BENTONVILLE, Ark., June 7 -- Wal-Mart Stores, Inc. (NYSE: WMT) reported net sales for the four-week and 17-week periods ending Jun. 1, 2007, and Jun. 2, 2006, respectively, as follows (dollars in billions):
Net Sales 4 Weeks Ended Percent 17 Weeks Ended Percent 6/1/2007 6/2/2006 Change 6/1/2007 6/2/2006 Change Wal-Mart Stores $18.073 $17.138 5.5% $74.632 $70.741 5.5% Sam's Club 3.546 3.281 8.1% 14.133 13.274 6.5% International 6.639 5.814 14.2% 27.110 23.294 16.4% Total Company $28.258 $26.233 7.7% $115.875 $107.309 8.0%
Comparable store sales for the four-week and 17-week periods ending Jun. 1, 2007, and Jun. 2, 2006, respectively, were as follows:
Four Weeks Comparable Store Sales Without Fuel With Fuel Fuel Impact 6/1/2007 6/2/2006 6/1/2007 6/2/2006 6/1/2007 6/2/2006 Wal-Mart Stores 0.3% 3.1% 0.3% 3.1% 0.0% 0.0% Sam's Club 5.4% 4.4% 6.4% 5.7% 1.0% 1.3% Total U.S. 1.1% 3.3% 1.3% 3.5% 0.2% 0.2% Seventeen Weeks Comparable Store Sales Without Fuel With Fuel Fuel Impact 6/1/2007 6/2/2006 6/1/2007 6/2/2006 6/1/2007 6/2/2006 Wal-Mart Stores 0.1% 3.3% 0.1% 3.3% 0.0% 0.0% Sam's Club 4.9% 4.3% 4.8% 5.0% -0.1% 0.7% Total U.S. 0.8% 3.4% 0.8% 3.6% 0.0% 0.2% Wal-Mart Stores
For the May four-week period, sales at the Wal-Mart Stores segment were stronger in grocery than general merchandise. Perishables had a solid performance for the period, driven by strong comparable store sales in bread and dairy. Sales of live plants and lawn and garden items were above plan
during the May period, as customers focused on outdoor planting and landscaping.
Apparel and home continue to be soft. Wal-Mart Stores U.S. expects to see improvement in these categories beginning in the third quarter, but more significant progress is anticipated during the fourth quarter. The Company continues to reinforce its price leadership position both through print and electronic advertising and in-store communications. Among discount store consumers and Wal-Mart shoppers, worries about gas prices have increased from January through April.
"The price rollbacks on thousands of products throughout our stores help our customers make ends meet," said Eduardo Castro-Wright, president and chief executive officer for Wal-Mart Stores U.S. "We continue to highlight rollbacks and the 'save even more' features throughout the store, as well as in our circular advertising."
During the May reporting period, Sam's Club continued its success with sales to small business owners. Food related categories, particularly in the perishable area, performed well. Club members are responding favorably to featured products and values in electronics. Outdoor furniture and grill sales were softer than anticipated during the period.
Beginning in mid-June, Wal-Mart and Sam's Club will sell Dell Computer desktops in its stores and clubs across the United States, Puerto Rico and Canada. Sam's Clubs will carry a notebook computer as well. The Dell computer partnership follows previous announcements by the Company that its Wal-Mart U.S. stores now carry such quality electronics brands as Philips, Samsung, Skype and Vizio.
Last week, the Company announced plans at its shareholders' meeting to leverage capital resources through a strategy designed to improve returns, productivity and sales within its U.S. stores. The plans include moderating the growth of its U.S. supercenters, as well as a new share repurchase program that increased the Company's authorization to $15 billion.
"Wal-Mart U.S. continues to focus on its plan to improve comparable store sales," said Tom Schoewe, Wal-Mart Stores, Inc., executive vice president and chief financial officer. "We are pleased with how strong sales were at Sam's Club during the four-week May reporting period."
International strengths came from Argentina, Brazil, China, and the United Kindgom. In the U.K., Asda continues to reinforce low prices as well, through its "we sell for less" campaign and price rollbacks on products throughout the store.
The Company expects comparable store sales for the June five-week reporting period to be between flat and 2 percent, said Schoewe. The June five-week period runs from June 2 through July 6, 2007.
As previously noted, the Company reports net sales and comparable store sales consistent with the National Retail Federation (NRF) calendar. The NRF calendar for the most recently completed year included 53 weeks, but includes only 52 weeks this year. The weekly sales information for the four-week and 17-week periods ended Jun. 2, 2006 reported in this release match the comparable weeks for the current fiscal year. However, these four-week and 17-week comparable store sales periods reported for last year ended May 26, 2006, one week earlier.
The Company has posted on its web site, http://www.walmartstores.com/investors, a "reclassification" document showing prior year comparable store sales re-grouped to match the comparable weeks for the current reporting calendar.
Wal-Mart Stores, Inc. operates Wal-Mart discount stores, supercenters, Neighborhood Markets and Sam's Club locations in the United States. The Company operates in Argentina, Brazil, Canada, China, Costa Rica, El Salvador, Guatemala, Honduras, Japan, Mexico, Nicaragua, Puerto Rico and the United Kingdom. The Company's securities are listed on the New York Stock Exchange under the symbol WMT. More information about Wal-Mart can be found by visiting http://www.walmartstores.com. Online merchandise sales are available at http://www.walmart.com and http://www.samsclub.com.
This release contains statements that Wal-Mart believes are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that are intended to enjoy the protection of the safe harbor for forward-looking statements provided by that act. These forward-looking statements include statements as to our management's expectation for sales improvement in the categories of apparel and home, and our management's expectation and estimate of comparable store sales for the June five-week reporting period to end July 6, 2007. These statements are identified by use of the words "expects" or "is anticipated", in the statements. These forward-looking statements are subject to risks, uncertainties and other factors, domestically and internationally, including consumer spending patterns and debt levels, unemployment levels, fuel prices, inflation levels, weather conditions, competitive pressures and other risks. We discuss certain of these matters and other risk factors more fully in our filings with the SEC, including our last Annual Report on Form 10-K. This release should be read in conjunction with that Annual Report on Form 10-K and certain other Company filings with the SEC through the date of this release. The Company urges you to consider all of these risks, uncertainties and other factors carefully in evaluating these forward-looking statements and not to place undue reliance on such statements. As a result of these and other matters, including changes in facts, assumptions not being realized or other circumstances, our actual results may differ materially from those discussed in the forward-looking statements. The forward-looking statements included in this release are made only as of the date of this release, and we undertake no obligation to update the forward-looking statements to reflect subsequent events or circumstances.
SOURCE Wal-Mart Stores, Inc. -0- 06/07/2007 /CONTACT: Investors, Investor Relations, +1-479-273-8446, or Carol Schumacher, +1-479-277-1498, or Anthony Clark & Pauline Mohler, +1-479-277-9558, or Media, John Simley, 1-800-331-0085, all for Wal-Mart Stores, Inc./ /Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/20010831/WALMARTLOGO AP Archive: http://photoarchive.ap.org PRN Photo Desk, email@example.com / /Web site: http://www.walmartstores.com / (WMT) CO: Wal-Mart Stores, Inc. ST: Arkansas IN: REA SUP SU: SLS ERP KK-ND -- LATH024 -- 7164 06/07/2007 07:43 EDT http://www.prnewswire.com