Wal-Mart earnings beat expectations; shares up
- 9 years ago
Wal-Mart Stores Inc reported slightly stronger-than-expected quarterly earnings on Tuesday as it booked its fifth straight gain in U.S. same-store sales, sending its shares up more than 4 percent.
However, the company also said it expected sales at stores open at least a year to grow more slowly during the current quarter, which includes the crucial holiday shopping season, and that business would remain competitive.
Wal-Mart's earnings have been under pressure from costs to boost entry-level wages and spruce up stores.
Last month it warned that those costs would lead earnings to decline by as much as 12 percent next year, prompting many investors to dump the stock.
The company has also said that those investments, while hitting profits, are also starting to translate into better customer service and helping to lift sales.
However, the company also said it expected sales at stores open at least a year to grow more slowly during the current quarter, which includes the crucial holiday shopping season, and that business would remain competitive.
Wal-Mart's earnings have been under pressure from costs to boost entry-level wages and spruce up stores.
Last month it warned that those costs would lead earnings to decline by as much as 12 percent next year, prompting many investors to dump the stock.
The company has also said that those investments, while hitting profits, are also starting to translate into better customer service and helping to lift sales.