How does Walmart (WMT) make money?

Walmart (WMT) generates revenue primarily from Walmart U S, which accounted for 68% of total revenue in TTM through Q2 2026. The company reported $725B in revenue and converted 3.1% of it into net profit, equivalent to roughly $22.7B in net income — what's left after the cost of revenue, operating expenses, interest, and income taxes.

What is the gross profit margin of Walmart (WMT)?

Walmart (WMT) reported a gross profit margin of 25% in TTM through Q2 2026, equivalent to $181B in gross profit on $725B in revenue. Gross margin measures how much of each dollar of revenue remains after the direct cost of producing or delivering the product — a higher figure typically signals pricing power, scale, or a less capital-intensive business model.

What is the operating profit margin of Walmart (WMT)?

Walmart (WMT) reported an operating profit margin of 4.2% in TTM through Q2 2026, equivalent to $30.2B in operating income. Operating margin captures profitability after research & development, sales & marketing, and general & administrative expenses — but before interest, taxes, and one-off items — and is the cleanest single read on the underlying business's efficiency.

What is the net profit margin of Walmart (WMT)?

Walmart (WMT) reported a net profit margin of 3.1% in TTM through Q2 2026, equivalent to $22.7B in net income. Net margin is the bottom-line share of revenue that survives every expense — operating costs, interest, and income taxes — and is the figure that flows directly into earnings per share.

Is Walmart (WMT) profitable?

Yes. Walmart (WMT) reported $22.7B in net income for TTM through Q2 2026, with a net profit margin of 3.1%. The company earned more from its operations than it paid out in costs, interest, and income taxes, leaving positive earnings on the bottom line.

How much does Walmart (WMT) spend on capital expenditures?

Walmart (WMT) spent $28.3B on capital expenditures (CapEx) during TTM through Q2 2026, roughly 3.9% of total revenue. CapEx represents long-lived investment in property, equipment, data centres, and other physical infrastructure, and is subtracted from operating cash flow to arrive at free cash flow.

How much free cash flow does Walmart (WMT) generate?

Walmart (WMT) generated $12.6B in free cash flow during TTM through Q2 2026, a free-cash-flow margin of 1.7%. Free cash flow is the cash left after capital expenditures and represents the discretionary pool the company can use to pay dividends, repurchase shares, repay debt, or fund acquisitions without raising external capital.

What is the effective tax rate of Walmart (WMT)?

Walmart (WMT) had an effective tax rate of 24.5% in TTM through Q2 2026. The effective rate is the actual share of pre-tax income paid as income taxes and can differ materially from the statutory rate due to foreign earnings mix, tax credits (such as R&D), share-based compensation deductions, and one-off discrete items.

What are the main business segments of Walmart (WMT)?

Walmart (WMT) reports revenue across 3 reportable product segments, led by Walmart U S at 68% of total revenue in TTM through Q2 2026. See the revenue-by-segment table on this page for the full breakdown and how each segment feeds into the income-statement waterfall above.

How Walmart Makes Money: 2026 Visual Revenue Map

Walmart (WMT) Income Statement Flow — TTM through Q2 2026

Calculated from the four most recent reported quarters, ending April 30, 2026 (reported May 29, 2026).

Walmart discloses geographic revenue only in annual filings. to view the full breakdown.

Walmart (WMT) Revenue by Product Segment — TTM through Q2 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported segments changed mid-year.

Revenue contribution by product segment for Walmart (WMT), TTM through Q2 2026.
Segment	Revenue (USD)	% of total
Walmart U S	$493B	68%
Walmart International	$137B	18.9%
Sams Club	$95.3B	13.1%
Total	$725B	100%

Walmart U S$493B
Walmart International$137B
Sams Club$95.3B
Total$725B

Revenue Breakdown — TTM through Q2 2026

In TTM through Q2 2026, Walmart (WMT) reports revenue across 3 reportable product segments; the largest segment was Walmart U S at 68%, followed by Walmart International (18.9%) and Sams Club (13.1%).

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