Walmart hikes full-year guidance after Q1 earnings beat
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Walmart (NYSE:WMT) shares moved higher in premarket action after the company brightened its full-year outlook.
For the first quarter, the Arkansas-based retail behemoth reported consolidated revenue of $152.3B, up 7.6% from the prior year quarter as Walmart U.S. comparable sales jumped 7.4% and eCommerce sales surged 26% amid a focus on pickup and delivery options. The headline figure topped the analyst consensus by a whopping $4.39B. 
Management noted that the retailer âgained market share in grocery, including with higher-income householdsâ in the quarter. The three month period also marked the largest quarterly member sign-up on record for Samâs Club US.
Meanwhile, adjusted earnings per share hit $1.47 in the quarter, above the $1.32 Street consensus, as the company homed in on margin and inventory improvement. Inventory levels dropped 9% year over year in the US, but remained essentially unchanged on a global basis. 
âWe had a strong quarter. Comp sales were strong globally with eCommerce up 26%. We leveraged expenses, expanded operating margin, and grew profit ahead of sales,â CEO Doug McMillon commented. 
Moving forward, management hiked its expectations for the fiscal year. The company expects net sales to increase 3.5%, up from a prior range of 2.5% to 3%. Adjusted EPS for the year are slated to range from $6.10 to $6.20, also raised from a prior $5.90 to $6.05 forecast. Analysts had forecast sales to rise 3.81% year over year and EPS to hit $3.14.
For the second quarter, management outlined a path to increase sales by 4% and reach a range of $1.63 to $1.68 in adjusted EPS. Analysts had projected a 3.95% increase in sales and $1.70 in earnings per share for the quarter. 
Shares of Walmart (WMT) gained about 1.4% before the bell on Thursday. The results also helped lift peers like Target (TGT) +0.5% and Costco Wholesale Corp. (COST) +0.5% in premarket action.
Conspicuously, Walmart did not mention shrink or theft in its report. The issue conversely featured prominently in Targetâs quarterly update on the day prior.
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