How Much of Walmart's Online Sales Growth Came From Groceries?
Walmart (NYSE: WMT) grew online sales 74% in the first quarter. In the press release announcing its earnings results, management attributed the acceleration in online sales growth to "strong results for grocery pickup and delivery services."
A couple of other notable items from Walmart's report include gross margin contraction of 66 basis points and lower losses for its eCommerce operations. Both of those indicate strong uptake in online grocery, which will pressure gross margin but leverage the operations already in place at over 3,300 Walmart stores nationwide.
That shouldn't be a huge surprise. There were a ton of data points over the last couple of months that online grocery sales are surging amid the coronavirus pandemic, and Walmart is winning the lion's share of new sales.
Source Fool.com
