Walmart shines ✨ in holiday sales, surpassing expectations! They're also grabbing TV maker Vizio for $2.3 billion. Despite rising prices, Walmart's holding strong 💪 compared to other stores.
Walmart shines ✨ in holiday sales, surpassing expectations! They're also grabbing TV maker Vizio for $2.3 billion. Despite rising prices, Walmart's holding strong 💪 compared to other stores.
Walmart's Winning Streak Continues! 🎉
Walmart reported a 6% increase in quarterly revenue, with shoppers flocking to the retail giant during the holiday season. Their e-commerce sales also saw double-digit growth globally. Adding to the excitement, Walmart announced plans to acquire Vizio, a smart TV maker, for $2.3 billion.
In an interview, CFO John David Rainey highlighted that customers are being selective with purchases, opting for frequent shopping trips but with fewer items per basket. Electronics and other pricey items faced some challenges in sales, but Walmart still saw strong performance post-holidays.
Here's how Walmart's performance compared to Wall Street expectations:
- Earnings per share: Beat expectations at $1.80 adjusted vs. $1.65 expected
- Revenue: Surpassed forecasts at $173.39 billion vs. $170.71 billion expected
Walmart shares surged 5% in early trading following the positive news.
While net income dipped slightly to $5.49 billion, revenue saw a significant boost from $164.05 billion in the same period last year.
Looking ahead, Walmart anticipates a 4% to 5% increase in consolidated net sales for the fiscal first quarter, with adjusted earnings projected at $1.48 to $1.56 per share. For fiscal 2025, they expect a 3% to 4% rise in consolidated net sales and adjusted earnings of $6.70 to $7.12 per share.
Despite inflation challenges, Walmart has maintained its value reputation, attracting customers across income levels. Their strategic initiatives, including expanding e-commerce and advertising businesses, have paid off.
Key highlights include:
- Comparable sales: Up 4% for Walmart U.S. and 1.9% for Sam's Club
- Global e-commerce sales: Surpassed $100 billion, with a 23% year-over-year increase
- Advertising revenue: Grew by 33% globally and 22% in the U.S.
Walmart's acquisition of Vizio is expected to fuel further growth in its high-margin businesses. The company remains optimistic about its prospects, with plans to open new stores, upgrade existing ones, and invest in employee wages and benefits.
Despite uncertainties, Walmart's proactive approach and strong performance continue to drive investor confidence. With shares trading near all-time highs, Walmart is poised for continued success in the retail landscape. 🚀
