The Journal Gazette
 
 
Wednesday, May 18, 2022 1:00 am

Briefs

Walmart sales up, but supply issues keep profits down

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NEW YORK – Walmart reported stronger sales for its fiscal first quarter, but its profit took a beating as the country's largest retailer grappled with surging inflation on food and fuel and higher costs from a snarled global supply chain.

The company also cut its full-year earnings forecast, sending shares down more than 11%.

Executives of Walmart Inc., based in Bentonville, Arkansas, told analysts that while some shoppers bought high-ticket items in the latest quarter, others were switching to private brands from national brands, particularly in lunch meats, as they juggled higher costs. Shoppers also are buying half-gallons of milk, down from gallon jugs.

Retail sales up in April

U.S. retail sales rose 0.9% in April, a solid increase that underscores Americans' ability to keep ramping up spending even as inflation is at nearly a 40-year high.

The increase was driven by greater sales of cars, electronics, and at restaurants, the Commerce Department said Tuesday.

Even adjusting for inflation, which was 0.3% on a monthly basis in April, sales increased.

Gas prices fell slightly last month, restraining inflation, after soaring in March.

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