01—Abstract
Summary
Summary of the 10-K filed March 14, 2025. Cited figures are marked; the original filing is the authoritative source.
Walmart Inc. reported robust financial performance for the fiscal year ended January 31, 2025, with total revenues reaching $681.0 billiona, a 5.1% increase over the previous year.
This growth was driven by strong comparable sales across all segments, particularly in the U.S. operations (Walmart U.S. and Sam's Club U.S.), which saw increases of 4.8% and 4.7% respectively, fueled by consistent demand in grocery and health & wellness categories. The company continues its strategic focus on omni-channel integration, technology investments, and expanding its ecosystem of services, including advertising and financial services, aiming to enhance customer convenience and drive margin improvement. While facing some headwinds from macroeconomic factors and ongoing litigation, Walmart's diversified business model, commitment to Everyday Low Prices (EDLP) and Everyday Low Cost (EDLC), and significant free cash flow generation of $12.7 billionb underscore its resilience and continued ability to return value to shareholders through dividends and share repurchases.
02—Key points
Key Highlights
- Total revenues increased by 5.1% to $681.0 billion for fiscal year 2025, driven by net sales growth of 5.0% to $674.5 billion.
- Comparable sales in the U.S. showed solid growth, with Walmart U.S. up 4.8% and Sam's Club U.S. up 4.7%, reflecting strength in key categories like grocery and health & wellness.
- Operating income grew to $29.3 billion, a 8.7% increase year-over-year, with operating income as a percentage of net sales improving to 4.4% from 4.2%.
- Free cash flow generation remained strong at $12.7 billion, though slightly down from $15.1 billion in the prior year, impacted by increased capital expenditures supporting strategic investments.
- The company continued its commitment to shareholder returns, with total dividend payments of $6.7 billion and share repurchases totaling $4.5 billion during fiscal year 2025.
- Strategic acquisitions, such as VIZIO Holding Corp., and investments in technology, including AI, are key components of Walmart's ongoing strategy to enhance its omni-channel capabilities and operational efficiency.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2025, Walmart Inc. kept $0.03.
- Revenue$674.54B100.0%
- Cost of revenue−$511.75B75.9%
- Gross profit$162.78B24.1%
- Operating costs−$133.44B19.8%
- Operating income$29.35B4.4%
- Interest, other & tax−$9.91B1.5%
- Net income$19.44B2.9%
Where FY2025 revenue went
$674.54B- Cost of revenue: $511.75B, 76% of revenue
- SG&A: $139.88B, 21% of revenue
- Net income: $19.44B, 2.9% of revenue
- Interest, other & tax: $9.91B, 1.5% of revenue
Kept 2.9% as net incomeNet income $19.44B · 2.9%
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2025filed March 14, 2025Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $674.54B$642.64B | +5.0% |
| Cost of Revenue | $511.75B$490.14B | +4.4% |
| Gross Profit | $162.78B$152.50B | +6.7% |
| SG&A Expenses | $139.88B$130.97B | +6.8% |
| Operating Income | $29.35B$27.01B | +8.6% |
| Interest Expense | $2.25B$2.26B | −0.4% |
| Net Income | $19.44B$15.51B | +25.3% |
| EPS (Basic) | $2.42$1.92 | +26.0% |
| EPS (Diluted) | $2.41$1.91 | +26.2% |
| Shares Outstanding (Basic) | 8.04B8.08B | −0.4% |
| Shares Outstanding (Diluted) | 8.08B8.11B | −0.3% |
05—Questions
Frequently Asked Questions
What was Walmart's overall financial performance in fiscal year 2025?
Walmart demonstrated strong financial performance, with total revenues of $681.0 billion, a 5.1% increase from the prior year. This growth was supported by a 5.0% rise in net sales to $674.5 billion, driven by robust comparable sales across its U.S. segments and international operations. The company also saw an increase in operating income to $29.3 billion and maintained healthy free cash flow of $12.7 billion.
How did Walmart's different segments perform?
Walmart's U.S. operations remained the primary driver of growth, with Walmart U.S. reporting a 4.7% increase in net sales and a 4.8% comparable sales growth. Sam's Club U.S. also showed positive momentum with a 4.7% increase in net sales and comparable sales growth of 4.7%. The Walmart International segment experienced a 6.3% increase in net sales, despite a negative currency exchange rate impact of $3.2 billion.
What are Walmart's key strategic priorities and investments?
Walmart's strategy is centered on making every day easier for busy families by leading on price and increasing convenience. Key priorities include investing in technology (including AI), supply chain automation, new store formats, and omni-channel initiatives like enhanced pickup and delivery services. The company also continues to expand its ecosystem with offerings in advertising, marketplace, and financial services to create mutually reinforcing businesses and improve customer engagement.
How is Walmart managing costs and profitability?
Walmart is committed to Everyday Low Cost (EDLC) to support its pricing strategy. For fiscal year 2025, the gross profit rate increased by 40 basis points, driven by efficient pricing, growth in higher-margin businesses, and improved operational efficiencies. Operating expenses as a percentage of net sales saw a modest increase, mainly due to investments in variable pay, marketing, and depreciation. The company aims for operating income leverage, with operating income margin improving to 4.4%.
06—Continue