Wal-Mart says June same-store sales growth tracking below previous forecasts

Monday, June 28th 2004, 10:01 am

By: News On 6

BENTONVILLE, Ark. (AP) _ Wal-Mart Stores Inc. lowered its forecast Monday for June sales growth at stores open at least a year to a range of 2 percent to 4 percent, citing cool weather and disappointing Father's Day results.

The world's largest retailer said Monday during its weekly sales update that key categories were flat this year as compared to last year, when it had its best week of the summer.

A week ago, Wal-Mart had indicated that June comparable store sales were tracking at the low end of its earlier estimates of 4 percent to 6 percent growth for the month.

In early trading on the New York Stock Exchange, Wal-Mart shares rose 11 cents to $52.62.

In Monday's update, Wal-Mart said sales this past week were hurt by unseasonal weather. The update said sales in soup, hot cereal, and hot chocolate were strong in the week ending Friday.

Sales in seasonal categories such as air movement, lawn and garden, and pool toys were very weak, the company said. The Southeast and West were the strongest regions and the strongest categories included food, paper goods and pet supplies with electronics continuing to be strong.

The update also said that both traffic and average ticket were positive for the week with traffic making up over three fourths of the comparable store sales increase.