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Tuesday, August 14, 2007

Wal-Mart Posts Profit Below Estimates, Cuts Forecast

By Lauren Coleman-Lochner
Aug. 14 (Bloomberg) -- Wal-Mart Stores Inc., the world's largest retailer, said second-quarter profit rose less than analysts anticipated and lowered its earnings forecast after the company cut prices on thousands of back-to-school items.

Full-year profit will be as much as $3.13 a share, the company said today, less than the $3.16 analysts had estimated.

Net income increased 49 percent to $3.1 billion, or 76 cents a share. Excluding one-time items, profit was 4 cents less than analysts' estimates. A year earlier, Wal-Mart earned $2.08 billion, or 50 cents, after costs to exit Germany.

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