Walmart posts profit rise in Q1

Walmart, the world's largest retailer, has posted a rise in profits in the three months to April. The US giant, which owns UK's Asda, said profits rose 1 percent to 3.78 billion dollars (2.48 billion pounds) after sales in the US fell by 1.4 percent.

Promotions boost sales at Asdah

Sales and profits at subsidiary Asda, the UK's second-biggest supermarket, rose by a healthier 1.3 percent thanks to a range of price promotions. The company's fashion ranges, especially George by Asda, have been a huge success with customers.

Walmart said US sales were affected by a raft of factors, including a delay in income tax refund cheques, cool weather, lower price inflation than expected, and an increase in companies' payroll tax.

Customers made fewer visits, with overall sales to its stores down by 1.8 percent, although once they were there, shoppers' average amount spent rose by 0.4 percent.

Shares in the company fell ahead of the US market opening, although earlier this week, they had hit an all-time high of 79.96 dollars on Wednesday.

Walmart said it expected the next quarter's same-store sales to see no or modest growth of up to 2 percent.

Separately, Walmart this week said it would conduct its own safety inspections at its Bangladesh factories instead of joining an accord with other retailers, in the wake of the collapse of the nine-storey Rana Plaza building on 24 April, where more than 1,100 people died. Critics said its plan was "flawed".

Image: George by Asda