While last week provided some discouraging, but potentially skewed, numbers related to sinking December retail sales, Walmart saw significant Q4 growth, suggesting that shoppers were spending for basics and lower-end goods vs. luxury items.
The retail giant saw U.S. comparable sales rise 4.2%, beating Wall Street analyst expectations of 3.2%, and also saw adjusted earnings per share ($1.41 vs. $1.33) and revenue ($138.79 billion vs. $138.65) outperform expectations. Online sales jumped 43% during Q4, matching growth during the previous quarter. The holiday quarter pushed Walmart to its 2018 e-Commerce sales growth target of 40%. Full-year U.S. comparable sales growth reached 3.6%, Walmart’s strongest in 10 years.
Overall, the performance was a major improvement over Walmart’s 2017 holiday season, when e-Commerce sales increased 23% and U.S. comparable sales increased 2.6%. While operational issues such as higher product volumes slowed down holiday sales after a very strong 2017, Walmart avoided these problems due to continued supply chain and merchandising investments.
Walmart Invests $11B In 2019 Growth
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