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Walmart reports
third quarter results
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•Revenue growth of 5.8%, up 6.0% in constant currency (cc)1
•Operating income decreased 0.2%, up 8.0% adjusted (cc)1
•eCommerce up 27% globally
•GAAP EPS of $0.77; Adjusted EPS1 of $0.62
•Company raises outlook for FY26
“
BENTONVILLE, Ark., November 20, 2025 – Walmart Inc. (NYSE: WMT) announces third-quarter results with strong growth in revenue and adjusted operating income. Globally, eCommerce grew 27% with growth in each business segment of more than 20%. Walmart U.S. comp sales2 up 4.5%, with strength across categories. For fiscal year 2026, the Company raises outlook for growth in net sales to 4.8% to 5.1% and adjusted operating income to 4.8% to 5.5%, both in constant currency (“cc”)1. Adjusted EPS1 is expected to be $2.58 to $2.63, including a currency headwind of $0.01 to $0.02.
The team delivered another strong quarter across the business. eCommerce was a bright spot again this quarter. We’re gaining market share, improving delivery speed, and managing inventory well. We’re well-positioned for a strong finish to the year and beyond that, thanks to our associates. It’s been an honor to serve them as CEO, and I’m as excited about the future of this company as I’ve ever been. John Furner is a fantastic leader with a proven track record. I couldn’t be happier for him and for Walmart.”
Doug McMillon
President and CEO, Walmart
Third Quarter Highlights
•Revenue of $179.5 billion, up 5.8%, or 6.0% (cc)1
•Global eCommerce sales grew 27%, led by store-fulfilled pickup & delivery and marketplace
•Global advertising business3 up 53%, including VIZIO; Walmart Connect in the U.S. up 33%
•Membership and other income up 9.0%, including 16.7% growth in membership income
•Gross margin rate up 2 bps, led by Walmart U.S, partially offset by International due to the timing of Flipkart's Big Billion Days event
•Operating income decreased 0.2%, primarily due to a non-cash share-based compensation charge at PhonePe in anticipation of a potential IPO; adjusted operating income up 8.0% (cc)1
•Adjusted EPS1 of $0.62 excludes the effect, net of tax, of $0.20 gain on equity and other investments and $0.02 related to settlement of a certain legal matter, partially offset by $0.07 of incremental share-based compensation expense at PhonePe
•ROA at 8.4%; ROI1 at 14.8%, negatively affected approximately 30 bps from discrete items4 in the comparative trailing twelve month periods, including 25 bps from charge at PhonePe
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1 See additional information at the end of this release regarding non-GAAP financial measures.
2 Comp sales for the 13-week period ended October 31, 2025 compared to the 13-week period ended October 25, 2024 and excludes fuel. See Supplemental Financial Information for additional information.
3 Our global advertising business is recorded in either net sales or as a reduction to cost of sales, depending on the nature of the advertising arrangement.
4 Represents items which were adjusted from operating income in the current and prior comparative trailing twelve month periods.
“cc” - constant currency


Key Financial Metrics
Dollars in billions, except per share data. Dollar and percentage changes may not
recalculate due to rounding. Charts may not be to scale.
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Balance Sheet and Liquidity
•Cash and cash equivalents of $10.6 billion
•Total debt of $53.1 billion2
•Operating cash flow of $27.5 billion, an increase of $4.5 billion
•Free cash flow1 of $8.8 billion, an increase of $2.6 billion
•Repurchased 75.3 million shares YTD, or $7.0 billion3
•Inventory of $65.4 billion, an increase of $2.1 billion, or 3.2%
1 See additional information at the end of this release regarding non-GAAP financial measures.
2 Debt includes short-term borrowings, long-term debt due within one year, finance lease obligations due within one year, long-term debt and long-term
finance lease obligations.
3 $5.1 billion remaining of $20 billion authorization approved in November 2022.
       cc - constant currency
2

Business Highlights
and Strategic Initiatives
Dollars in billions, except as noted. Dollar and percentage changes may not recalculate due to rounding.
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Walmart U.S.Q3 FY26Q3 FY25Change
Net sales$120.7$114.9$5.85.1%
Comp sales (ex. fuel)2
4.5%5.3%NPNP
Transactions1.8%3.1%NPNP
Average ticket2.7%2.1%NPNP
eCommerce contribution to comp~440 bps~290 bpsNPNP
Operating income$5.8$5.4$0.36.3%

Walmart U.S.
•Strong sales growth led by momentum in eCommerce; share gains across grocery, health & wellness and general merchandise categories; customer value proposition with everyday low prices and increased convenience is resonating
•eCommerce sales accelerated with 28% growth reflecting strength in store-fulfilled delivery, advertising and
marketplace; sales through expedited store-fulfilled delivery channels grew nearly 70%
•Strong advertising growth continued, including a 33% increase in Walmart Connect sales (ex-VIZIO)
•Gross profit rate increased 19 bps; membership income grew double-digits; operating expense deleveraged 15 bps
•Operating income grew faster than sales, up 6.3%, reflecting strong inventory management and improved eCommerce economics, aided by continued improvement in business mix
•Inventory increased 2.6%, approximately half the rate of sales growth, while maintaining healthy in-stock levels


Walmart InternationalQ3 FY26Q3 FY25Change
Net sales$33.5$30.3$3.310.8%
Net sales (cc)1
$33.7$30.3$3.511.4%
Operating income$0.7$1.2$(0.5)(41.7%)
Adjusted operating income (cc)1
$1.4$1.2$0.216.9%

