American retail company Walmart, Inc. is calling on the U.S. and China to strengthen their collaborative relationship to provide more overseas opportunities for businesses from both countries. The company has reported better-than-expected sales growth in China and its other foreign markets.
The company reported a 104 percent increase in its net e-commerce sales in China for its latest quarter. Walmart's chief executive officer Douglas McMillon encouraged the two countries to settle their differences so more American companies could do business in China. He said he personally knew many businesses and farmers wanted the two countries to work together.
In an interview with Fox, McMillon said around two-thirds of all the products it sold abroad were made in the U.S. He said having good relations with other countries was a boon for American manufacturers because it would see their products sold in more countries.
Walmart has spent heavily expanding its business in China. The company has opened several outlets - including new Sam's Club stores. It has partnered with local companies like grocery-delivery company Dada to increase its online reach and presence. Earlier in August Dada said Walmart's more than 400 outlets in China were now connected to its platform - allowing customers to use its one-hour grocery deliveries.
During Walmart's earnings call executives emphasized the importance of the company's foreign markets. Chief financial officer Brett Biggs said the company was pushing ahead with plans to establish strong local businesses in foreign countries such as China and India. He said these markets provided the company with huge opportunities for growth.
For its latest quarter ended June 30 Walmart reported a 79 percent increase in overall profit. The company attributed the growth to the increase in online and offline spending with people stuck at home during monthslong lockdowns. Walmart reported earnings of $6.48 billion, or an adjusted $1.56 per share, for the period compared with the $1.25 per-share earnings expected by analysts. Total revenues for the quarter hit $137.7 billion compared with an expected $135.48 billion.
