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Walmart(WMT) - 2025 Q1 - Quarterly Results
WMTWalmart(WMT)2024-05-16 10:59

Revenue and Sales Growth - Consolidated revenue increased by 6.0% to 161.5billion,withoperatingincomegrowing9.6161.5 billion, with operating income growing 9.6% and adjusted operating income up 13.7%[2] - Global eCommerce sales grew 21%, driven by store-fulfilled pickup & delivery and marketplace[2] - Walmart U.S. comp sales increased by 3.8%, with eCommerce contributing ~280 bps to comp sales[6][7] - Walmart U.S. eCommerce sales grew 22%, led by store-fulfilled pickup & delivery and marketplace[7] - Walmart International net sales in constant currency grew 10.7%, with eCommerce sales up 19%[9] - Sam's Club U.S. eCommerce sales grew 18%, with membership income increasing by 13.3%[13] - Net sales increased by 5.9% to 159.938 billion compared to 151.004billioninthepreviousyear[20]−Totalrevenuesgrewby6.0151.004 billion in the previous year[20] - Total revenues grew by 6.0% to 161.508 billion from 152.301billion[20]−WalmartU.S.netsalesincreasedby4.6152.301 billion[20] - Walmart U.S. net sales increased by 4.6% to 108,670 million for the three months ended April 30, 2024, compared to 103,901millioninthesameperiodin2023[26]−WalmartInternationalnetsalesincreasedby12.1103,901 million in the same period in 2023[26] - Walmart International net sales increased by 12.1% to 29,833 million for the three months ended April 30, 2024, compared to 26,604millioninthesameperiodin2023[26]−Sam′sClubnetsalesincreasedby4.626,604 million in the same period in 2023[26] - Sam's Club net sales increased by 4.6% to 21,435 million for the three months ended April 30, 2024, compared to 20,499millioninthesameperiodin2023[26]OperatingIncomeandProfitability−Operatingincomeroseby9.620,499 million in the same period in 2023[26] Operating Income and Profitability - Operating income rose by 9.6% to 6.841 billion from 6.240billion[20]−ConsolidatednetincomeattributabletoWalmartsurgedby205.16.240 billion[20] - Consolidated net income attributable to Walmart surged by 205.1% to 5.104 billion from 1.673billion[20]−BasicanddilutednetincomepercommonshareattributabletoWalmartincreasedby200.01.673 billion[20] - Basic and diluted net income per common share attributable to Walmart increased by 200.0% to 0.63 from 0.21[20]−Consolidatedoperatingincomeincreasedby9.60.21[20] - Consolidated operating income increased by 9.6% to 6,841 million for the three months ended April 30, 2024, compared to 6,240millioninthesameperiodin2023[26]−AdjustedoperatingincomeforthethreemonthsendedApril30,2024,was6,240 million in the same period in 2023[26] - Adjusted operating income for the three months ended April 30, 2024, was 7,096 million, compared to 6,240millioninthesameperiodin2023[34]−AdjustedoperatingincomeinconstantcurrencyforthethreemonthsendedApril30,2024,was6,240 million in the same period in 2023[34] - Adjusted operating income in constant currency for the three months ended April 30, 2024, was 7,044 million, compared to 6,240millioninthesameperiodin2023[34]−ConsolidatednetincomeforthethreemonthsendedApril30,2024,was6,240 million in the same period in 2023[34] - Consolidated net income for the three months ended April 30, 2024, was 5,307 million, compared to 1,896millioninthesameperiodin2023[24]−ConsolidatednetincomeforthetrailingtwelvemonthsendedApril30,2024,was1,896 million in the same period in 2023[24] - Consolidated net income for the trailing twelve months ended April 30, 2024, was 19.681 billion, compared to 11.085billioninthepreviousperiod[46]−OperatingincomeforthetrailingtwelvemonthsendedApril30,2024,was11.085 billion in the previous period[46] - Operating income for the trailing twelve months ended April 30, 2024, was 27.613 billion, compared to 21.350billioninthepreviousperiod[46]−ROIoperatingincomeforthetrailingtwelvemonthsendedApril30,2024,was21.350 billion in the previous period[46] - ROI operating income for the trailing twelve months ended April 30, 2024, was 42.593 billion, compared to 35.084billioninthepreviousperiod[46]FinancialPerformanceMetrics−Returnonassets(ROA)was7.935.084 billion in the previous period[46] Financial Performance Metrics - Return on assets (ROA) was 7.9% for the trailing twelve months ended April 30, 2024, up from 4.5% in the prior year[43] - Return on investment (ROI) was 15.0% for