Walmart International
•Growth in net sales (cc)1 led by Flipkart, China, and Walmex; transaction counts & unit volumes up across markets
•Strong growth from both stores and eCommerce; continued momentum across all categories
•eCommerce sales up 26%, led by marketplace and store-fulfilled pickup & delivery; digital mix up across markets
•Timing of Flipkart’s Big Billion Days (“BBD”) event benefited sales growth in Q3 and will negatively affect Q4 growth
•Advertising business3 grew 34%, led by Flipkart, benefited by BBD timing
•Operating income affected by $0.7 billion share-based compensation charge at PhonePe in advance of potential IPO
•Adjusted operating income growth (cc)1 across markets; benefited by lower losses in eCommerce




1 See additional information at the end of this release regarding non-GAAP financial measures.
2 See Supplemental Financial Information for additional information.
3 Our global advertising business is recorded in either net sales or as a reduction to cost of sales, depending on the nature of the advertising arrangement.
NP - Not provided
cc - constant currency


3




Sam’s Club U.S.Q3 FY26Q3 FY25Change
Net sales$23.6$22.9$0.73.1%
Net sales (ex. fuel)$21.1$20.3$0.94.4%
Comp sales (ex. fuel)1
3.8%7.0%NPNP
Transactions3.9%6.4%NPNP
Average ticket-0.1%0.5%NPNP
eCommerce contribution to comp~330 bps~290 bpsNPNP
Operating income$0.7$0.6$0.05.8%

Sam’s Club U.S.
•Sales strength led by grocery and general merchandise with continued share gains
•Comp sales driven by increased transactions and unit volumes
◦Prior year comp sales reflect a ~120 bps positive impact from port disruptions
•eCommerce sales up 22% with continued strong growth in club-fulfilled pickup & delivery
•Membership income grew 7.1% with steady growth in member counts, renewal rates, and Plus members


1 See Supplemental Financial Information for additional information.
NP - Not provided
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4

Guidance
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The following forward-looking statements reflect the Company’s expectations as of November 20, 2025, and are subject to substantial uncertainty. The Company’s results may be materially affected by many factors, such as fluctuations in foreign currency exchange rates, changes in global economic and geopolitical conditions, tariff and trade policies, customer demand and spending, inflation, interest rates, world events, expenses pertaining to general liability claims, for which we self-insure, and the various other factors detailed in this release, including those set forth below under the heading Forward-looking statements. Additionally, guidance is provided on a non-GAAP basis as the Company cannot predict certain elements that are included in reported GAAP results, such as the changes in fair value of the Company’s equity and other investments. Growth rates reflect an adjusted basis for prior year results.
Fiscal year 2026
The Company’s fiscal year guidance is based on the following FY25 figures: Net sales: $674.5 billion, adjusted operating income1: $29.5 billion, and adjusted EPS1: $2.51.
Consolidated metricOriginal from 2.20.2025As of 8.21.2025As of 11.20.25
Net sales (cc)
Increase 3.0% to 4.0%
•Including approximately 20 bps headwind from lapping leap year
•Including approximately 20 bps tailwind from acquisition of VIZIO
Increase 3.75% to 4.75%
Increase 4.8% to 5.1%
Adj. operating income (cc)
Increase 3.5% to 5.5%
•Including approximately 70 bps headwind from lapping leap year
•Including approximately 80 bps headwind from acquisition of VIZIO
Unchanged
Increase 4.8% to 5.5%
Interest, netIncrease approximately $100M to $200MUnchangedUnchanged
Effective tax rateApproximately 23.5% to 24.5%UnchangedMid to low-end of prior range
Non-controlling interestRelatively flatUnchangedUnchanged
Adjusted EPS$2.50 to $2.60, including approximately $0.05 headwind from currency$2.52 to $2.62, including $0.02 to $0.03 headwind from currency$2.58 to $2.63, including $0.01 to $0.02 headwind from currency
Capital expendituresApproximately 3.0% to 3.5% of net salesUnchangedApproximately 3.5%
1 For relevant non-GAAP reconciliations, see Q4 FY25 earnings release furnished on Form 8-K on February 20, 2025.
cc - constant currency
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About Walmart
Walmart Inc. (NYSE: WMT) is a people-led, tech-powered omnichannel retailer helping people save money and live better - anytime and anywhere - in stores, online, and through their mobile devices. Each week, approximately 270 million customers and members visit more than 10,750 stores and numerous eCommerce websites in 19 countries. With fiscal year 2025 revenue of $681 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 corporate.walmart.com, on Facebook at facebook.com/walmart, on X (formerly known as Twitter) at twitter.com/walmart, and on LinkedIn at linkedin.com/company/walmart.

