Walmart revenue up 7.3% globally with broad-based strength across segments; Walmart U.S. grew comp sales 8.3%, with eCommerce growth of 17%; Q4 FY23 GAAP EPS of $2.32; Adjusted EPS of $1.71; Company provides outlook for Q1 and FY24

Rhea-AI Summary

Walmart Inc. (NYSE: WMT) reported a robust fiscal fourth quarter, with total revenue rising to $164.0 billion, a growth of 7.3%, driven by strong in-store and eCommerce performance. Walmart U.S. comp sales increased by 8.3%, while eCommerce grew by 17%. However, consolidated gross profit rate declined by 83 basis points, and operating income decreased by 5.5% to $5.6 billion. For the full year, total revenue reached $611.3 billion, up 6.7%. The company returned $16.0 billion to shareholders through dividends and share repurchases. Live conference call on Feb. 21, 2023, for detailed earnings discussion.

Positive

• Total revenue increased by 7.3% to $164.0 billion in Q4.
• Walmart U.S. comp sales grew 8.3% in Q4.
• eCommerce sales increased by 17% in Q4.
• Sam's Club comp sales rose by 12.2% in Q4.
• Global advertising business grew over 20%.
• Operating cash flow was $29.1 billion for the year.

Negative

• Consolidated gross profit rate declined by 83 basis points.
• Operating income decreased by 5.5% to $5.6 billion in Q4.
• Walmart International sales were negatively affected by $0.9 billion from currency fluctuations.

BENTONVILLE, Ark.--(BUSINESS WIRE)-- Walmart Inc. (NYSE: WMT):

Fourth-quarter highlights:

• Walmart delivered strong revenue growth globally with strength in stores and eCommerce. Total revenue was $164.0 billion, up 7.3%, or 7.9% in constant currency.
• Walmart U.S. comp sales grew 8.3% and 13.9% on a two-year stack. eCommerce growth was 17% and 18% on a two-year stack. Continued to gain market share in grocery.
• Sam’s Club comp sales increased 12.2%, and 22.6% on a two-year stack. Membership income increased 7.1% with member count at an all-time high.
• Walmart International net sales were $27.6 billion, an increase of 2.1% and negatively affected by $0.9 billion from currency fluctuations, while constant currency sales were $28.5 billion, an increase of 5.5%. Walmex, China, and Canada led the way.
• Global advertising business grew over 20%, led by 41% growth at Walmart Connect in the U.S.
• Consolidated gross profit rate declined 83 basis points, primarily due to markdowns and mix of sales.
• Consolidated operating expenses as a percentage of net sales decreased 44 basis points primarily due to strong sales growth and lower Covid-related costs, partially offset by reorganization and restructuring charges incurred in the International segment.
• Consolidated operating income was $5.6 billion, a decrease of 5.5%, including the charges described above. Adjusted operating income was $6.4 billion, an increase of 6.9%.
• GAAP EPS of $2.32; Adjusted EPS of $1.71 excludes the effects of $1.16 from net gains on equity and other investments and $0.55 from charges related to reorganization and restructuring.

Full-year highlights:

• Total revenue was $611.3 billion, up 6.7%, negatively affected by $5.0 billion related to divestitures. Excluding currency, total revenue would have increased 7.4% to $615.1 billion.
• Walmart U.S. comp sales increased 6.6% and 13.0% on a two-year stack.
• Walmart U.S. eCommerce sales grew 12% and 23% on a two-year stack.
• Sam’s Club comp sales increased 10.5% and 20.3% on a two-year stack. Membership income increased 8.6%.
• Walmart International net sales were flat and operating income declined 21.1%. Net sales grew 9.0% and adjusted operating income grew 8.9% for retained markets on a constant currency basis.
• Global advertising business grew nearly 30% to reach $2.7 billion, led by Walmart Connect in the U.S. and Flipkart Ads.
• The company generated $29.1 billion in operating cash flow and returned $16.0 billion to shareholders through dividends and share repurchases.
• GAAP EPS of $4.27; Adjusted EPS of $6.29.

The company will hold a live conference call with the Investment Community at 7 a.m. CST Tuesday, Feb. 21, 2023, to discuss the company’s fourth quarter earnings results for fiscal year 2023. The event will be webcast live and is accessible by visiting https://corporate.walmart.com/newsroom/financial-events and selecting the Fourth Quarter Earnings Release event. The webcast will be archived and available beginning at approximately noon CST Feb. 21.

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, approximately 240 million customers and members visit more than 10,500 stores and numerous eCommerce websites in 20 countries. With fiscal year 2023 revenue of $611 billion, Walmart employs approximately 2.1 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, on Twitter at https://twitter.com/walmart, and on LinkedIn at https://www.linkedin.com/company/walmart/.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230220005308/en/

Investor Relations Contacts

Steph Wissink

Senior Vice President, Investor Relations

Stephanie.Wissink@walmart.com

Kary Brunner

Sr. Director II, Investor Relations

Kary.Brunner@walmart.com

Media Relations Contact

Randy Hargrove

Sr. Director, Global Communications

800-331-0085

Source: Walmart Inc.

FAQ

What were Walmart's fourth-quarter earnings for fiscal year 2023?

Walmart reported fourth-quarter earnings with total revenue of $164.0 billion, up 7.3%.

How did Walmart's eCommerce sales perform in the fourth quarter?

Walmart's eCommerce sales grew by 17% in the fourth quarter.

What was Walmart's GAAP EPS for fiscal year 2023?

Walmart's GAAP EPS for fiscal year 2023 was $4.27.

How much did Walmart return to shareholders in fiscal year 2023?

Walmart returned $16.0 billion to shareholders through dividends and share repurchases.

When will Walmart hold its fourth-quarter earnings conference call?

Walmart will hold its fourth-quarter earnings conference call on February 21, 2023, at 7 a.m. CST.