Grocery boosts Walmart sales, but profits fall on inflation in Q2

In Walmart’s U.S. business, average ticket size was up 5.5%, driving the lion’s share of the retailer’s comp sales growth — though, notably, transactions did also grow by 1%. Inflation has also driven more middle and higher income shoppers to Walmart and its low-price proposition. At the same time, higher prices across the economy have, as is well known now, shifted what consumers are buying. That has created both opportunities and pain for Walmart.

Being a major food and consumables retailer, Walmart has been capturing market share in those categories, McMillon said on the call. Comp sales in food went through growth rates in the mid-teens in Q2.