Rushville Republican

Business

February 21, 2014

Wal-Mart offers weak outlook on sales shortfall

NEW YORK (AP) - Much like its low-income shoppers, Wal-Mart can’t seem to catch a break as the U.S. economy rebounds.

The world’s largest retailer on Thursday posted a 21 percent drop in fourth quarter profit and gave a subdued forecast for the current year as it continues to be weighed down by a number of factors.

Winter has been marked by severe weather and slow spending over the holidays. Growing competition from dollar stores and grocers also has chipped away sales. And the latest headache? Wal-Mart said the Nov. 1 expiration of a temporary boost in food stamps is hurting its shoppers’ ability to spend.

The issues Wal-Mart Stores Inc. faces are big challenges for Doug McMillon, who took over as CEO on Feb. 1. In a pre-recorded call on Thursday, McMillon promised Wal-Mart will sharpen its focus on everyday low prices at U.S. stores and further push that strategy abroad.

Wal-Mart also said it will speed up growth plans for its Neighborhood Markets and Wal-Mart Express smaller stores that cater to shoppers looking for more convenience with fresh produce, meat and household and beauty products.

It now plans to open 270 to 300 small stores during the current fiscal year - double its initial forecast - adding to the 346 Neighborhood Markets and 20 Wal-Mart Express locations it already has. The expansion of smaller stores now outpaces the growth of its supercenters, which had long been the company’s growth engine.

“Customers’ shopping habits are changing more rapidly than ever before,” McMillon said. “We must be more nimble and flexible.”

Wal-Mart’s results give insight into shopper behavior during the U.S. economic recovery. It’s considered an economic bellwether because it accounts for nearly 10 percent of nonautomotive retail spending in the U.S. Wal-Mart, like other retailers, warned in late January that its profit and sales were hurt by a number of factors.

Text Only
Business
  • Edward Jones Moves Up on the FORTUNE 500 List RUSHVILLE - Financial services firm Edward Jones moves up on the annual FORTUNE 500 list, as published by FORTUNE magazine, in its second appearance in two years, according to the following Rushville area Edward Jones financial advisors: * Brian D Hu

    June 13, 2014

  • bus-rv061314-fussner release pic Fussner completes 2nd year at Institute for Organization Management WASHINGTON, D.C.-- Institute for Organization Management, the professional development program of the U.S. Chamber of Commerce Foundation, is pleased to announce that Sandy Fussner, Executive Director of the Rush County Chamber of Commerce, has recen

    June 13, 2014 1 Photo

  • U.S. businesses boost April stockpiles 0.6 percent WASHINGTON (AP) -- U.S. businesses increased their stockpiles in April by the largest amount in six months, signaling business optimism that future demand will keep rising. Business inventories rose 0.6 percent after a 0.4 percent March gain, the Com

    June 13, 2014

  • Farm Credit schedules ribbon cutting RUSHVILLE - Farm Credit Mid-America, an agriculture lending cooperative serving farmers, rural residents and agribusinesses throughout Indiana, Ohio, Kentucky and Tennessee, will hold a ribbon cutting ceremony on May 29 for their new office in Rushvi

    May 16, 2014

  • Purdue NExT online learning program launches global website, now open to individuals, businesses, industry WEST LAFAYETTE -- Purdue NExT, an online interactive learning program, has launched its global website, offering 25 new classes. Purdue NExT is an outgrowth of PurdueHUB-U, an online education initiative announced in 2012. It is based on HUBzero, a p

    April 25, 2014

  • Student business competition announces finalists, Demo Day presentations WEST LAFAYETTE - Three Purdue University student-based startups have advanced to the final round of the Boiler Mini-Accelerator Competition or "Boiler," where they will compete for nearly $10,000 in funding. The Boiler, a student-run business competi

    March 28, 2014

  • Congressman Messer honors training program Congressman Luke Messer has made it a matter of Congressional Record that he strongly supports the Manufacturing Matters fast track training program in Rush, Wayne, and Fayette counties. In the Congressional Record dated Feb. 25, 2014, he congratulat

    March 14, 2014

  • bus-rv022814-citizens bank pic Citizens State Bank recognizes 2013 award winners Citizens State Bank held their annual employee awards presentation on Feb. 17, 2014, at a companywide training day. The Pendleton branch was awarded Branch of the Year for their overall performance. Employees from this branch are Alexa Chamberlin, St

    February 28, 2014 1 Photo

  • Wal-Mart offers weak outlook on sales shortfall NEW YORK (AP) - Much like its low-income shoppers, Wal-Mart can't seem to catch a break as the U.S. economy rebounds. The world's largest retailer on Thursday posted a 21 percent drop in fourth quarter profit and gave a subdued forecast for the curre

    February 21, 2014

  • bus-rv011014-gburg Honda logo Honda Greensburg Plant and plants in Ohio perform in top 25 percent GREENSBURG - For the second year in a row, Honda's Greensburg automobile plant earned the U.S. Environmental Protection Agency's (EPA's) ENERGY STAR certification. The ENERGY STAR certification is given to facilities that perform in the top 25 perce

    January 10, 2014 1 Photo