Summary
Walmart Inc. reported solid revenue growth for the first quarter of fiscal year 2012, with net sales reaching $103.4 billion, a 4.4% increase year-over-year. This growth was primarily driven by the Walmart International segment, which saw an 11.5% increase in net sales, benefiting from favorable currency exchange rates and expansion activities. The Walmart U.S. segment experienced modest growth of 0.6% in net sales, while Sam's Club demonstrated strong performance with a 9.4% increase in net sales, largely due to robust comparable club sales. Profitability showed a slight improvement, with operating income rising by 2.8% to $5.9 billion. Diluted earnings per share (EPS) stood at $0.97, up from $0.87 in the prior year's comparable period, reflecting effective cost management and a favorable tax rate. The company also continued its commitment to returning value to shareholders, declaring a dividend of $1.46 per share and actively repurchasing shares. Despite positive operational performance, the company faces ongoing litigation risks, particularly concerning wage-and-hour and gender discrimination class actions, although management believes these will not materially affect financial condition.
Financial Highlights
49 data points| Revenue | $104.19B |
| Cost of Revenue | $78.18B |
| Gross Profit | $26.01B |
| SG&A Expenses | $20.12B |
| Operating Income | $5.90B |
| Interest Expense | $491.00M |
| Net Income | $3.40B |
| EPS (Basic) | $0.32 |
| EPS (Diluted) | $0.32 |
| Shares Outstanding (Basic) | 10.49B |
| Shares Outstanding (Diluted) | 10.54B |
Key Highlights
- 1Net sales increased by 4.4% to $103.4 billion, driven by strong performance in Walmart International and Sam's Club.
- 2Operating income grew by 2.8% to $5.9 billion, indicating effective cost management across segments.
- 3Diluted EPS rose to $0.97 from $0.87 in the prior year's comparable period.
- 4Walmart International segment net sales increased by 11.5%, significantly aided by favorable currency exchange rates ($1.3 billion).
- 5Sam's Club reported a 9.4% increase in net sales, boosted by an 8.8% rise in comparable club sales.
- 6The company declared an annual dividend of $1.46 per share, representing a 21% increase over the previous fiscal year.
- 7Capital expenditures for property and equipment were $2.39 billion, with full fiscal year 2012 expected to be between $12.5 billion and $13.5 billion (excluding acquisitions).