Investor Relations contact: Steph Wissink – ir@walmart.com
Media Relations contact: Meggan Kring – (800) 331-0085
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Forward-looking statements
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This release and related management commentary contains statements that may be "forward-looking statements" as defined in, and are intended to enjoy the protection of the safe harbor for forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Assumptions on which such forward-looking statements are based are also forward-looking statements. Statements of our guidance, projections, estimates, expectations, plans, and objectives for the remainder of fiscal 2026 in this release and related management commentary are forward-looking statements. Assumptions on which such forward-looking statements are based are also forward-looking statements. Such forward-looking statements are not statements of historical facts, but instead express our estimates or expectations for our consolidated economic performance or results of operations for future periods or as of future dates or events or developments that may occur in the future or discuss our plans, objectives or goals. These forward-looking statements can be identified by their use of words or phrases such as “anticipate,” “could,” “could be,” “believe,” “expect,” “forecast,” “plan,” “projected,” “will be” “will improve,” variations of such words or phrases or similar words and phrases denoting anticipated or expected occurrences or results. The forward-looking statements that we make are based on our knowledge of our business and our operating environment and assumptions that we believe to be or will believe to be reasonable when such forward-looking statements were or are made. Our actual results may differ materially from those expressed in or implied by any of these forward-looking statements as a result of changes in circumstances, assumptions not being realized or other risks, uncertainties and factors including: the impact of pandemics on our business and the global economy; economic, capital markets and business conditions; trends and events around the world and in the markets in which we operate; currency exchange rate fluctuations, changes in market interest rates and market levels of wages; changes in the size of various markets, including eCommerce markets; unemployment levels; inflation or deflation, generally and in particular product categories; consumer confidence, disposable income, credit availability, spending levels, shopping patterns, debt levels and demand for certain merchandise; the effectiveness of the implementation and operation of our strategies, plans, programs and initiatives; unexpected changes in our objectives and plans; the impact of acquisitions, investments, divestitures, store or club closures, and other strategic decisions; our ability to successfully integrate acquired businesses, including within the eCommerce space; changes in the trading prices of certain equity investments we hold; initiatives of competitors, competitors' entry into and expansion in our markets, and competitive pressures; customer traffic and average ticket in our stores and clubs and on our eCommerce websites; the mix of merchandise we sell, the cost of goods we sell and the shrinkage we experience; trends in consumer shopping habits around the world and in the markets in which we operate; our gross profit margins; the financial performance of Walmart and each of its segments, including the amounts of our cash flow during various periods; transportation, energy and utility costs; commodity prices and the price of gasoline and diesel fuel; supply chain disruptions and disruptions in seasonal buying patterns; the availability of goods from suppliers and the cost of goods acquired from suppliers; consumer acceptance of and response to our stores, clubs, eCommerce platforms, programs, merchandise offerings and delivery methods; cyber security events affecting us and related costs and impact to the business; developments in, outcomes of, and costs incurred in legal or regulatory proceedings to which we are a party or are subject, and the liabilities, obligations and expenses, if any, that we may incur in connection therewith; expenses pertaining to general liability claims, for which we self-insure, and insurance costs; consumer enrollment in health and drug insurance programs and such programs’ reimbursement rates and drug formularies; our effective tax rate and the factors affecting our effective tax rate, including assessments of certain tax contingencies, valuation allowances, changes in law, administrative audit outcomes, impact of discrete items and the mix of earnings between the U.S. and Walmart's international operations; changes in existing tax, labor and other laws and regulations and changes in tax rates including the enactment of laws and the adoption and interpretation of administrative rules and regulations; the imposition of new taxes on imports, new tariffs and changes in existing tariff rates; the imposition of new trade restrictions and changes in existing trade restrictions; adoption or creation of new, and modification of existing, governmental policies, programs, initiatives and actions in the markets in which Walmart operates and elsewhere and actions with respect to such policies, programs and initiatives; changes in accounting estimates or judgments; the level of public assistance payments; natural disasters, changes in climate, geopolitical events and catastrophic events; and changes in generally accepted accounting principles in the United States.
Our most recent annual report on Form 10-K and subsequent quarterly reports filed with the SEC discusses other risks and factors that could cause actual results to differ materially from those expressed or implied by any forward-looking statement in the release and related management commentary. We urge you to consider all of the risks, uncertainties and factors identified above or discussed in such reports carefully in evaluating the forward-looking statements in this release. Walmart cannot assure you that the results reflected in or implied by any forward-looking statement will be realized or, even if substantially realized, that those results will have the forecasted or expected consequences and effects for or on our operations or financial performance. The forward-looking statements made in the release are as of the date of this release. Walmart undertakes no obligation to update these forward-looking statements to reflect subsequent events or circumstances.
This release and related management commentary references certain non-GAAP measures as defined under SEC rules, including net sales and operating income on a constant currency basis, adjusted operating income, free cash flow, and return on investment. Information about the non-GAAP measures as required by Regulation G and Item 10(e) of Regulation S-K regarding non-GAAP measures for the applicable periods can be found in our previously filed reports on Form 10-K and earnings releases filed via Form 8-K with the SEC, which are available at stock.walmart.com.

