Walmart(US:WMT)2025-08-21 10:59Revenue and Sales Performance - Revenue of $177.4 billion, up 4.8%, or 5.6% in constant currency (cc) [8] - Global eCommerce sales grew 25%, driven by store-fulfilled pickup & delivery and marketplace [8] - Walmart U.S. comp sales increased 4.6%, with strong growth in grocery and health & wellness [17] - Net sales for the three months ended July 31, 2025, were $175.75 billion, representing a 4.8% increase from $167.77 billion in the same period of 2024 [34] - Walmart U.S. net sales reached $120,911 million, a 4.8% increase compared to $115,347 million in the previous year [39] - Walmart International net sales increased to $31,201 million, a 5.5% rise from $29,567 million [39] - Consolidated net sales for Walmart were $175,750 million, a 4.8% increase from $167,767 million [39] - Walmart's total revenues for the three months ended July 31, 2025, were $31.582 billion, representing a 5.5% increase compared to the prior year [45] - Net sales for the same period were $31.201 billion, also up by 5.5% year-over-year [45] Income and Earnings - Adjusted EPS guidance for fiscal year 2026 raised to $2.52 to $2.62 [2] - Consolidated net income attributable to Walmart for the three months ended July 31, 2025, was $7.03 billion, a 56.1% increase compared to $4.50 billion in 2024 [34] - Basic net income per common share attributable to Walmart increased by 57.1% to $0.88 for the three months ended July 31, 2025, from $0.56 in 2024 [34] - Consolidated net income for the six months ended July 31, 2025, was $11,790 million, an increase from $10,018 million in 2024, representing a growth of 17.7% [38] - Adjusted EPS for the three months ended July 31, 2025, is $0.68, down from reported EPS of $0.88, reflecting a net impact of $(0.20) from adjustments [57] - For the six months ended July 31, 2025, adjusted EPS is $1.29, compared to reported EPS of $1.43, with net adjustments totaling $(0.14) [57] Operating Performance - Operating income decreased 8.2% to $6.1 billion, affected by legal and restructuring costs [8] - Operating income for the three months ended July 31, 2025, decreased by 8.2% to $7.29 billion from $7.94 billion in 2024 [34] - Adjusted operating income for Walmart was $6,720 million, reflecting a 5.6% margin compared to 5.3% in the previous year [39] - Operating income for Walmart International was $1,227 million, down 9.8% from $1,360 million [39] - Operating expenses for Walmart increased to $37,345 million, representing 21.2% of net sales, compared to 20.6% last year [39] - Operating income for the trailing twelve months ended July 31, 2025, was $28.99 billion, slightly up from $28.24 billion in 2024 [67] Cash Flow and Investments - Operating cash flow increased by $2.0 billion to $18.4 billion [15] - Net cash provided by operating activities increased to $18,352 million in 2025 from $16,357 million in 2024, reflecting a growth of 12.2% [38] - Free cash flow for the six months ended July 31, 2025, was $6.943 billion, an increase of $1.093 billion from $5.850 billion in the prior year [50] - Payments for property and equipment amounted to $11,409 million, up from $10,507 million in the previous year, indicating an increase of 8.6% [38] - Net cash used in investing activities was $11,199 million, compared to $10,128 million in 2024, showing a rise of 10.6% [38] - Capital expenditures for the six months ended July 31, 2025, were $11.409 billion, up from $10.507 billion in the previous year [54] Membership and Advertising - Membership income increased 5.4%, with a 15.3% growth in global membership income [8] - Global advertising business grew 46%, with Walmart Connect in the U.S. up 31% [8] - Membership and other income for the three months ended July 31, 2025, was $1.65 billion, a 5.4% increase from $1.57 billion in 2024 [34] - Membership and other income for Walmart U.S. was $649 million, reflecting a 7.5% growth from $604 million [39] - Membership and other income gross profit was $617 million, down 57.7% from the previous year [39] Assets and Liabilities - Total assets as of July 31, 2025, were $270.84 billion, an increase from $254.44 billion as of July 31, 2024 [37] - Cash and cash equivalents increased to $9.43 billion as of July 31, 2025, from $8.81 billion a year earlier [37] - Long-term debt as of July 31, 2025, was $35.64 billion, compared to $35.36 billion as of July 31, 2024 [37] - Average total assets increased to $262.64 billion for the trailing twelve months ended July 31, 2025, from $254.78 billion in 2024 [65] Financial Ratios - Return on assets (ROA) increased to 8.3% for the trailing twelve months ended July 31, 2025, up from 6.4% in 2024, driven by higher net income and operating income [63] - Return on investment (ROI) remained stable at 15.1% for both the trailing twelve months ended July 31, 2025, and 2024, despite increased operating income [67] - The effective tax rate for the three months ended July 31, 2025, was 23.3%, adjusted for specific items to 24.3% [57]