Bulletin: Wal-Mart Stores Inc. Announces Quarterly And Annual Results In Line With Our Expectations; No Rating Impact

NEW YORK (Standard&Poor's) Feb. 18, 2016—Standard&Poor's Ratings Services today said Wal-Mart Stores Inc. reported soft sales and a decline in operating profits in the fourth-quarter ended Jan. 31, 2016, but results were largely in line with our expectations. Comparable-store sales at Wal-Mart U.S. grew a modest 0.6% in the quarter, which we believe was driven in part by low gas prices and improvements to the in-store shopping experience as evidenced by the fifth consecutive quarter of positive traffic. However, food deflation pressured comparable-store sales in the quarter as grocery sales contribute more than half of total revenue in the U.S. Overall, our ratings on Wal-Mart are unaffected by the company's fourth-quarter and fiscal-year 2016 results. Global

...NEW YORK (Standard & Poor's) Feb. 18, 2016--Standard & Poor's Ratings Services today said Wal-Mart Stores Inc. reported soft sales and a decline in operating profits in the fourth-quarter ended Jan. 31, 2016, but results were largely in line with our expectations. Comparable-store sales at Wal-Mart U.S. grew a modest 0.6% in the quarter, which we believe was driven in part by low gas prices and improvements to the in-store shopping experience as evidenced by the fifth consecutive quarter of positive traffic. However, food deflation pressured comparable-store sales in the quarter as grocery sales contribute more than half of total revenue in the U.S. Overall, our ratings on Wal-Mart are unaffected by the company's fourth-quarter and fiscal-year 2016 results. Global e-commerce sales increased about 8% on a constant currency basis, which decelerated from 10% last quarter, and weaker performance in the international segment constrained growth. Overall, we believe revenue will be flat in fiscal...

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