Walmart Inc.: Releases First Quarter FY-2023 Earnings

Bentonville / AR. (wama) Walmart Inc. published its financial statements for the first quarter of fiscal 2023, that ended in Bentonville on April 29, 2022. President and CEO Doug McMillon: «Across our businesses, we had a strong top-line quarter. We’re grateful to our associates for their hard work and creativity. Bottom-line results were unexpected and reflect the unusual environment. U.S. inflation levels, particularly in food and fuel, created more pressure on margin mix and operating costs than we expected. We’re adjusting and will balance the needs of our customers for value with the need to deliver profit growth for our future.»

First Quarter Highlights

• Company delivered strong top-line growth globally. Total revenue was USD 141.6 billion, up 2.4 percent, or 2.6 percent in constant currency. Growth negatively affected by USD 5.0 billion due to divestitures and USD 0.4 billion from currency.
• Walmart U.S. comp sales grew 3.0 percent and 9.0 percent on a two-year stack. E-Commerce growth was 1 percent, or 38 percent on a two-year stack.
• Sam’s Club comp sales increased 10.2 percent, and 17.4 percent on a two-year stack. Membership income increased 10.5 percent.
• Walmart International net sales were USD 23.8 billion, a decrease of USD 3.5 billion, or 13.0 percent, negatively affected by USD 5.0 billion due to divestitures, and USD 0.4 billion from currency fluctuations. Positive comps across all markets.
• Global advertising business grew more than 30 percent.
• Consolidated gross profit rate declined 87 basis points, primarily due to Sam’s Club and 38 basis points in Walmart U.S. on elevated supply chain costs and product mix.
• Consolidated operating expenses as a percentage of net sales increased 45 basis points, primarily due to increased wage costs in Walmart U.S.
• Consolidated operating income was USD 5.3 billion, a decrease of 23.0 percent, negatively affected by USD 0.3 billion from divestitures.

For additional information please read the Company’s PDF file below (379 KB):

20220518-WALMART-Q1-2023.