Summary
Walmart Inc. reported solid financial results for the fiscal quarter ending July 31, 2013, with total revenues reaching $116.9 billion, a 2.3% increase year-over-year. Net sales also saw a comparable increase of 2.4%, driven by growth in retail square footage and positive comparable club sales at Sam's Club. While Walmart U.S. experienced a slight decrease in comparable store sales, likely due to increased payroll taxes, the segment's operating income grew. Walmart International's net sales showed modest growth, though negatively impacted by currency fluctuations. The company maintained its focus on cost management, with a slight improvement in gross profit margin across consolidated operations. Financially, Walmart generated $11.3 billion in operating cash flow for the first six months of the fiscal year. The company announced a new $15 billion share repurchase program and continued to return value to shareholders through dividends, with an 18% increase in the annual dividend for fiscal 2014. However, the company also noted increased expenses related to the ongoing Foreign Corrupt Practices Act (FCPA) investigation and compliance enhancements, which impacted operating income. Despite these challenges, Walmart affirmed its commitment to saving customers money and indicated confidence in its liquidity and ability to access capital markets.
Financial Highlights
48 data points| Revenue | $116.83B |
| Cost of Revenue | $87.42B |
| Gross Profit | $29.41B |
| SG&A Expenses | $22.63B |
| Operating Income | $6.78B |
| Interest Expense | $522.00M |
| Net Income | $4.07B |
| EPS (Basic) | $0.41 |
| EPS (Diluted) | $0.41 |
| Shares Outstanding (Basic) | 9.83B |
| Shares Outstanding (Diluted) | 9.87B |
Key Highlights
- 1Consolidated net sales increased by 2.4% to $116.2 billion for the three months ended July 31, 2013, compared to the prior year.
- 2Operating income grew by 1.4% to $6.8 billion for the three months ended July 31, 2013, compared to the prior year.
- 3Diluted EPS increased to $1.24 for the three months ended July 31, 2013, up from $1.18 in the prior year.
- 4The company declared an 18% increase in its annual dividend to $1.88 per share for fiscal year 2014.
- 5Walmart initiated a new $15 billion share repurchase program, replacing the previous one.
- 6Expenses related to the FCPA investigation and compliance enhancements increased significantly, impacting profitability.
- 7Net cash provided by operating activities was $11.3 billion for the six months ended July 31, 2013.