Wal-Mart profits beat expectations

The world’s biggest retailer posts an 11.5 per cent rise in quarterly profits.

Wal-Mart said international sales were up nearly 34 per cent
Wal-Mart said international sales were up nearly 34 per cent

International strength

Sales rose 12 per cent to $83.54bn, with international sales up nearly 34 per cent, helped by acquisitions.

At the company’s US stores that have been open for at least a year, Wal-Mart revealed lacklustre sales growth, hurt by disruptions from store remodelling efforts and a poor reception for its trendier clothing.

Lee Scott, Wal-Mart chief executive, said: “Although sales in the US were softer than we hoped for in the third quarter, there are real opportunities in the fourth quarter to build on the momentum of the aggressive pricing strategy we have implemented in our stores for the holiday season.”

The retailer forecast fourth-quarter earnings from continuing operations at 88 cents to 92 cents a share. Analysts on average expected 92 cents.


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The first labour union at a Wal-Mart store in China is reported to have been formed following a lobbying campaign by the country’s official union group.

30 Jul 2006
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