Walmart reported solid top-line momentum for QQ2 2025, with revenue of $169.335 billion, up 4.77% year over year and 4.85% quarter over quarter. The company delivered a gross margin of 25.11% and an operating margin of 4.69%, translating to operating income of $7.94 billion and net income of $4.50 billion (EPS $0.56). Although revenue advanced, net income and EPS declined year over year by 42.96% and 42.86% respectively, reflecting higher costs, mix effects, and potentially one-time items in the prior year base. Free cash flow reached $6.28 billion, supported by a robust operating cash flow of $12.11 billion and disciplined capital allocation (dividends and modest share repurchases) as Walmart continues to balance growth investments with shareholder returns.
From a balance sheet perspective, Walmart maintains a strong asset base and ample liquidity, with total assets of $254.44 billion and total stockholders’ equity of $84.42 billion. Cash and cash equivalents stood at $8.81 billion, while total debt was $61.31 billion and net debt $52.49 billion. The current ratio sits at 0.80, reflecting the retailer’s working-capital-intensive model (not unusual for a mass-merchandiser with large inventory). Inventory stood at $55.61 billion, underscoring the ongoing investment in assortment and supply chain resilience. Cash flow generation remains a strength, supporting ongoing investments in e‑commerce, price leadership, and the Walmart+ loyalty program, alongside returns to shareholders.
Looking ahead, management did not provide explicit forward guidance in the data available. Nevertheless, Walmart’s scale, multichannel capabilities, and ongoing capital allocation favor a constructive long-term outlook. Near-term vigilance should focus on margin durability in a competitive environment, cost discipline across the value chain, and continued investment in omnichannel growth and international expansion to sustain top-line momentum.