Summary
Walmart Inc. reported robust financial results for the third quarter and the first nine months of fiscal year 2025, showcasing significant growth in revenues and net income. Total revenues rose by 5.5% for the quarter and 5.4% for the nine-month period, driven by strong comparable sales growth across its U.S. segments and international markets. The company demonstrated improved profitability with a higher gross profit margin and operating income, signaling effective price management and growth in higher-margin businesses. Key drivers for this performance include robust sales in grocery and health & wellness categories, alongside a consistent contribution from e-commerce initiatives. The company also highlighted disciplined capital allocation, with a substantial increase in free cash flow for the nine-month period, supporting continued investment in strategic areas like supply chain and technology. Despite ongoing macroeconomic uncertainties, Walmart appears well-positioned due to its operational strength and strategic focus on growth and margin improvement.
Financial Highlights
48 data points| Revenue | $168.00B |
| Cost of Revenue | $127.34B |
| Gross Profit | $40.66B |
| SG&A Expenses | $35.54B |
| Operating Income | $6.71B |
| Interest Expense | $496.00M |
| Net Income | $4.58B |
| EPS (Basic) | $0.57 |
| EPS (Diluted) | $0.57 |
| Shares Outstanding (Basic) | 8.04B |
| Shares Outstanding (Diluted) | 8.08B |
Key Highlights
- 1Total revenues increased by 5.5% to $169.6 billion for the three months ended October 31, 2024, and by 5.4% to $500.4 billion for the nine months ended October 31, 2024.
- 2Consolidated net income attributable to Walmart surged to $4.6 billion for the quarter, a significant increase from $0.5 billion in the prior year, and reached $14.2 billion for the nine-month period, up from $10.0 billion.
- 3Diluted net income per common share attributable to Walmart was $0.57 for the quarter and $1.75 for the nine months, showing substantial year-over-year improvement.
- 4Comparable sales in the U.S. increased by 4.9% for the quarter and 4.7% for the nine months, driven by growth in transactions and unit volumes, particularly in grocery and health & wellness.
- 5Gross profit as a percentage of net sales improved to 24.2% for both the quarter and nine-month periods, up from 24.0% and 23.9% respectively in the prior year, indicating better pricing and margin management.
- 6Free cash flow for the nine months ended October 31, 2024, increased by $1.9 billion to $6.2 billion, reflecting improved operating cash flows and disciplined capital expenditures.
- 7The company declared dividends per common share of $0.83 for fiscal year 2025, an increase from $0.76 in fiscal year 2024, demonstrating commitment to returning capital to shareholders.