7

Walmart Inc.
Condensed Consolidated Statements of Income
(Unaudited)
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Three Months EndedNine Months Ended
October 31,October 31,
(Amounts in millions, except per share data)20252024Percent Change20252024Percent Change
Revenues:
Net sales$177,769 $168,003 5.8%$517,500 $495,708 4.4%
Membership and other income1,727 1,585 9.0%5,007 4,723 6.0%
Total revenues179,496 169,588 5.8%522,507 500,431 4.4%
Costs and expenses:
Cost of sales134,706 127,340 5.8%391,780 375,581 4.3%
Operating, selling, general and administrative expenses38,094 35,540 7.2%109,610 103,361 6.0%
Operating income6,696 6,708 (0.2%)21,117 21,489 (1.7%)
Interest:
Debt563 496 13.5%1,733 1,650 5.0%
Finance lease121 122 (0.8%)357 361 (1.1%)
Interest income(93)(140)(33.6%)(280)(368)(23.9%)
Interest, net591 478 23.6%1,810 1,643 10.2%
Other (gains) and losses(2,081)132 NM(4,192)500 NM
Income before income taxes8,186 6,098 34.2%23,499 19,346 21.5%
Provision for income taxes2,098 1,384 51.6%5,621 4,614 21.8%
Consolidated net income6,088 4,714 29.1%17,878 14,732 21.4%
Consolidated net (income) loss attributable to noncontrolling interest55 (137)NM(222)(550)(59.6%)
Consolidated net income attributable to Walmart$6,143 $4,577 34.2%$17,656 $14,182 24.5%
Net income per common share:
Basic net income per common share attributable to Walmart$0.77 $0.57 35.1%$2.21 $1.76 25.6%
Diluted net income per common share attributable to Walmart$0.77 $0.57 35.1%$2.20 $1.75 25.7%
Weighted-average common shares outstanding:
Basic7,974 8,038 7,987 8,044 
Diluted8,011 8,082 8,026 8,082 
Dividends declared per common share$— $— $0.94 $0.83 

NM: Not Meaningful
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Walmart Inc.
Condensed Consolidated Balance Sheets
(Unaudited)
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October 31,January 31,October 31,
(Amounts in millions)202520252024
ASSETS
Current assets:
Cash and cash equivalents$10,582 $9,037 $10,049 
Receivables, net12,115 9,975 10,039 
Inventories65,354 56,435 63,302 
Prepaid expenses and other4,869 4,011 3,548 
Total current assets92,920 79,458 86,938 
Property and equipment, net130,201 119,993 116,598 
Operating lease right-of-use assets14,501 13,599 13,701 
Finance lease right-of-use assets, net6,138 6,112 6,227 
Goodwill28,722 28,792 27,942 
Other long-term assets16,173 12,869 11,993 
Total assets$288,655 $260,823 $263,399 
LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST, AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term borrowings$8,401 $3,068 $3,579 
Accounts payable67,156 58,666 62,863 
Dividends payable1,908 — 1,674 
Accrued liabilities31,521 29,345 28,117 
Accrued income taxes789 608 783 
Long-term debt due within one year3,523 2,598 3,246 
Operating lease obligations due within one year1,592 1,499 1,507 
Finance lease obligations due within one year842 800 789 
Total current liabilities115,732 96,584 102,558 
Long-term debt34,445 33,401 33,645 
Long-term operating lease obligations13,705 12,825 12,927 
Long-term finance lease obligations5,916 5,923 6,056 
Deferred income taxes and other16,345 14,398 13,748 
Commitments and contingencies
Redeemable noncontrolling interest306 271 189 
Shareholders’ equity:
Common stock797 802 803 
Capital in excess of par value6,863 5,503 5,395 
Retained earnings101,558 98,313 94,435 
Accumulated other comprehensive loss(13,124)(13,605)(12,525)
Total Walmart shareholders’ equity96,094 91,013 88,108 
Nonredeemable noncontrolling interest6,112 6,408 6,168 
Total shareholders’ equity102,206 97,421 94,276 
Total liabilities, redeemable noncontrolling interest, and shareholders’ equity$288,655 $260,823 $263,399 








9

Walmart Inc.
Condensed Consolidated Statements of Cash Flows
(Unaudited)
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Nine Months Ended
October 31,
(Amounts in millions)20252024
Cash flows from operating activities:
Consolidated net income$17,878 $14,732 
Adjustments to reconcile consolidated net income to net cash provided by operating activities:
Depreciation and amortization10,462 9,599 
Investment (gains) and losses, net(4,123)654 
Deferred income taxes2,310 (245)
Other operating activities2,976 1,685 
Changes in certain assets and liabilities, net of effects of acquisitions and dispositions:
Receivables, net(2,128)(1,395)
Inventories(8,221)(9,200)
Accounts payable7,277 7,406 
Accrued liabilities894 (807)
Accrued income taxes127 489 
Net cash provided by operating activities27,452 22,918 
Cash flows from investing activities:
Payments for property and equipment(18,627)(16,696)
Proceeds from the disposal of property and equipment69 358 
Proceeds from disposal of certain strategic investments799 3,813 
Other investing activities(1,271)(136)
Net cash used in investing activities(19,030)(12,661)
Cash flows from financing activities:
Net change in short-term borrowings5,313 2,680 
Proceeds from issuance of long-term debt3,983 — 
Repayments of long-term debt(2,625)(2,817)
Dividends paid(5,630)(5,004)
Purchase of Company stock(7,008)(3,049)
Other financing activities(1,045)(1,483)
Net cash used in financing activities(7,012)(9,673)
Effect of exchange rates on cash, cash equivalents and restricted cash151 (351)
Net increase in cash, cash equivalents and restricted cash1,561 233 
Cash, cash equivalents and restricted cash at beginning of year9,536 9,935 
Cash, cash equivalents and restricted cash at end of period$11,097 $10,168 





