Wal-Mart Stores Inc. (NYSE: WMT) reported fourth-quarter and full-year 2016 results before markets opened Thursday. For the quarter, the retailing giant posted adjusted diluted earnings per share (EPS) of $1.49 on total revenues of $129.67 billion, which includes membership fees in Sam’s Club. In the same period a year ago, Wal-Mart reported EPS of $1.61 on revenues of $131.56 billion. Fourth-quarter results also compare to the Thomson Reuters consensus estimates for $1.46 EPS and $130.96 billion in revenue.

For the full year, Wal-Mart posted EPS of $4.59 and revenues of $482.1 billion, compared with 2015 EPS of $5.07 and revenues of $485.65 billion. Analysts were looking for EPS of $4.58 and revenues of $483.38 billion.

In a separate announcement, Wal-Mart said it is raising its annual dividend by 2%, from $1.96 to $2.00 per share. The higher dividend will be paid on April 4 to shareholders of record on March 11.

U.S. fourth-quarter same-store sales, both including and excluding fuel sales, rose 0.6% at the company’s supercenter and discount stores. Same-store sales in the company’s Sam’s Club stores were down 0.5% excluding fuel and down 2.7% including fuel sales. Same-store sales at the Neighborhood Market stores rose approximately 7% in the quarter, and total U.S. net sales rose 3.6% for the quarter.

Wal-Mart guided first-quarter fiscal 2017 EPS in a range of $0.80 to $0.95 and same-store sales for the quarter up about 50 basis points. For the full year, the company guided EPS in a range of $4.00 to $4.30.

The incremental investments in wages and training are projected to shave about $0.30 from annual EPS, with the largest impact coming in the first quarter. Currency exchange rates are expected to cost Wal-Mart $0.10 per share for the year and $0.03 in the first quarter.

Net sales growth is forecast to be flat, down from a prior estimate that growth would range from 3% to 4% in the 2017 fiscal year. Wal-Mart attributes the change to the recently announced store closures and the stronger dollar.

The consensus analysts’ estimate for full-year EPS is currently $4.17. Analysts were also expecting first-quarter EPS of $0.90 and sales $490.06 billion for the full year.

Wal-Mart CEO Doug McMillon said:

We are seeing momentum in our Walmart U.S. business as we continue to lap positive comps, and our international business is healthy and growing. We are pleased with fundamental trends that are allowing us to improve our stores, add critical capabilities and deepen our digital relationships with customers.

Wal-Mart paid $1.6 billion in dividends during the quarter and repurchased approximately 39 million shares for $2.4 billion. For the 2016 fiscal year, the company paid $6.3 billion in dividends and repurchased about 62 million shares for $4.1 billion.

As we might have expected, Wal-Mart’s shares traded down about 5% in premarket trading Thursday, at $62.83, in a 52-week range of $56.30 to $84.86. Thomson Reuters had a consensus analyst price target of around $64.26 before the results were announced.

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