Connect with us

Published

on

Wealthy shoppers have flocked to Walmart in greater numbers, helping the nation’s largest retailer overcome inflation headwinds faced by rivals and fuel better-than-expected quarterly results, the company said Thursday.

Walmart said total US comparable sales rose 3.8% in its first quarter ended April 30 — with the bulk of the gains coming from households with an income of $100,000 or more.

We are seeing customers trade into Walmart, Chief Financial Officer John David Rainey told Bloomberg.

Weve historically been thought of for value, but now its value, quality and convenience.

The average bill at the till was flat but the number of transactions rose.

Analysts expected those sales to climb 3.15%, according to LSEG.

Wealthier customers also boosted the retailer’s online sales, accounting for most of the 22% spike in e-commerce sales in the quarter, the company said.

The Bentonville, Ark.-based behemoth raised its full-year forecast, sending shares of the company soaring 6.5%.

Growth was driven by its pickup and delivery services and increased sales of items like men’s, women’s and kids’ apparel through its third-party marketplace, which now offers more than 420 million items of mostly discretionary products. 

These are not inflation-driven results, chief executive Doug McMillon said on an earnings call.

Whether the environment is inflationary or deflationary, whether customers have more money or less money, if were doing a good job on the items and prices and the service we provide the company will continue to grow, he said.

While overall retail sales in the US were flat in April compared with the previous month, inflation has seemingly begun to lose steam. 

The Consumer Price Index, which tracks goods and service costs, rose 3.4% in April from a year ago easing from the previous months 3.5% spike and in line with economists forecasts.

Subscribe to our daily Business Report newsletter!

Please provide a valid email address.

By clicking above you agree to the Terms of Use and Privacy Policy.

Never miss a story.

The question is as inflation eases up will the retailer be able to hold on to these newer customers, Edward Jones analyst Brian Yarbrough said.

Historically, Walmart has not been able to keep them after recessions end, but maybe this time is different as the speed of its delivery improves and its marketplace gives them access to better merchandise. 

While Americans have generally managed to navigate through higher prices, prolonged inflation has sparked worries that lower-income consumers might be more pressured and potentially slow down an anticipated recovery in spending.

Walmart executives said that lower-income consumers maintained their spending habits in the quarter but tended to prioritize cheaper items.

They also noted that the price gap between eating at home and dining outside had increased, boosting its grocery business which accounts for about 60% of total revenues.

A 45% increase in the number of food and consumables items it offered on discounts, which it calls rollbacks, in April resonated strongly with shoppers.

“As we continue to work closely with our suppliers to lower cost, we’re managing our … competitive price gaps and customers are responding favorably, resulting in sustained sales growth and higher gross margins,” Walmart’s finance chief John David Rainey said.

Walmart has likely also gained market share at rival Targets expense, Yarbrough said.

A backlash against the company over its LGBTQ themed merchandise resulted in August in the company’s first quarterly loss in six years.

This month, Target is moving most of its LGTBQ merchandise in honor of Pride in June online, according to a Bloomberg report.

Despite the strong earnings, Walmart announced this week that its slashing several hundred jobs at its headquarters and asking remote workers to return to the office, consolidating most of its corporate offices into three locations as it revamps its corporate campus in Bentonville.

Continue Reading

World

Terror group supporters posted on TikTok, YouTube and Google from site targeted in Indian airstrikes

Published

on

By

Terror group supporters posted on TikTok, YouTube and Google from site targeted in Indian airstrikes

Social media accounts expressing support for a Pakistan-based terror group linked to al Qaeda appear to have posted recent videos from a Pakistan mosque targeted by Indian airstrikes.

Sky News has found videos posted on TikTok, YouTube and Google that appear to be filmed at the Markaz Taiba Mosque in Muridke. The captions and usernames contain expressions of support for the Lashkar-e-Taiba (LeT) and a group called ‘313’.

Sky News has found and geolocated multiple videos that appear to be filmed in the area where the captions include either or both ‘313’ and LeT.

Some of the videos show men in the streets with guns. Another post captioned a video of children doing martial arts training inside the targeted mosque, “we are little soldiers, and we fight the non-believers”.

The caption of the video reads "we are little soldiers, and we fight the non-believers". It uses the hashtag '313' and uses the word 'mujahid' which means 'who does jihad'.
Image:
The caption of the video reads ‘we are little soldiers, and we fight the non-believers’. It uses the hashtag ‘313’.

The caption uses the hashtag #جہاد313, which translates to ‘313’ jihad.

‘313’ appears to refer to the 313 Brigade, a proscribed terror organisation in Pakistan.

In a TikTok video posted to the Google page for Markaz Taiba Mosque in Muridke, a man can be seen walking along the street with a gun.

More from World

The account that posted that video wrote in their description, “Lashkar Taiba, Mujahid Force, ‘313’ and Markaz Taiba Muridke”, self-proclaiming their support for the groups.

This screenshot from a Google user labels Lashkar-e-Taiba and ‘313’ and claims to be from Muridke.
Image:
This screenshot from the Google user labels Lashkar-e-Taiba and ‘313’ and includes the location name Muridke

India’s retaliatory strikes on Pakistani-adminstered Kashmir and Pakistan on 7 May came after a deadly attack in Indian-administered Kashmir last month.

