May 22 (Reuters) – Senior Walmart executives Tom Ward, COO of warehouse chain Sam’s Club, and Cedric Clark, U.S. store operations chief, are leaving amid a major management rejig under CEO John Furner, according to internal memos seen by Reuters on Friday.
The changes come as Furner, who took over from Doug McMillon in February, pushes a technology-focused strategy aimed at expanding Walmart’s marketplace and delivery businesses and attracting higher-income shoppers.
The company eliminated 1,000 roles last week to simplify its operating structure.
Ward will retire from his role at the Walmart-owned warehouse club chain Sam’s Club by the end of the month. He has been with the company for over a decade, serving in executive roles, including as Walmart U.S.’s chief e-commerce officer.
Meanwhile, the date for Clark’s departure hasn’t been officially announced, according to the memos, which said a new executive vice president for store operations would be announced in a couple of weeks.
The development, first reported by the Wall Street Journal earlier on Friday, also comes at a critical time for Walmart as persistent inflationary pressures strain budgets of lower-income U.S. households.
On Thursday, the retailer reiterated its conservative annual sales and profit targets amid softer consumer spending. However, it said it expects net sales to be near the high end of its guidance, as its scale helps keep prices low despite tariffs and geopolitical volatility.
Walmart has reported quarterly revenue growth for nearly a decade straight. Its shares hit a record high this week.
Meanwhile, smaller rival Target doubled its annual sales forecast Wednesday, but warned of a tough macro environment ahead. Grocers Kroger and Albertsons provided conservative annual forecasts as they reported earnings this week.
(Reporting by Neil J Kanatt in Bengaluru; Editing by Diti Pujara)
