Wal-Mart de Mexico 2Q Profit Slips Amid Modest Sales Growth

By Anthony Harrup

MEXICO CITY -- Retailer Wal-Mart de Mexico posted slightly lower net profit in the second quarter as the increase in cost of sales and expenses outpaced modest sales growth.

Walmex, as the unit of Arkansas-based Walmart is known, reported net profit of 11.15 billion Mexican pesos ($640.7 million) or MXN 0.647 a share for the April-June quarter, down 0.7% from MXN11.23 billion in the year-earlier quarter.

Revenue increased 1.9% to MXN250.95 billion. Same-store sales rose 1.8% in Mexico with a 2.9% higher average ticket offset by a 1.1% decline in store traffic. In Central America same-store sales rose 2.4%, with 2.3% more customers and a 0.1% rise in average ticket.

General expenses grew 3% from the year-earlier quarter, fueled by investments in new stores and ecommerce, Walmex said.

Operating profit fell 1.4% to MXN17.02 billion, and earnings before interest, taxes, depreciation and amortization edged up 0.6% to MXN23.64 billion.

"Consumer spending remains soft and our performance is not yet where we want it to be," said Walmex Chief Executive Cristian Barrientos Pozo. "The slower-than-expected recovery in consumer demand is clearly impacting out top-line performance."

Customers are planning purchases more carefully, and increasingly combining physical and digital channels for value and convenience, so it isn't enough to wait for demand to recover, he added.

Write to Anthony Harrup at anthony.harrup@wsj.com

(END) Dow Jones Newswires

July 22, 2026 18:23 ET (22:23 GMT)