The retail chain Walmart announced today that it closed its fiscal year 2019 with net profits of 6.670 billion dollars, 32.4% less than the previous year, although it obtained a very positive last quarter thanks mainly to the increase in electronic commerce.
The multinational with headquarters in Bentonville (Arkansas) was recorded in the last quarter of its fiscal year, which closed on January 31, a net profit of 3,687 million, a remarkable increase of 69.5% compared to 2,175 million of the same period of the previous year.
Between February 2018 and last January he had a net profit per share of $ 2.26, compared to $ 3.28 for his fiscal year 2018, when he earned 9.862 million.
The company’s profits were reduced despite the fact that its turnover increased slightly with respect to the last annual period, by 2.8%, to 514.405 billion dollars, compared to the previous 500.343 million.
In the three months ended at the end of January, the company’s total turnover was 138,793 million dollars, 1.9% more, and its expenses increased smoothly this time.
This quarter’s earnings and revenue exceeded analysts’ expectations, a trend in which e-commerce sales had a lot to do, increasing by 43% thanks to more buyers using their online grocery delivery service. They spent more on each order.
The increase in e-commerce sales throughout the year was 40%.
Walmart also benefited from food stamps that were launched at the end of the year due to the recent partial closure of the US government, which helped boost sales at the end of the last fiscal quarter.
In any case, sales at Walmart stores in the US they also increased 4.2% in the last year, surpassing the expected growth of 3.2%.
Walmart president and CEO Doug McMillon told analysts by announcing accounts that “a favorable economic environment” has helped Walmart increase sales and gain market share from its rivals.
In fact, Walmart’s sales outlook for fiscal year 2020 in the United States is to increase between 2.5 and 3%.
Meanwhile, the company aims for an increase in e-commerce sales of 35% for fiscal year 2020, which, however, will not be as solid as it could have achieved last year.
Walmart reported Tuesday that it will spend more on store remodeling, e-commerce initiatives and the development of its supply chain in 2019. (EFEUSA) .-