Wal-Mart's Earnings Report Exceeds Wall Street Expectations

A better than expected third-quarter earnings report gave investors some faith in the retail giant.
SMS

Things are starting to look up for Wal-Mart after its third-quarter earnings report beat Wall Street's expectations. 

Comparable sales at Wal-Mart's stores rose 1.5 percent, and traffic was up 1.7 percent. But its total revenue at $117 billion is down compared to last year's figure of $119 billion.

Last month, company stock plunged after it said profits next year could drop as much as 12 percent. But stock was up at more than 5 percent following the third quarter earnings report.

Regardless, Wal-Mart still has some pretty hefty expenses to pay for in the coming years.

It has raised its minimum wage to $9, given managers a pay increase and implemented new training programs that will cost $2.7 billion over two years.

It's also expected to invest $1.5 billion into making its e-commerce operations more efficient to better compete with companies like Amazon

So it could take some time before Wal-Mart sees serious growth, but at least the most recent earnings report shows that its efforts are paying off.

This video includes images from Getty Images.

Featured Stories
Japanese-Americans registering for work, under the Work Corps plan for evacuees

75 Years Ago: An Executive Order Sent 120,000 Japanese Into Internment

Rep. Elijah Cummings

Trump To Meet With Black Caucus After Unorthodox Back And Forth

Matt Damon starring in "The Great Wall"

After Making Millions in China, 'The Great Wall' Flops In US Theaters

Now Watching
Wal-Mart's Earnings Report Exceeds Wall Street Expectations
Want to see more stories like this?
Like Newsy on Facebook for More Company News Coverage