Walmex Q2 profit slips as softer consumption prompts outlook cut
WMT•Same-store sales trends
- Same-store sales grew 1.8% in Mexico and 2.4% in Central America, yet overall performance is still impacted by a deflationary environment and cautious spending in Costa Rica.
($1 = 17.4986 pesos at end-June)
Quarterly profit and revenue
MEXICO CITY, July 22 (Reuters) - Walmart's Mexico and Central America unit Walmex reported on Wednesday a 0.7% drop in second-quarter net profit as the company cut its full-year sales outlook due to weaker-than-expected consumer spending.
- Net profit hit 11.15 billion pesos ($637.19 million) for the April-June period, above the 10.99 billion pesos predicted by analysts polled by LSEG.
- Revenue rose 1.9% to 250.95 billion pesos ($14.3 billion), missing analyst estimates of 251 billion pesos.
Outlook cut and operating pressures
"Based on the consumer trends we have observed during the first half of the year, we are revising our outlook for the full year," the company said.
- The company now expects full-year sales growth of 3.5%-4.5% in constant currency.
