Walmart profit surges as coronavirus boosts online shopping sales

E-commerce sales rose 97% from a year ago

Walmart Inc. profit spiked 79% in the three months through June as more Americans ordered goods online while riding out the COVID-19 pandemic from home.

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The Bentonville, Arkansas-based big-box retailer earned $6.48 billion, or an adjusted $1.56 per share, topping the $1.25 that Wall Street analysts surveyed by Refinitiv were expecting. Total revenue rose 5.4% to $137.7 billion, beating the $135.48 billion consensus.

TickerSecurityLastChangeChange %
WMTWALMART INC.139.91+2.77+2.02%

“I want to give a big thank you to our associates for their tireless efforts during these unprecedented times,” CEO Doug McMillon said in a statement. “We also appreciate the trust and confidence of our customers.”

E-commerce revenue spiked 97% from a year ago while sales at U.S. stores open at least a year rose 9.3%, boosted by general merchandise and food. Walmart said general merchandise sales were helped by the $1,200 stimulus checks handed out by the U.S. government.

The average U.S. ticket increased by 27% as the number of transactions fell by 14%.

Walmart spent about $1.5 billion on COVID-19-related expenses.

The company has not provided guidance since withdrawing its outlook in the first quarter due to uncertainty caused by COVID-19.

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Walmart shares were up 14% this year through Monday while the S&P 500 was higher by 4.68%.