=Wal-Mart 3Q Net In Line With Views;Gross Margins Strong
Dow Jones News Service via Dow Jones
By Philana Patterson
NEW YORK (Dow Jones)--Wal-Mart Stores Inc. (WMT) reported third-quarter
earnings in line with Wall Street expectations Tuesday and said that it looks
forward to continued double-digit growth in sales and earnings.
The world's largest retailer reported net income for the three-month period
ended Oct. 31 of $792 million, or 35 cents a share, compared with net income of
$684 million, or 30 cents a share, a year earlier.
Sales in the quarter increased to $28.8 billion from $25.6 billion in the
year-ago period. Operating, selling, general and administrative expenses
increased to $4.96 billion, or 17.2% of sales, from about $4.4 billion, or 17%
of sales, a year earlier.
Operating profit in the company's Wal-Mart division, which includes its
Supercenters, increased 18% to $1.5 billion from $1.3 billion in the year-ago
period.
Wal-Mart's International Division had an operating profit of $52 million in
the quarter, compared with an operating loss of $15 million a year earlier.
Analysts said that Wal-Mart's inventories decreased by about 11% in the
quarter.
The company also benefited in the third quarter from strong gross margins and
good control of markdowns, analysts said.
Wal-Mart's NYSE-listed shares were trading up 9/16, or 1.5%, at 37 3/16 in
moderate trading. |
