NEW YORK (Reuters) - Wal-Mart Stores Inc on Thursday reported a stronger-than-expected 3.4 percent rise in sales at U.S. stores open at least a year in November, boosted by "record" grocery sales and improved customer traffic as gas prices dropped.
Analysts, on average, were expecting a same-store sales gain of 2.1 percent, according to Reuters Estimates, while the company had forecast a rise of 1 percent to 3 percent.
The world's largest retailer has been gaining market share during the U.S. recession as shoppers seek out its low prices on necessities, like food and toiletries. Wal-Mart is expected to outperform competitors this holiday season, and is introducing new price cuts every week until Christmas to attract cash-strapped shoppers.
The start of the holiday shopping rush took a deadly turn this year when a man working for the discount retailer was killed on Black Friday, the day after Thanksgiving, by a stampede of frenzied shoppers.
In a statement on Wednesday, Wal-Mart said it will continue to work with local law enforcement officials to implement stronger safety measures.
On Thursday, Wal-Mart said price cuts on food helped drive "record" grocery sales, and falling gas prices meant customers had more money to spend in its stores.
Chief Financial Officer Tom Schoewe said the company now expects December same-store sales "near the high end of our previously stated fourth quarter guidance of one to three percent."
Wal-Mart said net sales in the month ended Nov 28 rose 1.6 percent to $32.21 billion.
(Reporting by Nicole Maestri, editing by Dave Zimmerman)
