Walmart reports record Q4 and FY21 revenue

Rhea-AI Summary

Walmart Inc. (NYSE: WMT) reported strong Q4 performance with U.S. comp sales up 8.6% and eCommerce sales soaring 69%. Despite a GAAP EPS loss of ($0.74) due to a $1.1 billion COVID-related expense and property tax relief repayment, adjusted EPS stood at $1.39. The company plans to invest nearly $14 billion in FY22 for supply chain enhancements and automation. Walmart's dividend was raised for the 48th consecutive year, alongside a new $20 billion share repurchase program, though net sales and EPS are expected to decline due to divestitures.

Positive

• U.S. comp sales grew 8.6% in Q4.
• eCommerce sales increased by 69%.
• Adjusted EPS was $1.39 despite the GAAP loss.
• Plans to invest nearly $14 billion in FY22 for automation and supply chain improvements.
• Increased dividend for the 48th consecutive year.
• Approved a new $20 billion share repurchase program.

Negative

• GAAP EPS of ($0.74) due to COVID-related costs and tax repayments.
• Q4 included $1.1 billion in COVID-related expenses.
• Net sales, operating income, and EPS expected to decline in FY22 due to anticipated divestitures.

Walmart Inc. (NYSE: WMT):

Fourth-quarter highlights

• Walmart U.S. Q4 comp sales grew 8.6% and Walmart U.S. eCommerce sales grew 69%.
• Q4 FY21 GAAP EPS of ($0.74); Adjusted EPS of $1.39. Decision to repay property tax relief in the U.K. lowered GAAP EPS and Adjusted EPS by $0.07; COVID-related costs were $1.1 billion in Q4.
• Walmart continues to build the next generation business model, investing in automation to fuel future sales and earnings growth. FY22 capital investments are expected to be nearly $14 billion to build supply chain capacity and automation to stay ahead of demand, improve the customer experience and increase productivity.
• Walmart will also invest in U.S. wages, raising the associate average to above $15 per hour.
• Net sales, operating income and EPS are expected to decline in FY22 primarily due to the impact of anticipated divestitures. Excluding the effect of divestitures, net sales are expected to grow low single-digits with operating income and EPS expected to be flat to up slightly.
• The company increased its dividend for the 48^th consecutive year and approved a new $20 billion share repurchase program.

About Walmart

Walmart Inc. (NYSE: WMT) helps people around the world save money and live better - anytime and anywhere - in retail stores, online, and through their mobile devices. Each week, nearly 230 million customers and members visit approximately 10,800 stores and clubs under 51 banners in 25 countries and eCommerce websites. With fiscal year 2021 revenue of $559 billion, Walmart employs over 2.2 million associates worldwide. Walmart continues to be a leader in sustainability, corporate philanthropy and employment opportunity. Additional information about Walmart can be found by visiting https://corporate.walmart.com, on Facebook at https://facebook.com/walmart and on Twitter at https://twitter.com/walmart.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210218005552/en/

FAQ

What were Walmart's Q4 comp sales growth figures?

Walmart's U.S. Q4 comp sales grew by 8.6%.

How much did Walmart's eCommerce sales grow in Q4?

Walmart's eCommerce sales surged by 69% in Q4.

What is Walmart's adjusted EPS for Q4 FY21?

Walmart's adjusted EPS for Q4 FY21 was $1.39.

What are Walmart's plans for capital investment in FY22?

Walmart plans to invest nearly $14 billion in FY22 for supply chain capacity and automation.

How long has Walmart increased its dividend?

Walmart increased its dividend for the 48th consecutive year.

What is the new share repurchase program amount approved by Walmart?

Walmart approved a new $20 billion share repurchase program.

What is the expected impact of divestitures on Walmart's FY22 financials?

Net sales, operating income, and EPS are expected to decline in FY22 primarily due to anticipated divestitures.