Walmart 2006 Annual Report Download - page 17

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Wal-Mart U.S. expects to open over 305
new, relocated or expanded units in the
fiscal year ending January 31, 2007. Our
main focuses will be to achieve double-digit
sales growth and continue to improve
return on investment as we strengthen the
customer experience.
SAM’S CLUB plans to open over 30 new,
relocated or expanded clubs in the fiscal
year ending January 31, 2007. Our ongoing
commitment to small business owners and
increased attention to the personal needs of our
Advantage Members will help us accelerate sales
growth. We continue to build quality into our
affordable luxury offerings. A new emphasis on
sustainability, including eco-friendly packaging
and organic products, is fast becoming part of
our culture.
Wal-Mart International plans to open over 220
new, relocated or expanded stores in the fiscal
year ending January 31, 2007. We will con-
tinue to focus on our customers’ needs and
support the communities where we operate.
We will continue acquisitions where they can
add strategic value to our business.
• Added 17 new clubs and
grew sales by 7.2% over last
year to $39.8 billion
• Significantly increased the
number of PLUS members at
our premium level, by offer-
ing more services, including
up to 2% cash back on our
Discover® card for select
purchases
• Delivered solid financial
performance, growing profits
faster than sales and improv-
ing return on investment to
a four-year high
• Introduced an affordable
health insurance program
available to all members and
in all U.S. states
• Expanded our online
product offerings, most
notably office supplies
• Continued to excite members
with affordable luxuries, such
as handbags by Kate Spade®,
premium wines and 61-inch
plasma televisions
• Added 267 supercenters,
24 discount stores and 15
Neighborhood Markets;
grew sales by over $18 bil-
lion, which was an increase
of 9.4%
• Leveraged expenses in the
second half of the year, par-
ticularly wages
• Launched new creative
marketing for the holiday
season with the “Home for
the Holidays” theme
• Utilized consumer insight
– overall emphasis and
understanding of consumer
segments drove introduction
of new merchandise lines
such as Metro 7™ apparel
• Reorganized our operations
team to focus on improving
the customer experience in
our stores
• Implemented successful
Network Remix in Florida,
reducing store inventory and
enhancing shelf in-stock
• Provided exceptional, timely
logistical service to customers
and hurricane victims
• Including acquisitions,
increased store count by
over 43% and added five
new countries to the inter-
national portfolio
• Expanded sales to $62.7 bil-
lion, an 11.4% increase over
last year
• Purchased a 33.3% interest
in Central American
Retail Holding Company
(CARHCO) operating over
360 supermarkets and
other stores throughout
Central America
• Acquired 139 hypermarkets,
supermarkets and wholesale
units in Southern Brazil,
bringing our total Brazilian
units to 295 at the end of
the year
• Acquired majority interest in
Seiyu, a Japanese retail chain
with 398 stores
• Wal-Mart de Mexico had
a great year as operating
income grew faster than
its sales increase of 13.7%
(inflation adjusted) and
comparative store sales
grew 5.8%
Looking aheadHighlights of the year
“ Each of our business units continues to thrive, to innovate and to bring its
customers quality products at affordable prices.”
– Lee Scott, President and Chief Executive Offi cer