Wal-Mart gains approval to proceed with China e-commerce expansion
Bentonville, Ark. — Wal-Mart Stores Inc. indicated Tuesday it has received the OK from Chinese regulators to move forward with its majority stake in e-commerce company Yihaodian.
According to a report by Wall Street Journal, which cited a Wal-Mart spokesperson in Beijing, the approval will allow Wal-Mart to expand its online presence in China. Under the deal, Wal-Mart will increase its stake in Yihaodian from 18% to 51%.
Financial terms of the transaction have not been disclosed.
Saks loss widens in Q2
New York — Saks Inc. reported Tuesday a loss of $12.3 million for the second quarter, widened from a loss of $8.4 million in the year-ago period.
Revenue climbed 5.1% to $704.1 million, widely missing the $762.6 million projected by Wall Street. Same-store sales increased 4.7% in the quarter.
Saks CEO Stephen Sadove reminded investors that revenue has risen for the last four quarters, increasing 3.8% in the first quarter, 6.8% in the fourth quarter of the last fiscal year and climbing 5.1% in the third quarter of the last fiscal year. As well, Saks’ loss in the latest quarter follows profits in the previous three quarters.
The company also announced Tuesday it no longer will be reporting monthly sales.
TJX Cos. profit surges 21% in Q2
Framingham, Mass. — TJX Cos. reported Tuesday that net income for the quarter ended July 28 soared 20.9% to $421.1 million, up from $348.3 million and marking the discounter’s third consecutive quarter of rising profits.
Revenues beat projections by climbing 8.7% to $5.95 billion.
The owner of the Marshalls and T.J. Maxx chains raised its full-year profit forecast.