August 15, 2024 - $Walmart (WMT.US)$ shares jumped 6.58% to $73.18 in pre-market trading on Thursday. The company today announced second quarter results with strong growth in revenue and operating income.

Q2 Highlights

• Consolidated revenue of $169.3 billion, up 4.8%announces second quarter results with strong growth in revenue and operating income.

• Consolidated gross margin rate up 43 bps, led by Walmart U.S. and Walmart International.

• Consolidated operating income up $0.6 billion, or 8.5%; adjusted operating income up 7.2%, due to higher gross margins and growth in membership income; also benefited from reduced eCommerce losses.

• ROA at 6.4%, ROI at 15.1%, up 230 bps.

• Global eCommerce sales grew 21%, led by storefulfilled pickup & delivery and marketplace.

• Global advertising business grew 26%, including 30% for Walmart Connect in the U.S.

• Adjusted EPS of $0.67 excludes the effect, net of tax, from a net loss of $0.11 on equity and other investments.

Guidance

Q3: The Company’s fiscal third quarter guidance is based on the following FY24 Q3 figures: Net Sales: $159.4 billion, operating income: $6.2 billion, and adjusted EPS1 : $0.51. Guidance contemplates the impact of timing of festive events in the Company’s international segment and the timing of planned expenses.

Fiscal Year 2025: The Company’s fiscal year guidance is based on the following FY24 figures: Net sales: $642.6 billion, adjusted operating income1 : $27.1 billion, and adjusted EPS1 : $2.22. The Company’s full year guidance assumes a generally stable consumer and continued pressure from its mix of products and formats globally.