Walmart Inc.

Good afternoon, everyone. Thank you for being here at the Morgan Stanley Retail and Consumer Conference on day one. My distinct pleasure, this is a pre-lunch keynote, to welcome Walmart here, represented by John David Rainey, EVP and CFO. Going to read a disclosure, quick intro, ask the first question, and sit down, and we'll get right at it. For important research disclosures, please see the Morgan Stanley Research Disclosure website at www.MorganStanley.com forward slash research disclosures. If you have any questions, please reach out to your Morgan Stanley sales representative. I think the story speaks for itself. I don't want to say it's becoming a tech company when it gets added to NASDAQ, but the transformation has been marvelous. It was on this stage in this room. It was probably four years ago, five years ago, and it was Doug, and we talked about we can do both, driving sales and margin, and that promise has lived up. And now for the next five years, the next promise is watching margins continue to expand. So my first question, actually, you made an announcement this morning. I don't know if you've done every year, but I haven't fully read it. So I'll give you a chance to tell the market what that press release said, talking about the holiday, et cetera, and then I'll take a seat.

All right. Well, good morning, everybody. It's great to be here. Thanks for hosting us, Simeon. Thanksgiving, as we talked about the last week, including Cyber Monday, and it was largely in line with our expectations. We were pleased with what we saw. There were a couple shining points, I think, and one, like, when we look at items that we sell, one of the top-selling items was AirPods, which, you know, maybe you don't typically think of as something that you'd buy at a Walmart, and certainly maybe... more attracted to the more affluent customer and I think it's also it's indicative of how Walmart is changing and how our customer base is changing and we continue to grow and gain share with this this upper income demographic the other thing and I don't have the release in front of me so I think we talked about this if not it's new news but we increased our delivery by 57% number of items that were delivered And it really speaks to this convenience value proposition and how that's resonating with our customer base. But feeling good. I think everybody is continuing to keep a watchful eye on consumers. We certainly are as well. We see that wallets have been stretched and more money is being spent on necessities versus discretionary items. That's nothing new, but it still feels very consistent with what we've seen in the last couple quarters.

The end of one era, the beginning of a new one. Yeah. Management change. What's your impression of the imprint John will make on this business over the next decade?