With strong earnings, Walmart continues its battle with Amazon
Walmart reported earnings and sales that beat expectations for the second quarter this year, with e-commerce sales growing for U.S. stores 60%, per a Walmart press release. Revenue was at $123.36 billion compared to an estimated $122.84 billion. Earnings were at $1.08 a share.
Why it matters: Walmart is largely avoiding the struggles hitting the rest of the industry — its size and scale enable it to compete on price with Amazon.
Context: E-commerce sales were up 63% last quarter, compared to 29% growth the prior quarter following Walmart's acquisition of internet retailer Jet. Plus, as CNBC's Lauren Thomas writes, "These days, Walmart and Amazon.com are neck and neck on pricing."
What to watch: Walmart's retail rival, Target, had a report recently that topped expectations in digital sales growth.