Wal-Mart (WMT) Reports Record Profit

Wal-Mart Stores Inc (NYSE:WMT) released the earnings for the quarter ended January 31, 2008 revealing net sales of $106.269 billion for the fourth quarter of the fiscal year 2008, an 8.3% increase from the fourth quarter of the fiscal year 2007.  Continuing operations for the quarter are showing a 4% increase in net sales at $4.096 billion as opposed to the $3.940 billion made in the fourth quarter of the fiscal year in 2007.

Diluted earnings per share for the fourth quarter are up by 7.4% ($1.02) from $0.95 per share a year ago.

Lee Scott, Wal-Mart Stores president and chief executive officer, has stated, “For the fourth quarter, we topped $100 billion in sales, the first time in history that any retailer has reached this milestone in a single quarter.  We had a very strong underlying operating performance, exceeding our expectations for the quarter.  In additions to another year of record sales and earnings, we also delivered a record return to our shareholders this year through more than $11 billion in share repurchase and dividends.”

Scott says the profit increase is due to the company’s improved customer service and competitive prices.  “The combination of price leadership and improved customer service made the difference in the fourth quarter for our U.S. operations.”  He continues to say, “Customers were more cautious in their spending in January.  In a volatile economy, I believe we are well positioned to succeed.  We will continue to strengthen our price leadership around the world.”