Bentonville, AR, July 6, 2006--Wal-Mart said Thursday that total U.S. same-store sales rose 1.2 percent for the month of June, short of Wall Street expectations for a 2 percent increase.
Total company sales grew 10.4 percent in June to $33.12 billion from $29.99 billion last year.
International sales gained 29.5 percent to $7.6 billion from $5.87 billion last year, including sales from the consolidation of Seiyu and Wal-Mart Central America and the acquisition in Southern Brazil.
The company's Wal-Mart Stores division saw a 1.1 percent same-store sales increase during the month, while Sam's Club same-store sales rose 1.3 percent, excluding fuel. Analysts surveyed by Thomson Financial were looking for greater increases of 2 percent and 3.8 percent, respectively.
The company said average ticket continues to drive results, as traffic declined during the five-week period. Chief Financial Officer Tom Schoewe said Wal-Mart continues to see customers consolidating their trips, as company research among shoppers points to an increasing concern about the rise in gas prices over last year.
"The priority in spending by our customers is on food and consumables," Schoewe said. "In June, we reinforced Wal-Mart's low prices and value throughout the store by highlighting rollback prices on about 500 products through national advertising and increased signage."
"In addition, cooler trends in some regions of the country did result in softer sales of seasonal merchandise for the start of summer," he added.
The company is forecasting a 1 to 3 percent increase in U.S. same-store sales for the July four-week period. Looking ahead, Wal-Mart reiterated guidance for second-quarter earnings per share of 70 cents to 74 cents.
For the 22-week year-to-date period, total U.S. same-store sales rose 2.7 percent, and total sales increased 11.8 percent to $140.93 billion from $126.06 billion a year ago.
