Walmart's Q1 CY2026 Earnings Results: Revenue in Line with Expectations

💡 Walmart's Q1 revenue met expectations, but margins contracted due to higher costs.

The retail giant, Walmart, reported its Q1 CY2026 earnings results on Tuesday, revealing revenue in line with analyst expectations. However, the company's operating margins contracted due to higher costs, particularly in the United States.

Revenue Growth and Margins

Walmart's revenue grew 3.5% year-over-year to $151.2 billion, beating estimates of $149.8 billion. Despite this growth, the company's operating margin declined to 3.4%, down from 3.6% in the same period last year.

E-commerce Sales and International Performance

Walmart's e-commerce sales, which account for a significant portion of its revenue, grew 15% year-over-year to $24.1 billion. The company's international sales also showed resilience, with revenue from its international segment growing 5.2% year-over-year to $43.8 billion.

Guidance Update

Walmart provided a cautious guidance update for the full-year CY2026, citing ongoing inflationary pressures and higher costs. The company expects revenue growth to slow to 2.5%, down from its previous estimate of 3.5%.

What It Means for Investors