00:00 Speaker A
Walmart, you say, Brian, clear winner this week. What was the big important data point or points, Brian, as you read through that earnings report that really stuck out to you?
00:09 Brian
Yeah, the e-commerce segment that they’ve invested a lot in over the last year has really paying off. It was up 27% to almost to the point where they mentioned on the earnings call, they’re now attracting even more affluent customers. So, they’re not only just growing in traffic, they’re growing wallet share from more of the the the wealthier consumers that they want to interact with. and that’s them using online sales to compete directly with Amazon, home delivery, making it easier to interact, and they’re really doing a great job with that e-commerce division.
00:46 Speaker A
As they attract those more affluent customers, Brian, I’m curious what do you think the the impact is on the financials long-term? You know, what could it what could it mean for for revenue mix, for competitive positioning?
01:05 Brian
It adds a lot of sustainability to to revenue growth because these more affluent consumers aren’t just buying groceries or generic diapers and things of that nature. They’ll get into the more of the apparel and the hard goods and they like to act in in that manner with their wallet. And so that leads to not just revenue growth, but a sustainable form of revenue growth in higher margin items and products, and that’s really what’s exciting about the near-term growth for Walmart going forward.
01:40 Speaker A
You like the new CEO, Brian, John Furner, right guy for the job?
01:44 Brian
Yeah, insider, he’s he knows all the culture. He understands the direction that they’re trying to achieve. So now it just comes down to execution. Think he’s the right guy for the job.
