Direct Answer
Walmart's total net sales for fiscal year 2025 (the fiscal year ending January 31, 2025) were approximately $681.3 billion, up roughly 6% from $642.6 billion in fiscal year 2024. Walmart U.S. contributed $476.1 billion, Walmart International contributed $116.4 billion, and Sam's Club U.S. contributed $90.0 billion. Operating income reached approximately $27.5 billion and net income approximately $19.4 billion. Advertising revenue (Walmart Connect U.S.) generated approximately $4.4 billion and Sam's Club membership fees approximately $4.6 billion, both high-margin revenue streams that are growing faster than total net sales.
Revenue by segment (FY2023 to FY2025)
Walmart's fiscal year ends January 31. FY2025 covers February 2024 through January 2025; FY2024 covers February 2023 through January 2024; FY2023 covers February 2022 through January 2023.
| Segment (net sales) | FY2023 | FY2024 | FY2025 |
|---|---|---|---|
| Walmart U.S. | $420.6B | $442.0B | $476.1B |
| Walmart International | $97.4B | $114.6B | $116.4B |
| Sam's Club U.S. | $84.3B | $86.2B | $90.0B |
| Total net sales | $605.9B | $642.6B | $681.3B |
Walmart U.S. is by far the largest segment, accounting for roughly 70% of total net sales in FY2025. It operates supercenters, Neighborhood Markets, and a growing e-commerce business. Walmart International includes operations in Canada, Mexico (Walmex), China, the United Kingdom (ASDA stake), and other markets. Sam's Club U.S. is the membership warehouse club business that competes primarily with Costco and BJ's Wholesale Club.
Walmart International net sales grew 17.7% from FY2023 to FY2024, partly driven by currency tailwinds and store expansion in Mexico. Growth moderated to 1.6% in FY2025 as currency headwinds weighed on reported results even as underlying unit volumes grew.
Membership and advertising revenue (FY2025)
Walmart earns two high-margin revenue streams on top of merchandise net sales. These are increasingly important to the investment thesis because they carry materially higher margins than the core retail business.
| Revenue stream | FY2025 (approx.) | Notes |
|---|---|---|
| Sam's Club membership fees | $4.6B | Annual and Plus memberships; high renewal rates |
| Walmart Connect advertising (U.S.) | $4.4B | Sponsored products, display, search; fast-growing |
Walmart Connect is Walmart's retail media network in the United States. It monetizes the purchase-intent data from Walmart's massive customer base by selling advertising placements on Walmart.com, in the Walmart app, and on third-party sites using Walmart audience data. Because the marginal cost of an additional advertising impression is low, advertising revenue contributes disproportionately to profit relative to its share of gross sales.
Sam's Club membership fees represent recurring subscription revenue. Sam's Club charges annual fees for standard and Plus memberships. Membership renewal rates have historically been high, making this revenue highly predictable. The membership model also drives higher purchase frequency among members, reinforcing the club's sales volumes.
Together these two streams totaled approximately $9.0 billion in FY2025 and are growing at rates substantially above the 6% total net sales growth rate.
Profitability (FY2023 to FY2025)
| Metric | FY2023 | FY2024 | FY2025 |
|---|---|---|---|
| Consolidated gross margin | approx. 24.0% | approx. 24.1% | approx. 24.2% |
| Walmart U.S. gross margin | approx. 24.0% | approx. 24.3% | approx. 24.6% |
| Operating income | $22.1B | $26.4B | approx. $27.5B |
| Net income | $11.7B | $15.5B | approx. $19.4B |
| Adjusted diluted EPS | n/a | n/a | approx. $2.51 |
Walmart's gross margins are structurally lower than those of software or financial companies because the business sells physical merchandise with real cost of goods sold. The approximately 24% consolidated gross margin is typical of a large general-merchandise retailer that competes on everyday low prices.
Operating income grew from $22.1 billion in FY2023 to approximately $27.5 billion in FY2025. The improvement reflects leverage on selling, general, and administrative expenses as revenue grew faster than fixed costs, along with the mix shift toward higher-margin advertising and membership revenue. Net income grew faster than operating income over the two-year period, reflecting benefits below the operating line including improved equity income and favorable tax items in certain periods.
Walmart U.S. gross margin of approximately 24.6% in FY2025 is modestly above the consolidated figure because the International segment includes markets with different price structures, and Sam's Club operates at the tighter margins typical of warehouse clubs.
Frequently Asked Questions
What was Walmart's total revenue in fiscal year 2025?
Walmart reported approximately $681.3 billion in total net sales for fiscal year 2025 (the fiscal year ending January 31, 2025), an increase of approximately 6% from $642.6 billion in fiscal year 2024. Walmart's fiscal year ends on January 31, so fiscal year 2025 covers February 2024 through January 2025.
How fast is Walmart's advertising business growing?
Walmart's advertising business, known as Walmart Connect in the United States, generated approximately $4.4 billion in U.S. revenue in fiscal year 2025. Advertising is a high-margin revenue stream for Walmart because it monetizes the shopper data and digital shelf space generated by Walmart's massive customer base rather than requiring additional physical assets.
What is Sam's Club and how does it contribute to Walmart's financials?
Sam's Club is Walmart's membership warehouse club business, competing primarily with Costco and BJ's Wholesale Club. Sam's Club U.S. generated approximately $90.0 billion in net sales in fiscal year 2025 and also earns membership fees of approximately $4.6 billion annually. The membership model provides recurring revenue and builds customer loyalty.
How has Walmart's operating income trended?
Walmart's operating income grew from $22.1 billion in fiscal year 2023 to approximately $27.5 billion in fiscal year 2025, driven by improving margins in the U.S. segment, growth in high-margin advertising revenue, and operational efficiencies. Net income grew faster than operating income over the same period, partly reflecting improvements below the operating line.