Walmart Inc.'s latest 10-Q filing for the three months ended April 30, 2025, reveals several key financial metrics and performance indicators.
Growth: Comparable sales in the U.S., including fuel, increased by 3.0% for the three months ended April 30, 2025, driven by growth in transactions and unit volumes, with strong sales in health and wellness and grocery. Walmart U.S. segment's eCommerce net sales positively contributed approximately 3.4% to comparable sales, outpacing the total segment growth for the same period. * Comparable sales in the Sam's Club U.S. segment increased by 2.8% for the three months ended April 30, 2025, driven by growth in club and digital transactions as well as unit volumes, including strong sales in grocery and health and wellness.
Margin: Gross profit as a percentage of net sales ("gross profit rate") increased by 12 basis points for the three months ended April 30, 2025, primarily due to disciplined inventory management and growth in higher margin businesses in the Walmart U.S. segment. Operating expenses as a percentage of net sales increased by 6 basis points for the three months ended April 30, 2025, primarily due to increased depreciation and amortization and casualty claims expense in the U.S.
Returns: Return on Assets (ROA) was 7.5% for the trailing 12 months ended April 30, 2025, a decrease from 7.9% in the previous year, primarily due to an increase in average total assets and a slight decline in net income during the trailing 12-month period. Return on Investment (ROI) was 15.3% for the trailing 12 months ended April 30, 2025, an increase from 15.0% in the previous year, primarily due to improvements in business performance and lapping business reorganization charges incurred in the comparative trailing 12 months, partially offset by an increase in average invested capital primarily due to higher purchases of property and equipment.
Capital Allocation: Total capital expenditures for the three months ended April 30, 2025, amounted to $4.986 billion, with a significant portion allocated to supply chain, customer-facing initiatives, and technology. Free cash flow for the same period was $425 million, representing an increase of $0.9 billion compared to the same period in the previous year, primarily due to an increase in cash provided by operating income and timing of certain payments.
Following these announcements, the company's shares moved -0.5%, and are now trading at a price of $97.47. For the full picture, make sure to review Walmart's 10-Q report.
