Summary
Walmart Inc. reported solid financial results for the period ending October 31, 2025. Total revenues increased by 5.8% year-over-year for the quarter and 4.4% for the nine-month period, reaching $177.8 billion and $517.5 billion, respectively. This growth was driven by strong comparable sales across both U.S. segments (Walmart U.S. and Sam's Club U.S.) and international markets, supported by increases in average ticket and transactions. The company also saw positive contributions from its e-commerce initiatives, particularly through store-fulfilled pickup and delivery services. Despite revenue growth, operating income saw a slight decrease of 0.2% for the quarter to $6.7 billion, while for the nine-month period it decreased by 1.7% to $21.1 billion. This was influenced by increased operating expenses, notably a $0.7 billion charge related to modifications in share-based compensation for its PhonePe subsidiary and higher self-insured general liability claims in the U.S. The net income attributable to Walmart, however, saw a substantial increase, growing by 30.7% for the quarter to $6.1 billion and by 24.2% for the nine months to $17.7 billion. Diluted earnings per share also increased significantly, reflecting these net income improvements. The company demonstrated strong free cash flow generation of $8.8 billion for the nine-month period, an increase of $2.6 billion year-over-year, supporting increased capital expenditures and share repurchases.
Financial Highlights
48 data points| Revenue | $177.77B |
| Cost of Revenue | $134.71B |
| Gross Profit | $43.06B |
| SG&A Expenses | $38.09B |
| Operating Income | $6.70B |
| Interest Expense | $563.00M |
| Net Income | $6.14B |
| EPS (Basic) | $0.77 |
| EPS (Diluted) | $0.77 |
| Shares Outstanding (Basic) | 7.97B |
| Shares Outstanding (Diluted) | 8.01B |
Key Highlights
- 1Total revenues increased by 5.8% in Q3 2025 and 4.4% year-to-date, driven by strong comparable sales growth across all segments, including significant e-commerce contributions.
- 2Walmart U.S. delivered a 5.1% net sales increase for the quarter, with comparable sales up 4.8%, highlighting continued strength in customer engagement and omnichannel offerings.
- 3Consolidated net income attributable to Walmart surged by 30.7% to $6.1 billion for the quarter and by 24.2% to $17.7 billion for the nine months, leading to a substantial rise in diluted EPS.
- 4Operating income experienced a slight dip of 0.2% for the quarter to $6.7 billion, primarily due to increased operating expenses, including a significant charge related to the PhonePe subsidiary's share-based compensation.
- 5Free cash flow generation was robust, reaching $8.8 billion for the nine months, a $2.6 billion increase year-over-year, reflecting improved operating cash flow and disciplined capital allocation.
- 6The company increased its share repurchases significantly, spending $7.0 billion in the nine-month period compared to $3.0 billion in the prior year, signaling confidence and a return of capital to shareholders.
- 7Walmart International segment's net sales grew by 10.8% in the quarter, aided by sales timing shifts and strong comparable sales, though operating income declined due to increased operating expenses and mix shifts.