Walmart posts $103.4 billion in first-quarter sales

Walmart reported first-quarter earnings that were above the company's guidance, reflecting stability and strength in global operations, according to Mike Duke, president and CEO.

Walmart's net income was $3.4 billion, compared with net income of $3.3 billion in the prior-year quarter.

Walmart reported net sales for the first quarter of $103.4 billion, an increase of 4.4% from $99.1 billion in the first quarter last year. Net sales for the quarter included a currency exchange rate benefit of $1.3 billion.

Achieving positive same-store sales remains a challenge at Walmart U.S., as this division reported a 1.1% decline due to a decline in traffic. Though this was within the company's guidance range; Duke said there is room for improvement.

"We recognize we still have work to do. and comp-sales growth remains the greatest priority for me and the entire Walmart U.S. team. The good news is that the plan Bill Simon and his team are executing is gaining traction. We're focused on delivering everyday low price and a wide assortment," Duke said.

The company said it expects U.S. same-store sales for the second quarter to range from down 1% to up 1%.

Walmart had more success with its Sam's Club division, which reported that comparable sales, without fuel, increased 4.2% for the same period, which was 120 basis points above guidance. The company is expecting Sam's Club's comp sales, without fuel, for the second quarter to increase between 3% and 5%.

"Our second quarter is under way, and we expect our strong sales momentum to continue across grocery, home and apparel," said Brian Cornell, Sam's Club president and CEO.


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