US: Walmart profit rise
At the same time as the profits were released, the company announced an internal investigation into the reports.
Federal authorities in both the U.S. and Mexico are investigating Walmart for potential violations of a law that forbids companies from bribing foreign officials. Investors have filed lawsuits against top Walmart executives. And some shareholders are planning to vote against the re-election of several board members at the company’s annual meeting on June 1.
Despite the good showing, Walmart executives cautioned that the U.S. economy remains weak. Job security is still the No. 1 concern among Walmart shoppers. Gas prices have come down, but they’re still high enough to squeeze customers. And many shoppers, the company said, also continue to buy smaller packages at the end of the month when finances are very tight.
Still, Walmart said that it expects per-share earnings in the second quarter to be in the range of $1.13 per share to $1.18 per share. That’s in line with the $1.16 per share analysts expect. The company estimates that its U.S. business will post a gain in revenue at stores opened at least a year of between 1 percent and 3 percent.
Source: couriernews.com