10

Walmart Inc.
Supplemental Financial Information
(Unaudited)
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Segment information
Three Months EndedNine Months Ended
October 31,October 31,
(dollars in millions)2025202420252024
Walmart U.S.$
% of Net Sales1
$
% of Net Sales1
% Chg$
% of Net Sales1
$
% of Net Sales1
% Chg
Net sales$120,678 NP$114,875 NP5.1%$353,752 NP$338,892 NP4.4%
Membership and other income2
665 NP618 NP7.6%1,950 NP1,835 NP6.3%
Gross profit3
33,312 27.6%31,491 27.4%5.8%97,797 27.6%92,893 27.4%5.3%
Operating expenses3
28,197 23.4%26,674 23.2%5.7%81,542 23.1%77,370 22.8%5.4%
Operating income5,780 4.8%$5,435 4.7%6.3%$18,205 5.1%$17,358 5.1%4.9%
Adjusted operating income4
5,780 4.8%$5,435 4.7%6.3%$18,205 5.1%$17,488 5.2%4.1%
Walmart International
Net sales$33,541 NP$30,277 NP10.8%$94,496 NP$89,677 NP5.4%
Membership and other income2
391 NP367 NP6.5%1,151 NP1,122 NP2.6%
Gross profit3
7,002 20.9%6,529 21.6%7.2%20,021 21.2%19,649 21.9%1.9%
Operating expenses3
6,691 19.9%5,692 18.8%17.6%17,979 19.0%16,674 18.6%7.8%
Operating income$702 2.1%$1,204 4.0%(41.7%)$3,193 3.4%$4,097 4.6%(22.1%)
Adjusted operating income (cc)4
1,407 NP$1,204 NP16.9%$4,164 NP$4,097 NP1.6%
Sam’s Club U.S.
Net sales$23,550 NP$22,851 NP3.1%$69,252 NP$67,139 NP3.1%
Membership and other income2
665 NP588 NP13.1%1,889 NP1,728 NP9.3%
Gross profit3
2,749 11.7%2,643 11.6%4.0%7,902 11.4%7,585 11.3%4.2%
Operating expenses3
2,743 11.6%2,597 11.4%5.6%7,945 11.5%7,483 11.1%6.2%
Operating income$671 2.8%$634 2.8%5.8%$1,846 2.7%$1,830 2.7%0.9%
Adjusted operating income4
$671 2.8%$634 2.8%5.8%$1,926 2.8%$1,830 2.7%5.2%
Corporate and support
Membership and other income2
$6 NP$12 NP(50.0%)$17 NP$38 NP(55.3%)
Operating expenses3
463 0.3%577 0.3%(19.8%)2,144 0.4%1,834 0.4%16.9%
Operating loss$(457)(0.3%)$(565)(0.3%)(19.1%)$(2,127)(0.4%)$(1,796)(0.4%)18.4%
Consolidated
Net sales$177,769 NP$168,003 NP5.8%$517,500 NP$495,708 NP4.4%
Membership and other income2
1,727 NP1,585 NP9.0%5,007 NP4,723 NP6.0%
Gross profit3
43,063 24.2%40,663 24.2%5.9%125,720 24.3%120,127 24.2%4.7%
Operating expenses3
38,094 21.4%35,540 21.2%7.2%109,610 21.2%103,361 20.9%6.0%
Operating income$6,696 3.8%$6,708 4.0%(0.2%)$21,117 4.1%$21,489 4.3%(1.7%)
Adjusted operating income (cc)4
$7,246 NP$6,708 NP8.0%$22,523 NP$21,744 NP3.6%
1 Corporate and support shown as percentage of consolidated net sales.
2 Membership and other income includes membership fees and other items such as rental and tenant income, recycling income, gift card breakage income, as well as other income from corporate campus facilities.
3 Gross profit defined as net sales less cost of sales. Operating expenses refers to operating, selling, general and administrative expenses.
4 See additional information at the end of the release regarding non-GAAP financial measures.
NP - Not provided



11




U.S. comparable sales results
 With FuelWithout FuelFuel Impact
 13 Weeks Ended13 Weeks Ended13 Weeks Ended
10/31/202510/25/202410/31/202510/25/202410/31/202510/25/2024
Walmart U.S.4.6%5.1%4.5%5.3%0.1%(0.2%)
Sam’s Club U.S.2.6%3.7%3.8%7.0%(1.2%)(3.3%)
Total U.S.4.2%4.8%4.4%5.5%(0.2%)(0.7%)

Comparable sales is a metric that indicates the performance of our existing stores and clubs by measuring the change in sales for such stores and clubs, and it is important to review in conjunction with the company’s financial results reported in accordance with GAAP. Walmart's definition of comparable sales includes sales from stores and clubs open for the previous 12 months, including remodels, relocations, expansions and conversions, as well as eCommerce sales. Comparable sales excluding fuel is also an important, separate metric that indicates the performance of our existing stores and clubs without considering fuel, which is volatile and unpredictable. Other companies in our industry may calculate comparable sales differently, limiting the comparability of the metric.
12

