Wal-Mart’s (WMT) same-store sales were light, by a lot.
For the four weeks of March, revenue was actually down 2% to $36.2 billion. International sales killed results by dropping 15% to $8.1 billion.
But, US same-store sales were well below most projections. up only 1.4%. With Sam’s Club factored out, sales at the flagship brand stores moved up only a tiny .6%.
Management said that April sales would pick up because of Easter and confirmed that quarterly earnings will be in the high end of the $0.72 to $0.77 per share range. But, with March results, the market faces a seed of doubt.
If Easter sales don’t match expectations, Wal-Mart’s stock is dead.
Douglas A. McIntyre