Gunmen opened fire on tourists, killing 26 people and injuring dozens in a popular holiday spot near Pahalgam, Kashmir, on 22 April.

LeT were accused by India of involvement in the Pahalgam attack through their proxy the Resistance Front, which claimed responsibility for the attack.

LeT, which is designated as a terrorist organisation by the UN Security Council and the UK, focuses on fighting Indian control in Kashmir and is based in the Punjab region of Pakistan.

Pakistan denies allegations of terror camps operating in the country. This region has been in the control of the Punjabi government since 2010. The Punjab government condemned the Indian strikes, and declared a state of emergency across Punjab.

Muskan Sangwan, senior intelligence analyst at TRAC, a terrorism research and analysis consortium, told Sky News: “Brigade 313 is al Qaeda in Pakistan. It’s an umbrella organisation for members of several groups like Taliban, Lashkar-e-Jhangvi, Haqqat ul-Jihad-al-Islami, Jaish-e Muhammad, Lashkar-e-Taiba, and Jundullah.”

Ms Sangwan explained that ‘313’ refers to the number of companions said to have fought with the Prophet Mohammed in the Battle of Badr.

TRAC have seen a recent uptick in TikTok videos and other social media posts that refer to ‘313’.

Many of the accounts are linked to each other.

Ms Sangwan said: “They [the TikTok users] mostly use ‘313’ as a hashtag… trying to push that hashtag to as many people it can reach on social media.”

Sky News sought to verify the location by comparing before and after videos from the strike location, and using the video released by the Indian army conducting the strike.

One video showing damage at the strike location was posted by a user with 313 in their TikTok username.

The TikTok account that posted video footage of the destruction of the mosque has 313 in their caption.
Image:
The TikTok account that posted video footage of the destruction in Muridke has 313 in the username

Below is satellite imagery that shows the destruction of the site.

Satellite imagery shows Markaz Taiba Mosque after the strike on May 7th. Credit: Maxar.
Image:
Satellite imagery shows Markaz Taiba Mosque after the strike on 7 May. Credit: Maxar

In one TikTok, the video is captioned “bring your arms and ammunition and go to war”. The text on the screen of the TikTok is ‘313’ and he is carrying a gun.

The group are comfortable with having an online presence. On the Google tag for Markaz Taiba Mosque in Muridke, men pose for a group photo. Almost all the people in the photo have used ‘313’ on TikTok.

Ms Sangwan explained: “With these people from Muridke, pushing this propaganda on social media would generate a lot of significance in terms of recruitment and in terms of gaining support from local people and from other people.”

Sky News’ Asia correspondent Cordelia Lynch has reported on the ground in Muridke.

Please use Chrome browser for a more accessible video player

Anger in Pakistan after India strikes

India says it struck Markaz Taiba, a site in Muridke about 15 miles (25km) from the border, which has long been claimed to be a terrorist training site associated with LeT.

MEMRI, a US-based research group that monitors terrorist threats, told Sky News: “It has been known for decades that Lashkar-e-Taiba has its headquarters in Muridke.”

Follow the World
Follow the World

Listen to The World with Richard Engel and Yalda Hakim every Wednesday

Tap to follow

Sky News contacted the Pakistan Ministry of Defence for comment. Khawaja Asif, Pakistan’s defence minister, told Sky News: “This appears to be a random video with background music added later – consistent with how TikTok trends often function. If this is to be considered credible evidence, we could produce millions of similar clips ourselves.”

Mr Asif also said that any suggestion that the mosque was used as a base by terrorists was a “completely false, social media made up hoax”.

On 7 May, after the strikes in Pakistan, the Indian subcontinent branch of al Qaeda issued a statement condemning India’s actions and encouraging its supporters to wage jihad against India.

The Data and Forensics team is a multi-skilled unit dedicated to providing transparent journalism from Sky News. We gather, analyse and visualise data to tell data-driven stories. We combine traditional reporting skills with advanced analysis of satellite images, social media and other open source information. Through multimedia storytelling we aim to better explain the world while also showing how our journalism is done.

Continue Reading

US

Bodycam footage shows ICE agents arrest Newark mayor Ras Baraka

Published

on

By

Bodycam footage shows ICE agents arrest Newark mayor Ras Baraka

Bodycam footage has captured the arrest of a US city mayor during a protest at a federal immigration detention centre.

Newark Mayor Ras Baraka, who was released from custody hours after he was detained on Friday, has denied trespassing during a confrontation with Immigration and Customs Enforcement (ICE) agents.

He was at the facility, which opened in the New Jersey city last week, with three members of Congress and witnesses said his arrest came after he tried to join them in entering the centre.

Ras Baraka has been released from custody. Pic: REuters
Image:
Ras Baraka (centre) has been released from custody. Pic: Reuters

In bodycam footage released by the Department of Homeland Security (DHS), an agent can be heard telling him: “Listen, congressmen are different, congresswomen are different.