Walmart Inc.
Reconciliations of and Other Information Regarding Non-GAAP Financial Measures
(Unaudited)
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The following information provides reconciliations of certain non-GAAP financial measures presented in the press release to which this reconciliation is attached to the most directly comparable financial measures calculated and presented in accordance with U.S. generally accepted accounting principles (GAAP). The company has provided the non-GAAP financial information presented in the press release, which is not calculated or presented in accordance with GAAP, as information supplemental and in addition to the financial measures presented in the press release that are calculated and presented in accordance with GAAP. Such non-GAAP financial measures should not be considered superior to, as a substitute for or alternative to, and should be considered in conjunction with, the GAAP financial measures presented in the press release. The non-GAAP financial measures in the press release may differ from similar measures used by other companies.
Constant currency
In discussing our operating results, the term currency exchange rates refers to the currency exchange rates we use to convert the operating results for countries where the functional currency is not the U.S. dollar into U.S. dollars. We calculate the effect of changes in currency exchange rates as the difference between current period activity translated using the current period's currency exchange rates and the comparable prior year period's currency exchange rates. Additionally, no currency exchange rate fluctuations are calculated for non-USD acquisitions until owned for 12 months.
Throughout our discussion, we refer to the results of this calculation as the impact of currency exchange rate fluctuations. When we refer to constant currency operating results, this means operating results without the impact of the currency exchange rate fluctuations. The disclosure of constant currency amounts or results permits investors to better understand Walmart’s underlying performance without the effects of currency exchange rate fluctuations.
The table below reflects the calculation of constant currency for total revenues, net sales and operating income for the three and nine months ended October 31, 2025.
Three Months Ended October 31, 2025Nine Months Ended October 31, 2025
Walmart InternationalConsolidatedWalmart InternationalConsolidated
(Dollars in millions)2025
Percent Change1
2025
Percent Change1
2025
Percent Change1
2025
Percent Change1
Total revenues:
As reported$33,932 10.7%$179,496 5.8%$95,647 5.3%$522,507 4.4%
Currency exchange rate fluctuations193 N/A193 N/A4,088 N/A4,088 N/A
Total revenues (cc)$34,125 11.4%$179,689 6.0%$99,735 9.8%$526,595 5.2%
Net sales:
As reported$33,541 10.8%$177,769 5.8%$94,496 5.4%$517,500 4.4%
Currency exchange rate fluctuations191 N/A191 N/A4,049 N/A4,049 N/A
Net sales (cc)$33,732 11.4%$177,960 5.9%$98,545 9.9%$521,549 5.2%
Operating income:
As reported$702 (41.7%)$6,696 (0.2%)$3,193 (22.1%)$21,117 (1.7%)
Currency exchange rate fluctuations(56)N/A(56)N/A210 N/A210 N/A
Operating income (cc)$646 (46.3%)$6,640 (1.0%)$3,403 (16.9%)$21,327 (0.8%)
1 Change versus prior year comparable period reported results.
N/A - Not applicable


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Adjusted operating income
Adjusted operating income is considered a non-GAAP financial measure under the SEC’s rules because it excludes certain charges included in operating income calculated in accordance with GAAP. Management believes that adjusted operating income is a meaningful measure to share with investors because it best allows comparison of the performance with that of the comparable period. In addition, adjusted operating income affords investors a view of what management considers Walmart’s core earnings performance and the ability to make a more informed assessment of such core earnings performance as compared with that of the prior year.
When we refer to adjusted operating income in constant currency, this means adjusted operating results without the impact of currency exchange rate fluctuations. The disclosure of constant currency amounts or results permits investors to better understand Walmart’s underlying performance without the effects of currency exchange rate fluctuations. The table below reflects the calculation of adjusted operating income and adjusted operating income in constant currency for the three and nine months ended October 31, 2025, and the calculation of adjusted operating income for the three and nine months ended October 31, 2024.
Three Months Ended October 31,
Walmart InternationalConsolidated
(Dollars in millions)2025202420252024
Operating income:
Operating income, as reported$702$1,204 $6,696$6,708 
Incremental non-cash share-based compensation expense1
722— 722— 
Certain legal matter2
—— (155)$— 
Adjusted operating income$1,424$1,204 $7,263$6,708 
Percent change4
18.3%NP8.3%NP
Currency exchange rate fluctuations(17)— (17)— 
Adjusted operating income (cc)$1,407$1,204 $7,246$6,708 
Percent change4
16.9%NP8.0%NP
Nine Months Ended October 31,
Walmart U.S.Walmart InternationalSam’s Club U.S.Consolidated
(Dollars in millions)20252024202520242025202420252024
Operating income:
Operating income, as reported$18,205$17,358 $3,193$4,097 $1,846$1,830 $21,117$21,489 
Incremental non-cash share-based compensation expense1
—— 722— —— 722— 
Certain legal matters2
—— —— —— 285— 
Business reorganization charges3
—130 —— 80— 150255 
Adjusted operating income$18,205$17,488 $3,915$4,097 $1,926$1,830 $22,274$21,744 
Percent change4
4.1%NP(4.4%)NP5.2%NP2.4%NP
Currency exchange rate fluctuations249— 249— 
Adjusted operating income (cc)$4,164$4,097 $22,523$21,744 
Percent change4
1.6%NP3.6%NP

