Exceeding expectations! Walmart's Q4 revenue is $164 billion, and net profit increased by 76.2%!

It is learned that on February 21, Walmart released its fourth quarter and full year financial report for fiscal year 2023 ending January 31, and announced guidance for the first quarter and full year of fiscal year 2024.

Wal-Mart Stores Inc WMT.N reported fourth-quarter results that beat expectations as it attracted many holiday shoppers by offering lower prices on food, gifts and household goods.

Here is Walmart's fiscal fourth quarter report, which ended January 31:

• EPS: Adjusted: $1.71, beating consensus estimates of $1.51

• Revenue: $164.0 billion, up 7.3% year-over-year, ahead of consensus estimates of $159.72 billion

• Net income: $6.28 billion, or $2.32 per share, up 76.2% year-over-year, from $3.56 billion, or $1.28 per share, a year ago

In the fourth quarter, Walmart's sales in the United States increased by 8.3% year-on-year, e-commerce sales increased by 17% year-on-year, and its grocery market share continued to grow.

Sam's Club's sales in the fourth quarter increased by 12.2% year-on-year, membership income increased by 7.1% year-on-year, and the number of members reached a record high. Walmart's international sales in the fourth quarter were US$27.6 billion, an increase of 2.1% year-on-year, with the largest contribution from the Chinese and Canadian markets.

Looking at the full fiscal year, Walmart's revenue in fiscal 2023 increased 6.7% year-on-year to US$611.3 billion, with GAAP net earnings per share of US$4.27 and adjusted EPS of US$6.29. This is the first time in six years that Walmart's full-year profit has declined.

Looking ahead, the retailer is cautious about its outlook for the current fiscal year due to rising economic uncertainty. Walmart Chief Financial Officer John David Rainey said that with rising interest rates and falling savings rates, consumers are becoming more stressed and their spending budgets are being eroded, which is why the company is cautious about its business outlook this year.

On the other hand, the company is dealing with its own pressures, such as higher interest expenses, taxes and the impact of acquiring full ownership of a South African retailer and a US automation supplier, it learns.

For the first quarter of fiscal year 2024, Walmart expects net sales to increase by 4.5% to 5% year-on-year, operating profit to increase by 3.5% to 4% year-on-year, and adjusted earnings per share to be between $1.25 and $1.3, excluding exchange rate changes. For the full fiscal year, Walmart predicts that net sales growth will be 2.5% to 3%, lower than the market expectation of 3.1%, operating profit growth will be around 3%, and adjusted EPS will be between $5.9 and $6.05, lower than the market forecast of $6.53.

Editor ✎ Nicole/

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