Walmart reported strong second quarter results for fiscal 2027, exceeding revenue and earnings estimates while raising its full-year guidance. Although U.S. comparable sales growth moderated, the company benefited from significant expansion in high-margin alternative revenue streams including advertising and membership fees.
Key Highlights
- Total revenue reached $187.9 billion, a 5.9% increase year-over-year, supported by 23% global eCommerce growth and share gains across segments.
- Walmart U.S. comparable sales (ex-fuel) grew 2.6%, missing the 3.5% estimate as results were pressured by a 125 bps deflationary headwind in pharmacy.
- The global advertising business surged 38%, led by 43% growth in the U.S.-based Walmart Connect platform (excluding VIZIO).
- Management raised FY2027 adjusted EPS guidance to a range of $2.80 - $2.87, up from the previous range of $2.75 - $2.85.