(MENAFN- AFP) US retail giant Walmart notched a 2.8 percent rise in profits Thursday, but reported continued sluggishness at its namesake American stores and trimmed its annual profit forecast.
Wal-Mart Stores Inc., the world's largest retailer, said net income for the third quarter came in at $3.7 billion on revenues of $115.7 billion, up from $3.6 billion on revenues of $113.8 billion in the year-ago period.
The earnings translated into $1.14 per share, a penny above analyst forecasts.
But Walmart reported 0.3 percent lower comparable sales at its US Walmart stores. The company had previously said sales in this division would be "relatively flat."
Comparable sales at Walmart's Sam's Club chain rose 1.1 percent, while Walmart International net sales rose 0.2 percent.
Walmart in recent quarters has said its US performance was hit by higher payroll taxes and gasoline prices, as well as low inflation for groceries.
The company said the retail environment remains tough.
"Our most important priority is growing top line sales, including comp sales," said chief executive Mike Duke.
"The retail environment, both in stores and online, remains competitive."
Walmart trimmed its fourth-quarter and annual profit forecast, citing special items. The company now expects earnings of between $5.01 and $5.11 for the year. It previously forecast a range of $5.10-$5.30.
Walmart said its earnings would lose 10 cents per share due to closing about 50 underperforming stories in Brazil and China and ending a franchise agreement in India.
Without those items, underlying earnings would be $5.11-$5.21 a share.
Walmart shares were down 0.9 percent in pre-market trading.
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