Walmart reported mixed results as rising fuel costs continue to affect consumer behavior, according to comments from the company’s chief financial officer, John David Rainey. For the first time since 2022, customers have been purchasing less than 10 gallons per visit at Walmart’s petrol stations, a sign of increasing pressure on lower-income shoppers despite generally healthy headline consumer spending.

In the quarter ending May 1, Walmart posted a 4.1 percent increase in comparable sales, which include transactions from stores and digital channels open at least a year. Sales gains were recorded across its core segments and online platforms. Rainey pointed out that higher tax refunds in the quarter likely helped soften the impact of elevated fuel prices, which continue to strain budgets for some consumers.

Walmart is navigating a bifurcated market, with low-income shoppers responding to fuel price pressures by limiting purchases, while higher-income customers are turning to Walmart’s faster online delivery services and expanded premium selections in categories such as fashion and beauty. The retailer aims to maintain low prices to attract budget-conscious shoppers but indicated that prices may rise if fuel costs remain elevated.

Despite strong sales growth, Walmart kept its full-year financial outlook largely unchanged, projecting comparable sales growth between 3.5 percent and 4.5 percent. For the current quarter, the company expects sales to increase by 4 percent to 5 percent. Earnings per share are forecasted to range from 72 cents to 74 cents, slightly below Wall Street expectations.

Following the earnings announcement, Walmart’s shares fell 7.3 percent to $121.34, marking the largest single-day decline since 2023 and making it the weakest performer in the Dow Jones Industrial Average on that day. Market analysts suggested that some investors had already priced in Walmart’s recent performance or were anticipating more optimistic full-year guidance.

Walmart’s results follow a trend among major retailers reporting sales growth amid ongoing economic uncertainties. Consumer sentiment in the United States has reached record lows in recent months, driven in part by persistent high gasoline prices. Nonetheless, wage growth and employment data have remained robust, supporting consumer spending. Other retailers, including Target, have recently reported signs of sales recovery after several quarters of softness, indicating cautious optimism among retail executives as they monitor the evolving macroeconomic environment.