American retail giant Walmart Inc. hiked its outlook for the second straight quarter as its operating income climbed over 20% in the three months to June, the company announced in a statement.
- Full-year 2021 consolidated net sales are now seen to grow by 6% to 7% or over $30 billion, up from its earlier guidance of low single-digit growth while operating income is seen to grow 9% to 11.5% for 2021. Earnings per share are expected at $6.20 to $6.25 for the full year and between $1.30 to $1.40 in the third quarter.
- Second-quarter revenue climbed 2.4% to $141.0 billion, dragged by an estimated $8.9 billion related to divestitures. Operating income climbed 21.4% to $7.4 billion from $6.1 billion.
- Net sales were driven mainly by operations in the United States with a 5.3% climb to $98.2 billion, as international net sales fell 15.2% to $23.0 billion. Sam’s Club net sales grew 13.9% to $18.6 billion.
- President and Chief Executive Doug McMillon said global e-commerce sales are on track to hit $75 billion this year, driven by the growth in the firm’s market share in US grocery.
Walmart maintained its capital expenditure guidance for 2021 at around $14 billion. WMT is up 0.82%.