Region:
Mexico
Category:
Economy

Walmart's Mexican unit to invest $823 mn in 2016

Region:
Mexico
Category:
Economy
Publication date:
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Walmex's new-store sales are projected to contribute between 1.5 and 1.7 percentage points to total sales growth in 2016

Mexico City, Mar 11 (EFE).- Walmart de Mexico y Centroamerica, the multinational retailer's largest division outside the United States, said it planned to invest 14.7 billion pesos ($822.6 million) in 2016, or 17 percent more than last year.

In a statement, Walmex said 39 percent of the total would be earmarked to opening new stores, 31 percent to remodeling and maintaining existing ones, 24 percent to technology and e-commerce and the remaining 6 percent to logistical improvements.

Walmex's CEO, Guilherme Loureiro, provided those figures at a meeting Thursday with analysts, reiterating the division's goal of doubling overall sales by 2024.

The unit also said in the statement that its intention was for its profits to grow more rapidly than its sales.

Walmex's new-store sales are projected to contribute between 1.5 and 1.7 percentage points to total sales growth in 2016.

Walmart Stores, Inc., Walmex's parent company and the world's largest company by revenue, said in February that its net income and sales for the 2016 fiscal year fell 10.2 percent and 0.7 percent, respectively.

The Bentonville, Arkansas-based multinational has 11,535 stores in 28 countries and employs 2.2 million people.