Gains In Grocery, E-Commerce Boost Walmart In Q4
Walmart closed out its fiscal year 2024 with a strong fourth quarter as the company crossed a milestone with its e-commerce sales.
Company-wide sales in the fourth quarter ended January 31 were $173.4 billion, an increase of 5.7% year-over-year. Adjusted earnings per share were $1.80, a net gain of $0.23. Global e-commerce sales grew 23%.
“Our team delivered a great quarter, finishing off a strong year,” said Doug McMillon, president and CEO of Walmart. “We crossed $100 billion in eCommerce sales and drove share gains as our customer experience metrics improved, even during our highest volume days leading up to the holidays. We’re proud of the team and excited about building on our momentum as we work to bring prices down for our customers and members.”
In the retailer’s U.S. division, fourth quarter net sales were $117.6 billion, up over net sales of $113.7 billion in the comparable quarter the previous year. Comparable store sales exclusive of fuel were up 4%. The division delivered strong growth in in-store and digital transaction counts, with unit volumes increasing. The retailer reported share gains in grocery and general merchandise, primarily among higher-income households. E-commerce sales were up 17%.
Net sales at Sam’s Club were $21.9 billion, up from sales of $21.4 billion in the comparable quarter the previous year. Comparable store sales exclusive of fuel were up 3.1%. Sam’s reported dollar and unit market share gains in grocery. E-commerce sales were up 17%.
Additionally, Walmart announced an agreement to acquire Vizio in a deal value at approximately $2.3 billion. The acquisition of Vizio and its SmartCast Operating System (OS) would enable Walmart to connect with and serve its customers in new ways including innovative television and in-home entertainment and media experiences. It would also create new opportunities to help advertisers connect with customers, empowering brands with differentiated and compelling opportunities to engage at scale and to realize greater impact from their advertising spend with Walmart.
The combination would be expected to further accelerate Walmart’s media business in the U.S., Walmart Connect, bringing together Vizio’s advertising solutions business with Walmart’s reach and capabilities. These benefits would be further strengthened by the growth of connected TV platforms and Walmart’s industry-leading TV panel sales.
