US retail giant Walmart has outlined its financial earnings for the second quarter of fiscal year 2018, including the announcement of a positive performance for UK-based Asda.
Asda's comparable same-store sales (excluding petrol) climbed 1.8 per cent through the three-month period, making it the first quarter in three years that the retailer had achieved positive sales, with net sales up 3.9 per cent.
"We're also encouraged that the UK delivered positive comp sales," said Walmart president and CEO Doug McMillon.
In June, I visited Asda to see the progress being made," he continued. "Customers are responding to investments in price and store experience by visiting the stores more often and increasing their basket sizes. There's still much more to be done, but we're clearly headed in the right direction."
Asda president and CEO Sean Clarke pointed out that some 275,000 new customers chose to shop at the retailer over the Easter period, although he admitted the retailer needed to "continue to up our game" to enjoy continued success.
"We will continue to work collaboratively with our suppliers to create the best products, make investments where they matter most to our customers, and ensure that we are fit for purpose in what remains a competitive market."
As a group, Walmart saw its revenue climb 2.1 per cent year-on-year to US$123.4bn, although its operating income dropped 3.2 per cent to just under US$6bn.
Its US operations enjoyed net sales growth of 3.3 per cent to US$78.bn, while operating income rose 2.2 per cent to US$4.62bn.
Walmart International, which includes Asda, saw slight drops in both net sales and operating income, down 1 per cent to US$28.3bn and 2 per cent to US$1.6bn respectively.
"Thank to the team for delivering another solid quarter," McMillon added.