1The Company’s PhonePe subsidiary modified certain share-based payment plans in anticipation of a potential initial public offering which triggered incremental non-cash compensation expense. This charge has no realizable tax benefit.
2 Relates to certain legal matters which were outside the normal course of our operations and recorded in Corporate and support. In Q3 FY26, previously accrued charges were reversed upon settlement of a certain legal matter.
3 Business reorganization charges for the nine months ended October 31, 2025 primarily relate to expenses incurred in connection with strategic supply chain decisions made in the Sam’s Club U.S. segment, as well as incremental business reorganization charges recorded in Corporate and support. Business reorganization charges for the nine months ended October 31, 2024 primarily relate to expenses incurred in connection with strategic decisions made in the Walmart U.S. segment, as well as incremental business reorganization expenses recorded in Corporate and support.
4 Change versus prior year comparable period.
NP - Not provided
“cc” - constant currency
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Free cash flow
Free cash flow is considered a non-GAAP financial measure. Management believes, however, that free cash flow, which measures our ability to generate additional cash from our business operations, is an important financial measure for use in evaluating the Company's financial performance. Free cash flow should be considered in addition to, rather than as a substitute for, consolidated net income as a measure of our performance and net cash provided by operating activities as a measure of our liquidity.
We define free cash flow as net cash provided by operating activities in a period minus payments for property and equipment made in that period. Net cash provided by operating activities was $27.5 billion for the nine months ended October 31, 2025, which represents an increase of $4.5 billion when compared to the same period in the prior year. The increase was primarily due to timing of certain payments, increased cash provided by operating income and lower cash tax payments. Free cash flow for the nine months ended October 31, 2025 was $8.8 billion, which represents an increase of $2.6 billion when compared to the same period in the prior year. The increase in free cash flow was due to the increase in net cash provided by operating activities described above, partially offset by an increase of $1.9 billion in capital expenditures to support our investment strategy.
Walmart’s definition of free cash flow is limited, in that it does not represent residual cash flows available for discretionary expenditures, due to the fact that the measure does not deduct the payments required for debt service and other contractual obligations or payments made for business acquisitions. Therefore, we believe it is important to view free cash flow as a measure that provides supplemental information to our Consolidated Statements of Cash Flows.
Although other companies report their free cash flow, numerous methods may exist for calculating a company’s free cash flow. As a result, the method used by Walmart’s management to calculate our free cash flow may differ from the methods used by other companies to calculate their free cash flow.
The following table sets forth a reconciliation of free cash flow, a non-GAAP financial measure, to net cash provided by operating activities, which we believe to be the GAAP financial measure most directly comparable to free cash flow, as well as information regarding net cash used in investing activities and net cash used in financing activities.
Nine Months Ended
 October 31,
(Dollars in millions)20252024
Net cash provided by operating activities$27,452 $22,918 
Payments for property and equipment (capital expenditures)(18,627)(16,696)
Free cash flow$8,825 $6,222 
Net cash used in investing activities1
$(19,030)$(12,661)
Net cash used in financing activities(7,012)(9,673)
1 "Net cash used in investing activities" includes payments for property and equipment, which is also included in our computation of free cash flow.
Adjusted EPS
Adjusted diluted earnings per share attributable to Walmart (adjusted EPS) is considered a non-GAAP financial measure under the SEC’s rules because it excludes certain amounts included in the diluted earnings per share attributable to Walmart calculated in accordance with GAAP (EPS), the most directly comparable financial measure calculated in accordance with GAAP. Management believes that adjusted EPS is a meaningful measure to share with investors because it best allows comparison of the performance with that of the comparable period. In addition, adjusted EPS affords investors a view of what management considers Walmart’s core earnings performance and the ability to make a more informed assessment of such core earnings performance with that of the prior year.



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We adjust for the unrealized and realized gains and losses on our equity and other investments each quarter because although the investments are strategic decisions for our retail operations, management’s measurement of each strategy is primarily focused on the operational results rather than the fair value of such investments. Additionally, management does not forecast changes in the fair value of its equity and other investments. Accordingly, management adjusts EPS each quarter for the unrealized and realized gains and losses related to those investments.
Tax impacts are calculated based on the nature of the item, including any realizable deductions, and statutory rates in effect for relevant jurisdictions. NCI impacts are based on the ownership percentages of our noncontrolling interests, where applicable.
We have calculated adjusted EPS for the three and nine months ended October 31, 2025 by adjusting EPS for the following:
1.unrealized and realized gains and losses on our equity and other investments;
2.an incremental non-cash shared-based compensation expense in Walmart International;
3.charges and settlements related to certain legal matters which were outside the normal course of our operations and recorded in Corporate and support; and
4.business reorganization charges, primarily related to expenses incurred in connection with strategic supply chain decisions made in the Sam’s Club U.S. segment, as well as incremental business reorganization charges recorded in Corporate and support.
Three Months Ended October 31, 20251
Diluted earnings per share:
Reported EPS$0.77

Adjustments:Pre-Tax Impact
Tax Impact3
NCI ImpactNet Impact
Unrealized and realized (gains) and losses on equity and other investments$(0.26)$0.06$—$(0.20)
Incremental non-cash share-based compensation expense2
$0.09$—$(0.02)$0.07
Certain legal matter4
$(0.03)$0.01$—(0.02)
Net adjustments$(0.15)
Adjusted EPS$0.62
Nine Months Ended October 31, 20251
Diluted earnings per share:
Reported EPS$2.20

