Walmart Mexico’s financial performance in the second quarter showed positive growth, with a 5% year-on-year increase in net profit, amounting to 11.44 billion pesos ($668 million). This upward trend was primarily fueled by slightly higher sales, especially during the month of June. However, the earnings did not fully meet the expectations set by analysts.
During the same period, Walmart de Mexico’s quarterly revenue demonstrated robust growth, rising by an impressive 9.25% compared to the previous year, reaching a substantial 213.724 billion pesos. The company attributed this boost in revenue to the success of their “Hot Sale event,” which took place in June.
Despite the overall positive performance, Walmart de Mexico’s profit per share of 0.66 pesos was slightly below the Refinitiv estimate of 0.69 pesos, indicating that there is room for further improvement.
The company attributes the increase in net profit to a combination of factors, including higher sales, effective cost management resulting in lower expenses, and a favorable tax rate. Nevertheless, there were also challenges that impacted the earnings, such as higher operating costs and the influence of a weaker peso in the market.
Remaining optimistic about its future growth prospects, Walmart de Mexico maintains its focus on strategic objectives. These include an expansion of their store network to cater to a broader customer base, continuous efforts to enhance the customer experience, and a focus on growing their e-commerce business to tap into the digital market.
In conclusion, while Walmart de Mexico experienced positive growth in net profit during the second quarter, the company acknowledges the need to address challenges to fully realize its potential. By capitalizing on their strengths and strategically overcoming obstacles, Walmart de Mexico aims to achieve its growth goals in the future.
