(Boursier.com) — walmart did not disappoint, on the contrary, for its third fiscal quarter. The title ignites more than 6% before the stock market on Wall Street, following the publication of the accounts. For the quarter ended, the US retail giant delivered solid revenue growth of 8.7% and adjusted earnings per share of $1.5. Walmart even allows itself to raise its financial forecasts for the staggered 2023 financial year.
Total quarterly revenue was $152.8 billion, versus the consensus $148 billion. Growth at constant currencies was 9.8%. Walmart US posted like-for-like growth of 8.2%, bringing its two-year performance to 17.4%. Growth in e-commerce is 16% year-on-year and 24% over two years. Sam’s Club grew 10% like-for-like. Walmart International posted growth of 7.1% to $25.3 billion, despite adverse currency effects of $1.5 billion. Global ad business soared 30%, with Walmart Connect and Flipkart Ads. Consolidated operating profit was $2.7 billion in the quarter, down 53%, but adjusted operating profit rose 4% to $6 billion. Adjusted EPS of $1.5 excludes net tax effects of $1.11 for equity and investment losses and $1.05 per share of legal opioid settlements. The group will pay $3.1 billion to settle the opioid lawsuits. The adjusted EPS consensus was $1.32.
walmart also approved a new $20 billion share buyback program replacing the previous authorization.
Annual sales forecasts are revised upwards. Adjusted earnings per share for the 2023 financial year are expected to decline by 6 to 7%, against a previous guidance ranging from -9 to -11%. Revenues for this same financial year are expected to increase by 5.5%, whereas the previous estimate was 4.5%. More cautiously, however, Walmart anticipates US growth on a like-for-like basis and excluding gasoline, for the end-of-year holiday quarter, of around 3% against 3.4% consensus. Fourth quarter adjusted EPS is expected to decline by 3 to 5%, a slightly less pronounced decline than expected. Walmart is finally entering the holiday season with an inventory level valued at nearly $65 billion, up from $60 billion a quarter prior.