Walmart’s total revenue for the quarter increased 5.2% (or $6.7 billion) to $134.7 billion. Consolidated operating income was $5.8 billion, an increase of 22.5%. Adjusted operating income in constant currency increased 16.4% with strong contributions from each operating segment.
“This was another strong quarter on the top and bottom line,” Walmart president and CEO Doug McMillon said. “Our associates continue to impress during this challenging year. They are working together to serve customers and communities in new, relevant ways and we’re very proud of them. We think these new customer behaviors will largely persist and we’re well positioned to serve customers with the value and experience they’re looking for.”
Other highlights of the fiscal quarter ended October 30 included:
- Sam’s Club comp sales1 increased 11.1%. eCommerce sales grew 41%. Reduced tobacco sales negatively affected comp sales by approximately 420 basis points. New member sign-ups and renewal rates were strong, particularly Plus membership. Membership income increased 10.4%.
- Walmart International net sales were $29.6 billion, an increase of 1.3%. Changes in currency rates negatively affected net sales by approximately $1.1 billion. Excluding currency2 , net sales would have been $30.6 billion, an increase of 5.0% led by Flipkart, Canada and Walmex. Strong growth in net sales at Flipkart was helped by a record number of monthly active customers.
- Consolidated operating expenses as a percentage of net sales decreased 18 basis points. Incremental expenses related to COVID-19 were approximately $0.6 billion, partially offset by a non-cash impairment charge in the third quarter of last year. Underlying productivity in stores and eCommerce remained strong.
- Operating cash flow year to date has been strong and increased approximately $8.3 billion versus last year to almost $23 billion.
Walmart said its net sales and operating results continue to be affected by the global health crisis. Increased demand for products across multiple categories led to strong top-line and gross margin results.