(PatriotWise.com) — Walmart’s sales increased again during the second quarter of 2023 as the retailer’s low prices continued to appeal to budget-conscious consumers looking for deals in a rough economy, the Associated Press reported.
On Thursday, Walmart reported better-than-expected sales in the second quarter, sending its already increasing shares slightly higher in trading.
In the second quarter, Walmart earned $7.89 billion, or $2.92 per share, with an adjusted result of $1.84 per share, 13 cents higher than Wall Street projections. The earnings exceeded Walmart’s $5.15 billion during the second quarter of 2022. Meanwhile, sales during the second quarter rose by nearly 6 percent to $161.63 billion.
The country’s largest retailer was among the first to report its earnings for the period ending in July.
Other retailers that lack the product mix of Walmart have seen sales slip as consumers pull back on discretionary spending.
Last Wednesday, Target reported that its quarterly sales declined for the first time in six years, as cautious spending compounded by the backlash over the retail giant’s Pride collection in June hampered sales in Q2.
Meanwhile, the country’s largest home improvement retailer, Home Depot, reported last Tuesday that sales continued to decline in the second quarter, fueled primarily by a drop in big-ticket purchases like home appliances that often require financing.
Last week, the Commerce Department reported that retail sales rose by 0.7 percent from June to July, but spending dependent on financing, like homes, automobiles, and furniture, has been hampered by higher interest rates.
To appeal to its poorer consumers, Walmart cut the price of its online subscription service for those on government assistance. Walmart customers who receive Medicaid, SNAP, Social Security, or other government programs will now only pay $49 a year for the shopping subscription rather than $98 a year.
Walmart expects its third-quarter sales to increase another 3 percent.
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