Wal-Mart's 4Q profits up; US sales still slump

NEW YORK: Wal-Mart Stores Inc. is reporting a 27 percent increase in fourth-quarter net income as the world's largest retailer benefited from cost-cutting and strong sales overseas.

But a key revenue measure in the company's U.S. business fell for the seventh quarter in a row, raising doubts that it can turn around its business this year.

Wal-Mart posted net income of $6.06 bn, or $1.70 per share, in the quarter ended Jan. 31. That compares with $4.76 bn, or $1.25 per share, a year earlier.

Total revenue rose 2.4 percent to $116.3 bn. Net sales, excluding membership and other income, increased 2.5 percent to $115.6 bn. Revenue at stores opened at least a year fell 1.1 percent.

Analysts were expecting earnings of $1.31 per share on net sales of $117.52 bn.