Walmart (WMT) Q3 2026 earnings

Walmart raised its gross sales and earnings outlook Thursday because the retailer posted income positive aspects in its fiscal third quarter, pushed by double-digit e-commerce development and new prospects throughout incomes.

The retailer stated it expects full-year internet gross sales to climb between 4.8% and 5.1%, up from its earlier expectations of three.75% to 4.75%. It stated it expects its adjusted earnings per share to vary from $2.58 to $2.63, a slight elevate from its prior vary of $2.52 to $2.62.

It marked the second quarter in a row Walmart hiked its full-year forecast. 

Walmart’s earnings report is the primary because the Arkansas-based firm introduced a management change. The large-box retailer stated final week that John Furner, the CEO of its U.S. enterprise, will succeed longtime CEO Doug McMillon on Feb. 1.

In an interview with CNBC, Chief Monetary Officer John David Rainey stated client habits did not change throughout the quarter, as consumers spent selectively and seemed for offers. He stated Walmart has gained these “value-seeking” prospects throughout incomes, each due to the financial backdrop and its personal strategic strikes.

“Shoppers want to do enterprise with these corporations which are offering worth, which are delivering the comfort that they’ve come to know and anticipate, and which are executing constantly nicely,” he stated.

He stated Walmart noticed an influence from the pause in Supplemental Diet Help Program, or SNAP, advantages, previously generally known as meals stamps, throughout the extended authorities shutdown. However he stated “that is beginning to rebound now that individuals are receiving these funds once more.”

Here’s what the big-box retailer reported for the fiscal third quarter in contrast with Wall Road’s estimates, in response to a survey of analysts by LSEG:

• Earnings per share: 62 cents adjusted vs. 60 cents anticipated
• Income: $179.50 billion vs. $177.43 billion anticipated

Walmart additionally stated Thursday that it’ll switch the itemizing of its frequent inventory to the Nasdaq and can start buying and selling there on Dec. 9. It’s presently traded on the New York Inventory Alternate. It’ll have the identical inventory ticker image, “WMT.”

The corporate’s inventory closed Thursday at $107.11, up about 6.5%. As of Thursday’s shut, shares of Walmart are up about 19% to date this yr. That outpaces the S&P 500’s roughly 11% positive aspects throughout the identical interval. 

As a retail large that attracts consumers throughout incomes, Walmart is carefully watched as a sign of the well being of the U.S. client and the way President Donald Trump‘s tariffs are affecting the costs consumers pay. It may communicate to client conduct throughout classes, because it sells discretionary gadgets like make-up and garments together with requirements like milk and bathroom paper.

Walmart has gained extra high-income prospects as even prosperous households sought reduction from pricier grocery payments resulting from excessive inflation in recent times. That cohort additionally has responded to retailer remodels and sooner deliveries. 

That development continued in the newest quarter, Rainey informed CNBC. He stated Walmart has gained market share throughout incomes, however “they’re extra pronounced within the upper-income section.”

A few of these consumers have come to Walmart for pace, Rainey stated. The retailer can now ship to about 95% of U.S. households from shops in beneath three hours.

Clients now expedite a couple of third of its on-line orders from shops to reach in one- or three-hour timeframes, he stated. He stated income associated to these sooner deliveries has elevated 70% yr over yr. The corporate prices a price for some speedier orders, and others are included as a good thing about its subscription-based membership program, Walmart+.

The expedited supply service is fashionable, even with consumers with decrease incomes, he stated. Throughout the weeks of November when SNAP advantages have been paused, Rainey stated Walmart seen a dip in that quantity.

Within the three-month interval that ended Oct. 31, Walmart’s internet revenue elevated to $6.14 billion, or 77 cents per share, from $4.58 billion, or 57 cents per share, within the year-ago interval.

Excluding one-time gadgets, similar to enterprise reorganization prices, Walmart’s adjusted earnings per share was 62 cents.

Income rose from $169.59 billion within the year-ago quarter. 

Comparable gross sales for Walmart U.S. rose 4.5% within the third quarter, excluding gas, in contrast with the year-ago interval. That surpassed analysts’ expectations of 4% development, in response to StreetAccount. The business metric, additionally known as same-store gross sales, contains gross sales from shops and golf equipment open for at the very least a yr.

At Sam’s Membership, comparable gross sales rose 3.8%, excluding gas. 

Walmart e-commerce gross sales grew by 27% globally, as all segments of the corporate posted sharp positive aspects. Within the U.S., e-commerce rose 28%, pushed by will increase in store-fulfilled supply of on-line orders and development of promoting and its third-party market.

E-commerce gross sales internationally jumped 26% and at Sam’s Membership within the U.S., they rose 22%.

Within the U.S., consumers made extra journeys to Walmart and spent extra on these visits. Buyer transactions rose 1.8% and common ticket elevated by 2.7%.

As Walmart positive aspects extra digital visitors and provides extra merchandise to its third-party market, promoting has been a significant development space, too. Within the quarter, its international promoting enterprise elevated by 53%, together with Vizio, the sensible TV maker it acquired final yr for $2.3 billion. Its U.S. promoting enterprise, Walmart Join, grew 33% yr over yr. 

Walmart is mulling one other acquisition after it expanded its third-party market quickly in recent times, as it’s in talks to purchase R&A Information, a startup that works to curb scams and counterfeits, CNBC reported Wednesday.

Like different retailers, Walmart has stated it raised costs on some gadgets to offset increased prices from tariffs. A couple of third of what Walmart sells within the U.S. comes from different components of the world, with China, Mexico, Canada, Vietnam and India representing its largest markets for imports, Rainey informed CNBC in Might.

On a name with CNBC on Thursday, Rainey stated in the case of increased tariff prices, “the stress is actual.” But, he stated Walmart’s staff has been capable of scale back the influence on prospects by discovering methods to soak up some prices.

Furner, Walmart’s incoming CEO who presently leads the retailer’s U.S. enterprise, stated on the earnings name that there is been some reduction on key meals classes, which helps offset tariff price pressures. Earlier this month, Trump exempted some main agricultural imports, together with cocoa, bananas and low, from elevated duties as he confronted backlash over excessive costs.

Plus, Furner stated the big-box retailer’s wider assortment has helped the corporate discover a steadiness because it will increase costs on some gadgets and lowers them on others. It is also adjusted its merchandise orders to scale back the danger of markdowns. For instance, it is stored a bigger stock of things for teenagers, since folks are likely to prioritize their households even after they really feel monetary stress, he stated.

Walmart’s positive aspects in non-food classes, which are usually increased margin, have additionally helped. Gross sales of vogue, a class that features attire, footwear, jewellery and equipment, grew greater than 5% within the quarter in comparison with the year-ago interval, he stated.

Walmart’s outcomes on Thursday adopted cautious updates from Goal, House Depot and Lowe’s. All three of these retailers lowered their full-year revenue outlooks this week and referred to customers who have been hesitant to make massive purchases and hungry for offers. 

T.J. Maxx and Marshalls dad or mum firm TJX, however, hiked its full-year forecast, saying it is seeing a “robust begin” to the vacations because it caters to value-conscious consumers.

Rainey stated Walmart is “going into the vacation fairly optimistic,” saying it is ready with aggressive worth factors.