Wal-Mart exceeds Dec. comps guidance

BENTONVILLE, Ark. Wal-Mart citied strength in its pharmacy, grocery and electronics businesses as key drivers of a 2.6% increase in December same store sales.

That figure was at the upper end of the company’s guidance of a 1% to 3% increase and exceeded analysts’ estimates of 1.8% increase.

Total sales for the Wal-Mart’s U.S. stores division increased 5.6% to $29.7 billion during the five-week December reporting period ended January 4.

“Wal-Mart’s food performance was very strong, which helped drive traffic to other areas of the stores,” said Eduardo Castro-Wright, president and ceo of Wal-Mart Stores U.S. “Our price leadership position was clear very early in the holiday season and customers responded throughout the period to our pricing and merchandise offerings which were support by well-integrated advertising and in-store communication.”

Faster, friendlier checkouts and an overall improvement to the in-store experience also contributed to the results, according to Castro-Wright.

“Within the food category, products related to entertaining and holiday baking performed well. Electronics was strong across the board. In apparel, sales were strong in seasonal and licensed items,” Castro-Wright said.

The company said it Sam’s Club division continued to perform well as it posted a 1.3% same store sales increase. Total sales increased 4.3% to $4.9 billion. The international division saw the largest increase as sales advanced 18.2% to nearly $12 billion.

Wal-Mart maintained it previously states guidance of fourth quarter earnings per share between 99 cents and $1.03.