Dive Brief:
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Wal-Mart Stores Inc. Thursday reported flat same-store sales at its Wal-Mart and Sam’s Club stores and trimmed its earnings forecast for the year.
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The company cited higher health care costs and slow performance at its larger super center stores.
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The retailer is investing in smaller stores and its e-commerce operations, which, in addition to its international business, did better overall than its larger stores, the company said.
Dive Insight:
In the company’s Thursday earnings report, CEO Doug McMillon made the somewhat obvious comment that Wal-Mart would have been more profitable if its U.S. sales had been better. The retailer is struggling with what many retailers and economists say is a continuing problem: That many Americans aren’t doing well enough in the current economic recovery to beef up their spending in any significant way.