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Walmart CEO Says Tariff Costs Expected To Rise, Lower And Middle Income Consumers Hit Most

Walmart Inc. (NYSE:WMT) shares are trading lower in the premarket session on Thursday, after the company reported second-quarter results and raised its annual outlook.

The retail giant reported adjusted earnings per share of 68 cents, missing the analyst consensus estimate of 74 cents.

Quarterly sales of $177.40 billion, up 4.8% year over year, outpaced the Street view of $176.16 billion. Total revenues on a constant currency basis increased 5.6%.

Segments

Walmart reported a 4.6% increase in U.S. comparable sales (excluding fuel), while Sam's Club U.S. comparable sales (excluding fuel) rose 5.9%.

In the Walmart U.S. segment, transactions grew 1.5%, while average ticket rose 3.1%.

In Sam's Club U.S., transactions rose 3.9% and the average ticket grew 2.0%

Also Read: Target’s Q2 Struggles Highlight Amazon, Walmart Competition

Quarter In Detail

Adjusted operating income fell 0.8% year-over-year to $7.87 billion in the quarter under review, lower than $7.940 billion a year ago. The GAAP operating income fell 8.2% year-over-year to $7.29 billion.

Adjusted EBITDA margin slipped 10 basis points to 6.5%. Walmart said the decrease was primarily due to ...