Welp.
So you don't think I'm just parroting some left-wing talking point about Walmart and Trump's tariffs, I'll give you the words right from the horse's mouth:
Here's Walmart President and CEO Doug McMillon:
We will do our best to keep our prices as low as possible but given the magnitude of the tariffs, even at the reduced levels announced this week, we aren't able to absorb all the pressure given the reality of narrow retail margins.
Don't forget, this is the same Walmart (with the same CEO) that stopped selling Confederate flags in 2015 because BLM; the same Walmart (and CEO) that stopped selling "assault rifles" and handguns around that same time because mass shootings.
So when I hear they're raising prices because of tariffs - "even at the reduced levels announced this week" - I don't immediately go to "narrow retail margins" in my thought process.
Though I guess this does expose just how many Chinese wares are sold at Walmart.
More from the AP:
The nation's largest retailers posted strong quarterly sales Thursday and said it expects sales growth of 3.5% to 4.5% in the second quarter.
Like many other U.S. companies, however, it did not issue a profit outlook for the quarter because of the chaotic environment, with stated U.S. tariff policies changing constantly. The company maintained its full year guidance issued in February.
Walmart earned $4.45 billion, or 56 cents per share, in the quarter ended April 30, down from $5.10 billion, or 63 cents per share, in the same period last year.
Adjusted earnings per share were 61 cents, exceeding the 58 cent projections from industry analysts, according to FactSet.
So, uhh, things are going bad, then, at Walmart?
Revenue rose 2.5% to $165.61 billion, just short of analyst estimates.
Walmart's U.S. comparable sales — those from established physical stores and online channels — rose 4.5% in the second quarter, though that's slowed from a 4.6% bump in the previous quarter, and a 5.3% increase in the third quarter of 2024.
Shares rose almost 3% before the opening bell Thursday.
Business was fueled by health and wellness items as well as groceries. Sales were weaker in home and sporting good, which was offset by robust sales of toys, automotive goods and kid's clothing, the company said.
Global e-commerce sales rose 22%, up from 16% in the previous quarter.
Sounds like things are going pretty well - uhh, terrible for Walmart!
Time will tell what these price hikes look like.
I'll end with a reminder for the leftists who will inevitably use this as a political talking point but were silent about inflation the last 4 years.
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