Walmart Expects Fewer Stores, Modest Profits As It Invests More In E-Commerce

Walmart
A Walmart Hybrid Truck In Michigan

Walmart is really pushing to increase its e-commerce market share, and the world's leading retailer is cutting back on building more supercenters to do it. 

Company execs announced earlier this week the firm will only open about half as many supercenters next year as it did last fiscal year, instead pouring that money into e-commerce. That means Walmart will direct a larger share of its $11B annual capital spending towards e-commerce than ever before, the Wall Street Journal reports. 

The company says its fiscal 2018 earnings will be flat compared to fiscal 2017, but looking ahead to 2019 the retailer expects to see about 5% growth. Despite the shift, Walmart still plans on opening 35 new supercenters next year. [WSJ]

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