STRONG SALES, PROFIT FOR WALMART ON CUSP OF HOLIDAY SEASON

Walmart raised its outlook for the year after another surprisingly strong quarter as the largest retailer in the world flexed its scale to deal with rising costs and a snarled global supply chain.

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Walmart rerouted goods to less congested ports, even chartered its own vessels, and said that its inventory levels actually rose 11.5% from the same period last year. It boosted market share gains as a result, particularly with groceries, as it drew in more Americans stung by prices that are rising everywhere.

“The sharp increase in inflation has been felt by many households, especially when it comes to grocery shopping, and this has created far more churn in where consumers buy,” said Neil Saunders, managing director at GlobalData Retail. “Thanks to its solid low-price credentials, Walmart is one of the retailers households turn to make their food budget stretch further.”

Food sales rose nearly 10% during the quarter, reflecting strong market share gains and low to mid-single digit inflation.