http://www.newsonfeeds.com/article/8880399/Wal-Mart%20Profit%20Tops%20Expectations
One of the world’s largest retail stores posted a “quarterly” profit that exceeded much of the Wall Street Journals’ small expectations, with much help from its sales and discounts in United States stores, on Tuesday.
With the fourth quarter ending on Jan 31, profits fell considerably from 1.02 cents per share to 96 cents per share.
According to Reuters Estimates the expectations for Wal-Mart and their earnings was at the price of 99 cents per share, but the actual earnings with a 7 cent charge for settlement, ended with 1.03 cents per share, drastically overlooking estimators.
Total sales were $109.12 billion, up from $107.34 billion in the previous year period.
Results of Wal-Mart’s forecast earnings, which took place last month, resulted with 1.03 cents to 1.07 cents, from original 91 to 94. This was due to the pain from a stronger economical dollar, a settlement for class action lawsuits, and expected sales in certain divisions with weaker outcomes.
C. Douglas McMillon, president and chief executive of Wal-Mart International, said the last few months were “a challenge for Wal-Mart International,” adding, “The global economic slowdown is affecting all our markets.”
Wal-Mart’s shares rose nearly 1 percent in premarket trading from its close of $46.53 Friday.
“It was a superb performance in a horrible environment,” said Bill Dreher, senior retailing analyst at Deutsche Bank Securities. “Bottom line? It’s a 5 percent increase on earnings during a recession.”
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Regardless of the fact that we are in a recession, Walmart will continue to do well. Everyone enjoys going to Walmart for everything. This is a store where you can shop for anything you need. The only store that comes close is Target. Walmart prices are incredible and hard to beat. So the stock holders know that they are going to make money even on a bad day.
ReplyDeleteIt's not surprising that Wal-Mart has scarcely been affected by the recession. With layoffs at an all-time high, people are scrambling to find bargains, and Wal-Mart, from my own extensive shopping research, is the cheapest place for food, prescriptions and maybe electronics. What is surprising to me is that, in the article, their company spokesperson claimed that Wal-Mart would continue to do its part to protect the environment. Huh? What has Wal-Mart done in the past and what will it do in the future to protect the environment? That's what I'd like to know. And just for the record, Wal-Mart's low prices come at the expense of their workers who are laboring for ridiculously low wages. Yet, this is such a giant retailer, that even after settling lawsuits among workers who were cheated out of their wages, the company still pulled in a profit. As the recession continues to deepen, Wal-Mart's profits will, no doubt, go up.
ReplyDeleteI agree with you both this time. Wal-Mart is one of the most corrupt places to work at and shop. Wal-Mart doesn't care about the environment, all they care about is making the almighty dollar. Our country is addicted to Wal-Mart because it is becoming a one stop shopping place. Even grocery stores are seeing profits drop. Food Lion(Merrill Road, the one I work at)is one of the rare stores that can compete with the big W. Why is this? Because we have low prices and excellent customer service. Wal-Mart from what I heard has poor customer service. Great post!
ReplyDeleteWal-mart will continue to do well until we see the light at the end of this recession. People need to save money, so they will always be loyal to whomever has the lowest prices, and we all know no one beats Wal-Mart's prices. But what about Target, K-Mart and all of the other competitors? Wal-Mart is one of the few businesses who is in a catagory all there own. I don't feel they will ever be in danger of loosing their worth. People will always flock to the store with the most bang for their buck. I do agree that they do not treat their associated the way they should, and they should improve on that.
ReplyDeleteWal-Mart is like a dynasty in the NFL. While others are doing bad, Wal-Mart continues to find a way to increase their profits. It's not shocking at all, considering that you can buy clothes, games, food, furniture, whatever you can think of. Than it's cheaper to go gocery shopping there compared to publix and winn dixie which is a shame considering that Wal-Mart sells more than just goceries.
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