam's Club in the 13-week period.

Walmart claims to serve customers and members more than 200 million times per week at 10,231 retail outlets under 69 different banners in 27 countries.

The retailer, which had sales of $444bn in fiscal 2012, employs more than 2 million associates worldwide.

Image: Walmart Stores net sales up 8.6% to $112.3bn, while Sam's Club net sales increased 7.1% to $12.1bn in the first quarter of fiscal 2013. Photo: Walmart Stores