Walmart Inc (NYSE:WMT) saw its stock drop on Thursday despite releasing a strong earnings report for the first quarter of fiscal 2019.

Earnings per share reported by Walmart Inc for the first quarter of the year came in at $1.14. This is up from its earnings per share of $1.00 from the same time last year. It also just beat out Wall Street’s earnings per share estimate of $1.13 for the period.

Net income reported by Walmart Inc for the first quarter of fiscal 2019 was $2.13 billion. This is down from the retail company’s net income of $3.04 billion reported in the first quarter of the previous year.

During the first quarter of the year, Walmart Inc reported operating income of $5.15 billion. The company’s operating income reported in the same period of the year prior was sitting at $5.24 billion.

Walmart Inc also reported revenue of $122.69 billion for the first quarter of fiscal 2019. This is an increase over its revenue of $117.54 million that was reported in the first quarter of fiscal 2018. It also came in above analysts’ revenue estimate of $120.51 billion for the quarter.

Walmart Inc notes that it also saw its ecommerce sales for the first quarter of the year increase by 33%. The company has been making pushes to improve its ecommerce offerings in a bid to better compete against rival online retailer Amazon.com, Inc. (NASDAQ:AMZN).

What may be dragging WMT stock down today is its guidance update for the most recent quarter. Walmart Inc says that it is expecting its investment in Flipkart to negatively impact its fiscal 2019 earnings report. This includes hurting its earnings per share for the period by 25 cents to 30 cents. The company will provide a more detailed update in its earnings report for the second quarter of fiscal 2019.

WMT stock was down 2% as of Thursday afternoon.

As of this writing, William White did not hold a position in any of the aforementioned securities.