Please ensure Javascript is enabled for purposes of website accessibility
Another Booming Quarter for Walmart, but Sales Are Slowing
gvw_ap_news
By Associated Press
Published 4 years ago on
November 17, 2020

Share

NEW YORK — Walmart turned out another stellar quarter as the world’s largest retailer powers through a pandemic that has felled other national chains.

But sales at stores opened at least a year slowed in the three months that ended with October compared with earlier this year as the pandemic gained ground. Americans spent more per trip when they did go to Walmart, but they began cutting down on the number of visits they made.

The U.S. on Tuesday reported the slowest monthly retail sales since the spring when the pandemic seized up the economy. Shares of Walmart slipped in early trading despite huge profits.

Sales at Walmart stores opened at least a year— a key barometer for a retailer’s health — rose 6.4%. Same-stores sales jumped 9.3% during the second quarter, and 10% in first.

Third-quarter profits surged 56% and revenue hit $133.75 billion, a 5.3% increase. Both were better that Wall Street had projected. Online sales spiked nearly 80% after nearly doubling in the previous quarter.

Despite a sales slowdown before the crucial holiday season, Walmart’s expansion into online grocery is widening the gap between it and its rivals. In September it launched a membership program to deliver what people want more than ever in a pandemic as they reduce their public exposure: convenience.

“This was another strong quarter on the top and bottom line,” said CEO Doug McMillon. “We think these new customer behaviors will largely persist and we’re well positioned to serve customers,”

That Trend Continued to Manifest Itself Tuesday at Walmart, and Home Depot as Well

McMillon told analysts during a Tuesday conference call that Walmart will be better at responding to the stockpiling seen during the the spring as virus cases surged around the country. But he acknowledged that Walmart continues to struggle keeping up with demand for paper goods and cleaning supplies.

It is the ability to offer basics and more than has allowed big box stores to thrive even as thousands of retail stores and national chains suffer.

That trend continued to manifest itself Tuesday at Walmart, and Home Depot as well, which reported a 23% quarterly sales surge. At Kohl’s, a more traditional retailer, sales dropped 13.3% and it lost money.

Walmart is making further accommodations for a third wave of infections in the U.S., expanding its traditional Black Friday sale over three separate periods in November. Some of the most enticing offers are going online to encourage customers to stay at home.

Over the weekend it began counting the customers that entered its stores as it did this spring, trying to protect them and its staff from crowded aisles.

While Walmart navigates the virus at home, it is retreating further from previous international expansion efforts.

Walmart on Monday said it would sell off 85% of its Japanese supermarket subsidiary Seiyu in a deal valued at 172.5 billion ($1.6 billion). It said earlier this month it was backing out of Argentina.

Last month, Walmart announced the sale of its British supermarket chain Asda for 6.8 billion pounds ($8.8 billion), though it will keep a minority stake and a seat of the board.

RELATED TOPICS:

DON'T MISS

Kash Patel Plans to Move Up to 1,500 Workers Out of Washington

DON'T MISS

Fired Employees Fear Beloved Yosemite National Park Will Lose Its Luster

DON'T MISS

US and Ukraine Nearing Rare Earths Deal That Would Tighten Relationship

DON'T MISS

Trump Fires Chairman of the Joint Chiefs of Staff and Two Other Military Officers

DON'T MISS

Less Is More: 5 Ingredient Dinners Are Easier Than You Think

DON'T MISS

Trump-Putin Summit Preparations Are Underway, Russia Says

DON'T MISS

Warren Buffett Offers Trump Some Advice While Celebrating Berkshire’s Success

DON'T MISS

Hungarians Will Decide Whether Ukraine Can Join the European Union, Orbán Says

DON'T MISS

Wolfie the Handsome Pup Seeks Loving Home After Life in the Wild

DON'T MISS

National Park Service Restores Some Jobs of Those Fired, Will Hire 7,700 Seasonal Workers

UP NEXT

Bullard Teacher Arrested for Inappropriate Behavior With a Minor, Principal Says

UP NEXT

Nearly 1 in 10 U.S. Adults Identifies as LGBTQ+, Survey Finds

UP NEXT

Arctic Blast Causes Massive Pileups, Power Outages Across East Coast

UP NEXT

Struggling Forever 21 Plans to Close 200 Stores in Possible 2nd Bankruptcy

UP NEXT

2 People Are Dead in a Small Plane Collision at a Southern Arizona Airport

UP NEXT

Official White House Account Declares Trump ‘King’ in Latest Post

UP NEXT

A$AP Rocky Returns to a Life of Music, Fashion, Film and Rihanna With His Acquittal

UP NEXT

Leonard Peltier Released After Biden Commuted Sentence in FBI Agents’ Killings

UP NEXT

Death of South Korean Actor at 24 Sparks Discussion About Social Media

UP NEXT

Former Vice President Kamala Harris to Be Honored by NAACP With Its Chairman’s Award

Trump Fires Chairman of the Joint Chiefs of Staff and Two Other Military Officers

6 hours ago

Less Is More: 5 Ingredient Dinners Are Easier Than You Think

6 hours ago

Trump-Putin Summit Preparations Are Underway, Russia Says

7 hours ago

Warren Buffett Offers Trump Some Advice While Celebrating Berkshire’s Success

7 hours ago

Hungarians Will Decide Whether Ukraine Can Join the European Union, Orbán Says

7 hours ago

Wolfie the Handsome Pup Seeks Loving Home After Life in the Wild

7 hours ago

National Park Service Restores Some Jobs of Those Fired, Will Hire 7,700 Seasonal Workers

8 hours ago

Is That Legal? A Guide to Trump’s Big Moves So Far.

9 hours ago

Hotels Are So Last Year – Why Everyone’s Sleeping in Castles, Caves and Cranes

10 hours ago

With Trump’s Prostration to Putin, Expect a More Dangerous World

10 hours ago

Kash Patel Plans to Move Up to 1,500 Workers Out of Washington

WASHINGTON — New FBI Director Kash Patel has told senior officials that he plans to relocate up to 1,000 employees from Washington to field ...

6 hours ago

6 hours ago

Kash Patel Plans to Move Up to 1,500 Workers Out of Washington

6 hours ago

Fired Employees Fear Beloved Yosemite National Park Will Lose Its Luster

6 hours ago

US and Ukraine Nearing Rare Earths Deal That Would Tighten Relationship

6 hours ago

Trump Fires Chairman of the Joint Chiefs of Staff and Two Other Military Officers

6 hours ago

Less Is More: 5 Ingredient Dinners Are Easier Than You Think

7 hours ago

Trump-Putin Summit Preparations Are Underway, Russia Says

7 hours ago

Warren Buffett Offers Trump Some Advice While Celebrating Berkshire’s Success

7 hours ago

Hungarians Will Decide Whether Ukraine Can Join the European Union, Orbán Says

Help continue the work that gets you the news that matters most.

Search

Send this to a friend