Adjustments:Pre-Tax Impact
Tax Impact3
NCI ImpactNet Impact
Unrealized and realized (gains) and losses on equity and other investments$(0.52)$0.12$—$(0.40)
Incremental non-cash share-based compensation expense2
0.09—(0.02)0.07
Certain legal matters4
0.04(0.01)—0.03
Business reorganization charges0.02(0.01)—0.01
Net adjustments$(0.29)
Adjusted EPS$1.91
1 Quarterly adjustments or adjusted EPS may not sum to YTD adjustments or YTD adjusted EPS due to rounding. Additionally, the individual components in the tables above may include immaterial rounding.
2 The Company’s PhonePe subsidiary modified certain share-based payment plans in anticipation of a potential initial public offering which triggered incremental non-cash compensation expense.
3The reported effective tax rate was 25.6% and 23.9% for the three and nine months ended October 31, 2025, respectively. Adjusted for the above items, the effective tax rate was 22.9% and 23.3% for the three and nine months ended October 31, 2025. The incremental non-cash share-based compensation expense had no tax benefit.
4 Relates to certain legal matters which were outside the normal course of our operations and recorded in Corporate and support. In Q3 FY26, previously accrued charges were reversed upon settlement of a certain legal matter.
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As previously disclosed in our third quarter ended October 31, 2024 press release, we have calculated adjusted EPS for the three and nine months ended October 31, 2024 for the following:
1.unrealized and realized gains and losses on our equity and other investments; and
2.business reorganization charges, primarily related to expenses incurred in connection with strategic decisions made in the Walmart U.S. segment, as well as incremental business reorganization expenses recorded in Corporate and support.
Three Months Ended October 31, 20241
Diluted earnings per share:
Reported EPS$0.57
Adjustments:Pre-Tax Impact
Tax Impact2
NCI ImpactNet Impact
Unrealized and realized (gains) and losses on equity and other investments$0.02$(0.01)$—$0.01
 Adjusted EPS$0.58
Nine Months Ended October 31, 20241
Diluted earnings per share:
Reported EPS$1.75
Adjustments:Pre-Tax Impact
Tax Impact2
NCI ImpactNet Impact
Unrealized and realized (gains) and losses on equity and other investments$0.08$(0.01)$—$0.07
Business reorganization charges0.03(0.01)—0.02
Net adjustments$0.09
 Adjusted EPS$1.84
1 Quarterly adjustments or adjusted EPS may not sum to YTD adjustments or YTD adjusted EPS due to rounding. Additionally, the individual components in the tables above may include immaterial rounding.
2 The reported effective tax rate was 22.7% and 23.8% for the three and nine months ended October 31, 2024, respectively. Adjusted for the above items, the effective tax rate was 23.0% and 23.8% for the three and nine months ended October 31, 2024.

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Return on investment
We include return on assets ("ROA") and return on investment (“ROI”) as metrics to assess our return on capital. ROA is the most directly comparable measure based on our financial statements presented in accordance with GAAP, while ROI is considered a non-GAAP financial measure. Management believes ROI is a meaningful metric to share with investors because it helps investors assess how effectively Walmart is deploying its assets. Trends in ROI can fluctuate over time as management balances long-term strategic initiatives with possible short-term impacts.
Our calculation of ROI is considered a non-GAAP financial measure because we calculate ROI using financial measures that exclude and include amounts that are included and excluded in ROA, the most directly comparable GAAP financial measure. ROA is consolidated net income for the period divided by average total assets for the period. We define ROI as operating income plus interest income, depreciation and amortization, and rent expense for the trailing 12 months divided by average invested capital during that period. We consider average invested capital to be the average of our beginning and ending total assets, plus average accumulated depreciation and amortization, less average accounts payable and average accrued liabilities for that period. Although ROI is a standard financial measure, numerous methods exist for calculating a company's ROI. As a result, the method used by management to calculate our ROI may differ from the methods used by other companies to calculate their ROI.
ROA was 8.4 percent and 7.8 percent for the trailing 12 months ended October 31, 2025 and 2024, respectively. The increase in ROA was primarily due to an increase in net income as a result of net increases in the fair value of our equity and other investments combined with higher operating income, offset by an increase in average total assets due to higher purchases of property and equipment. ROI was 14.8 percent and 15.1 percent for the trailing 12 months ended October 31, 2025 and 2024, respectively. The decrease in ROI was the result of an increase in average invested capital due to higher purchases of property and equipment. ROI benefited from increased operating income due to improved business performance, which was partially offset by the incremental non-cash share-based compensation charge at PhonePe as well as other business restructuring and certain legal matters.



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The calculation of ROA and ROI, along with a reconciliation of ROI to the calculation of ROA, the most comparable GAAP financial measure, is as follows:
CALCULATION OF RETURN ON ASSETS
Trailing Twelve Months Ended
October 31,
(Dollars in millions)20252024
Numerator
Consolidated net income$23,303 $20,410 
Denominator
Average total assets1
276,027 261,287 
Return on assets (ROA)8.4%7.8%
CALCULATION OF RETURN ON INVESTMENT
Trailing Twelve Months Ended
October 31,
(Dollars in millions)20252024
Numerator
Operating income$28,976 $28,743 
+ Interest income393 513 
+ Depreciation and amortization13,837 12,715 
+ Rent2,402 2,329 
ROI operating income$45,608 $44,300 
Denominator
Average total assets1
$276,027 $261,287 
'+ Average accumulated depreciation and amortization1
126,953 120,464 
'- Average accounts payable1
65,010 61,956 
'- Average accrued liabilities1
29,819 27,125 
Average invested capital$308,151 $292,670 
Return on investment (ROI)14.8%15.1%
October 31,
Certain Balance Sheet Data202520242023
Total assets$288,655 $263,399 $259,174 
Accumulated depreciation and amortization131,099 122,806 118,122 
Accounts payable67,156 62,863 61,049 
Accrued liabilities31,521 28,117 26,132 
1 The average is based on the addition of the account balance at the end of the current period to the account balance at the end of the prior period and dividing by 2.
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