the trailing twelve months ended April 30, 2024, up from 12.7% in the prior year[43] - The increase in ROI was primarily due to higher operating income and improvements in business performance[43] - Return on assets (ROA) increased to 7.9% for the trailing twelve months ended April 30, 2024, up from 4.5% in the previous period[46] - Return on investment (ROI) increased to 15.0% for the trailing twelve months ended April 30, 2024, up from 12.7% in the previous period[46] Expenses and Costs - Cost of sales increased by 5.3% to 121.431 billion from 115.284billion[20]−Operating,selling,general,andadministrativeexpensesroseby8.0115.284 billion[20] - Operating, selling, general, and administrative expenses rose by 8.0% to 33.236 billion from 30.777billion[20]−Interest,netincreasedby7.730.777 billion[20] - Interest, net increased by 7.7% to 600 million from 557million[20]−Capitalexpendituresincreasedby557 million[20] - Capital expenditures increased by 0.2 billion to support the company's investment strategy[36] - Net cash used in investing activities was 4.409billionforthethreemonthsendedApril30,2024,comparedto4.409 billion for the three months ended April 30, 2024, compared to 4.860 billion in the prior year[37] - Net cash provided by (used in) financing activities was negative 321millionforthethreemonthsendedApril30,2024,comparedtopositive321 million for the three months ended April 30, 2024, compared to positive 1.940 billion in the prior year[37] - The reported effective tax rate was 24.6% for the three months ended April 30, 2024, adjusted to 24.3% after accounting for certain items[40] - Depreciation and amortization for the trailing twelve months ended April 30, 2024, was 12.136billion,comparedto12.136 billion, compared to 11.110 billion in the previous period[46] - Rent expenses for the trailing twelve months ended April 30, 2024, were 2.291billion,slightlydownfrom2.291 billion, slightly down from 2.301 billion in the previous period[46] Cash Flow and Liquidity - Net cash provided by operating activities for the three months ended April 30, 2024, was 4,249million,comparedto4,249 million, compared to 4,633 million in the same period in 2023[24] - Free cash flow for the three months ended April 30, 2024 was negative 0.4billion,adecreaseof0.4 billion, a decrease of 0.6 billion compared to the same period in the prior year[36] - Net cash provided by operating activities was 4.2billionforthethreemonthsendedApril30,2024,adecreaseof4.2 billion for the three months ended April 30, 2024, a decrease of 0.4 billion compared to the same period in the prior year[36] Advertising and Membership Income - Global advertising business grew 24%, including 26% growth for Walmart Connect in the U.S.[2] - Membership and other income grew by 21.0% to 1.570billionfrom1.570 billion from 1.297 billion[20] Inventory Management - Inventory decreased by 2.7% globally, with Walmart U.S. inventory down 4.2%[2][7] Guidance and Forecast - Q2 guidance expects consolidated net sales to increase 3.5% to 4.5% and operating income to grow 3.0% to 4.5% in constant currency[15] - FY25 updated guidance expects consolidated net sales and adjusted operating income to be at the high-end or slightly above original guidance[16] Assets and Liabilities - Total assets grew to 254.054billionfrom254.054 billion from 245.053 billion in the previous year[22] - Total assets as of April 30, 2024, were 254.054billion,comparedto254.054 billion, compared to 245.053 billion in the previous period[46] - Accumulated depreciation and amortization as of April 30, 2024, was 118.518billion,upfrom118.518 billion, up from 113.164 billion in the previous period[46] Comparable Sales - Walmart U.S. comparable sales without fuel increased by 3.8% for the 13 weeks ended April 26, 2024, compared to 7.4% in the same period in 2023[28] - Sam's Club U.S. comparable sales without fuel increased by 4.4% for the 13 weeks ended April 26, 2024, compared to 7.0% in the same period in 2023[28] Adjusted Earnings and EPS - Adjusted diluted earnings per share (Adjusted EPS) for the three months ended April 30, 2024 was 0.60,comparedtoreportedEPSof0.60, compared to reported EPS of 0.63[39][40] Interest and Other Income - Interest income for the trailing twelve months ended April 30, 2024, was 553million,upfrom553 million, up from 323 million in the previous period[46]