Wal-Mart Stores, Inc. reported net sales for the second quarter were $100.082 billion, a decrease of 1.4% from $101.546 billion in the second quarter last year. Without the negative impact of currency exchange rates equal to $4.199 billion, net sales for the quarter increased 2.7% to approximately $104.281 billion on a constant currency. Income from continuing operations increased to $3.449 billion from $3.401 billion in the same period last year.
Diluted earnings per share from continuing operations for the second quarter of fiscal year 2010 of 88 cents, at the top of the company's guidance of 83 cents to 88 cents per share. The effect of currency exchange rates reduced earnings by approximately 4 cents per share. Walmart earned 86 cents per share from continuing operations in the second quarter last year.
Net Sales
Net sales were as follows (dollars in billions):
Three Months Ended Six Months Ended
July 31, July 31,
————————– ————————
Percent Percent
2009 2008 Change 2009 2008 Change
—- —- —— —- —- ——
Net Sales:
Walmart U.S. $64.209 $63.989 0.3% $125.453 $122.980 2.0%
International 23.965 25.257 -5.1% 45.228 49.184 -8.0%
Sam's Club 11.908 12.300 -3.2% 22.872 23.424 -2.4%
—— —— —- —— —— —-
Total
Company $100.082 $101.546 -1.4% $193.553 $195.588 -1.0%
Reported International sales for the three months ended July 31, 2009 were reduced by the effect of currency exchange rates equal to approximately $4.199 billion. On a constant currency basis, International sales increased 11.5 percent to $28.164 billion in the second quarter, compared to the same quarter last year.
Segment Operating Income
Segment operating income, which is defined as operating income for each operating segment, was as follows (dollars in billions):
Three Months Ended Six Months Ended
July 31, July 31,
———————— ————————
Percent Percent
2009 2008 Change 2009 2008 Change
—- —- —— —- —- ——
Segment Operating
Income:
Walmart U.S. $4.901 $4.667 5.0% $9.365 $8.987 4.2%
International 1.143 1.218 -6.2% 2.023 2.268 -10.8%
Sam's Club 0.419 0.441 -5.0% 0.812 0.834 -2.6%
Reported International operating income for the three months ended July 31, 2009 was reduced by $237 million as a result of the effect of currency exchange rates. On a constant currency basis, International operating income increased 13.3 percent to $1.380 billion in the second quarter, compared to the second quarter last year.
Comparable Store Sales
The company reports U.S. comparable store sales in this earnings release based on its 13-week retail calendar, ending July 31, as follows:
Without Fuel With Fuel Fuel Impact
—————— —————— ——————
Thirteen Weeks Thirteen Weeks Thirteen Weeks
Ended Ended Ended
07/31/09 08/01/08 07/31/09 08/01/08 07/31/09 08/01/08
——– ——– ——– ——– ——– ——–
Walmart U.S. -1.5% 4.4% -1.5% 4.4% 0.0% 0.0%
Sam's Club 0.6% 4.1% -4.3% 7.6% -4.9% 3.5%
— — —- — —- —
Total U.S. -1.2% 4.3% -1.9% 4.9% -0.7% 0.6%Without Fuel With Fuel Fuel Impact
—————- —————- —————–
Twenty-Six Weeks Twenty-Six Weeks Twenty-Six Weeks
Ended Ended Ended
07/31/09 08/01/08 07/31/09 08/01/08 07/31/09 08/01/08
——– ——– ——– ——– ——– ——–
Walmart U.S. 1.0% 3.2% 1.0% 3.2% 0.0% 0.0%
Sam's Club 2.3% 3.5% -2.5% 6.6% -4.8% 3.1%
— — —- — —- —
Total U.S. 1.2% 3.2% 0.4% 3.7% -0.8% 0.5%
