Walmart profit beats expectations; stock jumps

Walmart Stores Inc on Thursday reported a higher-than-expected quarterly profit as sales in the US market rose, sending the retailer's shares up nearly 10 per cent.

Excluding special items, earnings per share came to 98 cents in the first quarter ended on April 29, exceeding the analysts' average estimate of 88 cents, according to Thomson Reuters I/B/E/S.

Walmart said sales at US stores open at least a year rose one per cent, excluding fuel price fluctuations. That is stronger than market expectations for a rise of 0.5 per cent, according to Consensus Metrix.

The company's performance bucked a string of weak results by competitors. On Wednesday, rival Target Corp gave a cautious outlook and reported a lower-than-expected rise in quarterly sales due to unseasonable weather and soft demand.

Shares of Walmart were trading at $69.07 before the market opened, up from Wednesday's close of $63.15.