Catenaa, Thursday, August 21, 2025- Walmart reported increased profits and sales for Q2 on Thursday as the retailer finds success in e-commerce despite a tariff-induced price-sensitive environment.
The company said it earned $7.03 billion, or 88 cents per share, for the three months ended July 31. That compares with $4.50 billion, or 56 cents per share, a year ago. Sales rose nearly 5% to $177.40 billion.
The US’s largest retailer also increased its annual profit and sales outlook.
It’s among the first group of major US retailers this week to report quarterly results that should shed more light on how consumers are coping with rising prices because of higher tariff costs.
A growing list of companies, including Procter & Gamble, e.lf. Cosmetics, Black & Decker and Ralph Lauren have told investors in recent weeks that they plan to or have already raised prices because of tariffs, though modestly.
None of that has derailed consumer spending. Shoppers spent at a healthy pace in July, particularly at the nation’s auto dealerships, even as President Donald Trump’s tariffs start to take a toll on jobs.
However, some of that spending could have been shoppers buying furniture and other items to get ahead of the expected price increases, analysts said.
Walmart maintains that 90% of American households rely on the retailer for a range of products, and more than 150 million customers shop on its website or in its stores every week.
Walmart’s US comparable sales — those from established physical stores and online channels — rose 4.6% in the latest quarter, slightly higher than the 4.5% gain in the fiscal first quarter.
The business was fueled by groceries and health and wellness items, the company said.
Global e-commerce sales rose 25%, above the 22% growth in the fiscal first quarter.
The company said Thursday it expects earnings per share to be in the range of 58 cents to 60 cents for the current quarter. Analysts expect 57 cents per share, according to FactSet.
Walmart also expects sales to be anywhere from 3.75% to 4.75% for the current period.
Walmart’s stock fell by 5% on Thursday morning after the earnings report. The stock is up by over 8% so far this year.
