Walmart Q3 hit by negative foreign exchange

Hit by currency effects, US retail giant Walmart posted a sales increase of 3.4 per cent from $109.5bn last year to $113.2bn in its latest third-quarter results. Without the impact of the negative currency exchange rate, net sales would have reached $114.9bn, according to the company.

The results come at the same time that Walmart lodged a new SEC filing, revealing that it has extended its probe into corruption to Brazil, China and India. The initial investigation involved allegations of bribes to obtain permits in Mexico.

During the quarter, Walmart also leveraged operating expenses in line with its commitment to reduce costs, improve productivity and invest in price.

"Our disciplined approach to operating the business and to the productivity loop drove profitability and expense leverage," said Mike Duke, Wal-Mart Stores, Inc. president and ceo.

Looking ahead to the crucial holiday season, Duke believes that price will be a major factor for customers: "Across all of our markets, we are seeing the same price consciousness as we do in the US. More customers are part of a growing global middle class, looking for quality, value and a better life, and our EDLP (Everyday Low Price) model matters to these customers."