AGM Updates anyone?, page-32

AFR extract only
Wal-Mart reports strongest sales in 8 years, shares jump

Wal-Mart Stores reported better-than-expected US comparable sales on Thursday, as customers stocked up on food and other supplies ahead of hurricanes and online purchases soared, sending its shares up more than 8.5 per cent.

The third quarter marked Wal-Mart's strongest US sales growth since the three months ended May 2009 despite sluggish demand and competition from Amazon.com that has hurt brick-and-mortar rivals. The world's biggest retailer has notched more than three straight years of overall comparable sales growth.

"Momentum in the business is really strong," chief financial officer Brett Biggs said on an earnings conference call.

Hurricane-related sales contributed 30 to 50 basis points to overall comparable sales, the world's largest retailer said, as Hurricanes Harvey and Irma spurred demand for food and grocery items as well as building materials.

"Food delivered its strongest quarterly performance in six years," chief executive Greg Foran said.
Wal-Mart has invested in its online business, cut prices and improved its in-store shopping experience by raising worker wages and making stores cleaner and more efficient.

Fighting Amazon

Online sales soared 50 per cent, exceeding growth at other big retailers but coming in below the previous quarter's 60 per cent surge.

Those sales added 80 basis points to the quarter's comparable sales gain, boosted by walmart.com, the retailer's online grocery delivery service and the acquisition of e-commerce startup Jet.com last year.
"Wal-Mart's online performance continues to validate its substantial investments in this critical channel," said Moody's retail analyst Charlie O'Shea.