Earnings Notes

By Staff On Aug 21 2006 - 6:00am

Wal-Mart Net Falls

Bentonville, Ark.— While Wal-Mart reported lower net income per share of $2.08 billion for the second quarter compared with $2.81 billion the same time last year, net sales were up for both Wal-Mart Stores and Sam's Club. The retailer said net income fell in part due to a $863 million loss on its decision to sell its German retail operations and it is reportedly the first time the chain saw its quarterly profit fall since 1996. Net sales for all operations during the quarter were $84.5 billion, an increase of 11.3 percent over last year. Income from continuing operations during the quarter was $2.98 billion, a 4.6 percent gain. U.S. comp stores sales for the quarter increased by 1.7 percent, which is represented by 1.5 percent for Wal-Mart Stores and a 2.6 percent increase for Sam's Club. Wal-Mart Stores' sales were up 6.9 percent to $55.4 billion in the quarter while Sam's Club posted a 5 percent gain to $10.5 billion.

Home Depot Q2 Strong

Atlanta — Home Depot reported fiscal second quarter net earnings of $1.86 billion up 9.8 percent, ended July 30, compared to the same period in fiscal 2005. Sales for the second quarter of fiscal 2006 totaled $26 billion, a 16.7 percent increase from the same period of 2005. Total sales in the retail segment grew 5.1 percent to $22.6 billion, reflecting new stores and comparable store sales of -0.2 percent. Among the significant accomplishments in second quarter Home Depot cited was its 10.1 percent market share in appliances, up 130 basis points. Bob Nardelli, chairman, president & CEO, said that a “challenging second half,” made the company back off slightly on its sales and earnings guidance.