Walmart earnings: Wealthier shoppers turn to Walmart for groceries

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New York
CNN Business
 — 

Wealthier customers pinched by inflation are switching to Walmart for groceries, boosting sales at America’s largest retailer.

Walmart

(WMT)
on Tuesday reported annual US sales growth of 8.2% last quarter at stores open for at least a year. The results beat Wall Street analysts’ expectations, pushing Walmart

(WMT)
’s stock up around 6% during pre-market trading Tuesday.

Walmart is a bellwether of consumer spending, particularly on groceries, which account for more than half of its sales.

The company said it is making “strong grocery share gains, including from high-income households.”

It’s the latest sign that the highest inflation in decades is altering shoppers’ spending habits, including wealthier customers. Food prices increased 10.9% in October from a year ago.

Other discount supermarkets and Dollar General

(DG)
have said they are gaining new, wealthier customers because of inflation.

This is a developing story and will be updated.