Stock Analysis on Net
Stock Analysis on Net

Walmart Inc. (NYSE:WMT)

Common-Size Income Statement 

Walmart Inc., common-size consolidated income statement

Microsoft Excel
12 months ended: Jan 31, 2025 Jan 31, 2024 Jan 31, 2023 Jan 31, 2022 Jan 31, 2021 Jan 31, 2020
Net sales 100.00 100.00 100.00 100.00 100.00 100.00
Cost of sales -75.87 -76.27 -76.54 -75.56 -75.70 -75.90
Gross profit 24.13% 23.73% 23.46% 24.44% 24.30% 24.10%
Membership and other income 0.96 0.85 0.89 0.88 0.71 0.78
Operating, selling, general and administrative expenses -20.74 -20.38 -20.98 -20.75 -20.94 -20.92
Operating income 4.35% 4.20% 3.37% 4.57% 4.06% 3.96%
Interest expense, debt and finance lease -0.40 -0.42 -0.35 -0.35 -0.42 -0.50
Interest income 0.07 0.08 0.04 0.03 0.02 0.04
Interest, net -0.33% -0.33% -0.31% -0.32% -0.40% -0.46%
Loss on extinguishment of debt 0.00 0.00 0.00 -0.42 0.00 0.00
Other gains and (losses) -0.12 -0.47 -0.25 -0.53 0.04 0.38
Income before income taxes 3.90% 3.40% 2.81% 3.29% 3.70% 3.87%
Provision for income taxes -0.91 -0.87 -0.94 -0.84 -1.24 -0.95
Consolidated net income 2.99% 2.53% 1.86% 2.46% 2.47% 2.92%
Consolidated net (income) loss attributable to noncontrolling interest -0.11 -0.12 0.06 -0.05 -0.04 -0.06
Consolidated net income attributable to Walmart 2.88% 2.41% 1.93% 2.41% 2.43% 2.86%

Based on: 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31).

The financial data reveals several notable trends in the company’s performance over the analyzed periods. Gross profit as a percentage of net sales generally fluctuates but maintains a relatively stable range around 24%, with a slight dip in the year ended January 31, 2023, before recovering by January 31, 2025. This indicates some variability in cost management or pricing strategies impacting profitability.

Cost of sales consistently represents approximately 75.5% to 76.5% of net sales, showing minor volatility. This stability suggests controlled production or procurement costs relative to sales, albeit with a slight increase in cost ratio in 2023.

Membership and other income as a percentage of net sales remains below 1% but exhibits a small upward trend toward the last reported period, indicating a marginal increase in income from these sources. This could reflect successful efforts to enhance revenue streams beyond core sales.

Operating, selling, general, and administrative expenses fluctuate slightly around 20-21% of net sales without a clear trend, indicating consistent control over operating expenses relative to sales. However, the slight reduction in 2024 compared to 2023 may suggest improved efficiency or cost-cutting measures.

Operating income shows variability, peaking at 4.57% in 2022, decreasing notably in 2023 to 3.37%, and recovering thereafter. This suggests that operational profitability was impacted by factors that year but showed resilience and improvement subsequently.

The net interest expense remains a relatively small proportion of net sales, declining from -0.46% in 2020 to around -0.33% in recent years, indicating better interest management or reduced debt burden. The presence of a loss on extinguishment of debt in 2022 at -0.42% marks a notable one-time event impacting financial costs negatively in that year.

Other gains and losses exhibit negative values from 2022 onwards, suggesting some unfavorable one-off items or operational losses outside standard costs, although with a decreasing adverse impact by 2025.

Income before taxes mirrors the operating income trend, with a dip in 2023 to 2.81% from previous years but recovers to 3.9% by 2025. This implies recovery in overall profitability after the mid-period dip.

The provision for income taxes fluctuates without a clear trend, generally hovering between -0.84% and -1.24% of net sales. This variability likely reflects changes in taxable income and applicable tax rates but remains a stable cost factor relative to sales.

Consolidated net income as a percentage of net sales declines to 1.86% in 2023 before increasing again toward 2.99% in 2025. This indicates a temporary reduction in net profitability followed by a strong recovery. The net income attributable to Walmart specifically follows a similar pattern but reflects slightly lower values due to allocable interests to noncontrolling parties.

Overall, the data presents a picture of relative stability in cost and expense management with some fluctuations in profitability, particularly evident in the period around 2023. Recovery trends by 2025 suggest effective management responses to earlier challenges. Interest costs have been reduced, and diversification in income through membership and other revenues shows a mild positive trajectory.

Gross Profit
Stable around 24%, slight dip in 2023, recovery by 2025.
Cost of Sales
Remains steady near 75.5-76.5% of net sales, minor increase in 2023.
Membership and Other Income
Gradual increase from below 1%, reaching 0.96% by 2025.
Operating Expenses
Consistent near 20-21% of sales, slight efficiency improvement in 2024.
Operating Income
Peaks in 2022, dips in 2023, then improves moderately through 2025.
Interest Expense
Decreases over time; one-time loss event in 2022 noted.
Other Gains/Losses
Generally negative, improving by 2025.
Income Before Taxes
Follows operating income trend with mid-period dip and recovery.
Provision for Income Taxes
Varies without trend, stable proportion of net sales.
Consolidated Net Income
Dips significantly in 2023, recovers strongly by 2025.