Wal-Mart online sales surge

NEW YORK: Wal-Mart’s fourth-quarter earnings fell nearly 18 percent as the world’s largest retailer was hurt by its investments in e-commerce and stores.
But Wal-Mart saw its US business accelerate — both in customer counts and for a key sales metric — during the period that covers the critical holiday shopping season. It also enjoyed a surging global e-commerce business. The company also said Tuesday that it is raising its dividend. Shares rose in pre-market trading.
Wal-Mart, like other traditional retailers, has been trying to improve its online operations to be a stronger challenger to online leader Amazon.com. The holiday shopping season was challenging for many retailers, underscoring the changes brick-and-mortar stores need to make. But Wal-Mart’s results show that it has been able make inroads.
“We are moving with speed to become more of a digital enterprise and better serve our customers,” Doug McMillon, CEO of Wal-Mart Stores Inc., said in a statement.
Still, Wal-Mart and others also face new challenges, as shoppers face uncertainty about health care and other issues under President Donald Trump. Wal-Mart and other retailers are fighting a Republican proposal aimed at encouraging manufacturing in the US that would essentially tax imported goods — something the retail industry says would increase prices for shoppers on items like clothes and toys by as much as 20 percent.