Walmart Inc

Strong Financial Performance: Walmart reported a sales growth of 5.2% and a 9.4% increase in adjusted operating income in constant currency for Q4 FY2025. For the full year, consolidated revenue grew 5.6% in constant currency, adding approximately $36 billion, while adjusted EPS increased 13%. Despite currency headwinds impacting reported sales and EPS, overall performance exceeded expectations.

Optimistic Outlook for FY2026: Walmart guided for consolidated net sales growth of approximately 3% to 4% and operating income growth of 3.5% to 5.5%. Adjusted EPS is expected to be in the range of $2.50 to $2.60, reflecting optimism amidst macroeconomic uncertainties. The guidance suggests a continued strong operational performance, projecting growth rates for operating income faster than sales.

E-commerce Growth and Enhanced Margins: Walmart's e-commerce segment grew 16% in Q4, with improvements in incremental margins recorded at 11%, significantly above the company's overall margin rate. Walmart aims to further invest in digital offerings and supply chain automation to capitalize on this growth.