“Mr Mayor, anyone that is not a congresswoman or man, step back… It’s your last warning. You will be placed under arrest.”

A heated argument broke out after Mr Baraka’s entry was blocked and he left the secure area to rejoin protesters on the other side of the gate.

Minutes later, several ICE agents, some wearing face coverings, surrounded him and others on the public side.

Mr Baraka was dragged back through the gate in handcuffs, as protesters shouted: “Shame.”

Protesters shout 'let him out' after mayor's arrest. Pic: AP
Image:
Protesters shout ‘let him out’ after mayor’s arrest. Pic: AP

Alina Habba, interim US attorney for New Jersey, said on X that Mr Baraka trespassed at the detention facility, which is run by private prison operator Geo Group, adding he had “chosen to disregard the law”.

The DHS said in a statement that the politicians had not asked for a tour of the Delaney Hall centre, which the agency said it would have facilitated.

The department said that as a bus carrying detainees was entering in the afternoon “a group of protestors, including two members of the US House of Representatives, stormed the gate and broke into the detention facility”.

After his release on Friday night, the mayor told waiting supporters: “The reality is this: I didn’t do anything wrong.”

Mr Baraka, a Democrat running to succeed term-limited Governor Phil Murphy, has embraced the fight with Donald Trump‘s administration over illegal immigration.

Read more from Sky News:
Hospital accused of ‘covering up’ suspended surgeon concerns

Soviet rocket may have crashed through atmosphere over UK

Follow the World
Follow the World

Listen to The World with Richard Engel and Yalda Hakim every Wednesday

Tap to follow

He has been a vocal critic against the construction and opening of the 1,000-bed detention centre, arguing that it should not be allowed to open because of building permit issues.

DHS said in its statement that the facility has the proper permits and inspections have been cleared.

Continue Reading

US

UK-US trade deal ‘isn’t worth the paper it’s written on’, Nobel Prize-winning economist tells Sky News

Published

on

By

UK-US trade deal 'isn't worth the paper it's written on', Nobel Prize-winning economist tells Sky News

A Nobel Prize-winning economist has told Sky News the recently announced UK-US trade deal “isn’t worth the paper it’s written on”.

Sir Keir Starmer and Donald Trump announced the “first-of-a-kind” agreement with a live, televised phone call earlier this week – and the British prime minister hailed the deal as one that will save thousands of jobs in the UK.

Politics latest: Tories criticise proposals to tackle immigration

But leading economist Joseph Stiglitz has told Sunday Morning with Trevor Phillips he “wouldn’t view [the deal] as a great achievement”.

“Any agreement with Trump isn’t worth the paper it’s written on,” he said, pointing out the president signed deals with Canada and Mexico during his first term – only to slap them with hiked tariffs within days of returning to the White House this year.

“I would view it as playing into Trump’s strategy,” he said.

“His strategy is divide and conquer, go after the weakest countries, and sort of put the stronger countries in the back.”

Please use Chrome browser for a more accessible video player

How good is the UK-US deal?

The scramble to secure a UK-US trade deal was sparked by Mr Trump’s ‘Liberation Day’ announcement last month, which saw the president hike import tariffs for multiple countries and subsequently send global markets crashing.

China initially faced tariffs of 34% and when Beijing hit the US with retaliatory rates, a trade war quickly ensued.

The US and China now impose tariffs of above 100% on each other, but representatives from the two countries have this weekend met for high-stakes negotiations.

Read more:
Key details in the UK-US deal
Analysis – the challenge Starmer faces

President Donald Trump, center, with from l-r., Vice President JD Vance, and Britian's ambassador to the United States Peter Mandelson, making remarks on a trade deal between U.S. and U.K. in the Oval Office of the White House, Thursday, May 8, 2025, in Washington. (AP Photo/Evan Vucci)
Image:
Donald Trump, with US vice president JD Vance and Britain’s ambassador to the US Peter Mandelson, announcing the deal. Pic: AP

Britain's Prime Minister Keir Starmer speaks on the phone to US President Donald Trump at a car factory in the West Midlands, Thursday, May 8, 2025.(AP Photo/Alberto Pezzali, Pool)
Image:
Sir Keir Starmer dialled in for the deal announcement. Pic: AP

With its response to Mr Trump, Beijing “made it very clear that the US is very dependent on China in so many ways,” Mr Stiglitz said.

“So they’re beginning now to negotiate, but from a position of strength.”

👉 Click here to listen to Electoral Dysfunction on your podcast app 👈

Asked if he thinks the UK should have focused on its relationship with the EU instead of the US, Mr Stiglitz said: “Very much so.

“My view is that if you had worked with the EU to get a good deal, you could have done better than what you’ve done.

“If it turns out, in the end, when you work it all out, Trump is unhappy, he’ll run. If he’s unhappy, I pray for you.”

Among the terms in the UK-US trade deal are reduced tariffs on British car and steel exports to the US, while the UK has agreed to remove a tariff on ethanol, used to produce beer.

The agreement also opens a new agricultural exchange, with US farmers being given access to the UK for the first time – though UK food standards on imports have not been weakened.

Continue Reading

Trending