US retail giant Wal-Mart has reported a 26% drop in quarterly profit - its first earnings decline in more than 10 years - because of the costs of selling its German stores to a rival. But the company maintained its full-year profit forecast.
Net income fell to $2.08 billion, or 50 cents per share, in the second quarter to the end of July, from $2.8 billion, or 67 cents per share, a year earlier.
Excluding an $863m loss on the sale of the German stores to Metro, earnings per share were 72 cents in the latest period, in line with the average forecast of analysts. Quarterly sales rose 11% to $84.5 billion.
Wal-Mart has been adding more upmarket items, such as trendy clothing and organic food, to try to attract wealthier shoppers to buy more high-margin items. Its poorer customers have been hit particularly hard by rising petrol prices
