Analysis of Profitability Ratios
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Walmart Inc., profitability ratios
Based on: 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31).
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Walmart Inc. gross profit margin ratio improved from 2023 to 2024 and from 2024 to 2025. |
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Walmart Inc. operating profit margin ratio improved from 2023 to 2024 and from 2024 to 2025. |
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Walmart Inc. net profit margin ratio improved from 2023 to 2024 and from 2024 to 2025. |
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Walmart Inc. ROE improved from 2023 to 2024 and from 2024 to 2025. |
| ROA | A profitability ratio calculated as net income divided by total assets. | Walmart Inc. ROA improved from 2023 to 2024 and from 2024 to 2025. |
Gross Profit Margin
Walmart Inc., gross profit margin calculation, comparison to benchmarks
| Jan 31, 2025 | Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Gross profit | 162,785) | 152,495) | 142,160) | 138,762) | 134,918) | 125,321) | |
| Net sales | 674,538) | 642,637) | 605,881) | 567,762) | 555,233) | 519,926) | |
| Profitability Ratio | |||||||
| Gross profit margin1 | 24.13% | 23.73% | 23.46% | 24.44% | 24.30% | 24.10% | |
| Benchmarks | |||||||
| Gross Profit Margin, Competitors2 | |||||||
| Costco Wholesale Corp. | — | 10.92% | 10.57% | 10.48% | 11.13% | 11.20% | |
| Target Corp. | 28.21% | 27.54% | 24.57% | 29.28% | 29.27% | 29.76% | |
Based on: 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31).
1 2025 Calculation
Gross profit margin = 100 × Gross profit ÷ Net sales
= 100 × 162,785 ÷ 674,538 = 24.13%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Walmart Inc. gross profit margin ratio improved from 2023 to 2024 and from 2024 to 2025. |
Operating Profit Margin
Walmart Inc., operating profit margin calculation, comparison to benchmarks
| Jan 31, 2025 | Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Operating income | 29,348) | 27,012) | 20,428) | 25,942) | 22,548) | 20,568) | |
| Net sales | 674,538) | 642,637) | 605,881) | 567,762) | 555,233) | 519,926) | |
| Profitability Ratio | |||||||
| Operating profit margin1 | 4.35% | 4.20% | 3.37% | 4.57% | 4.06% | 3.96% | |
| Benchmarks | |||||||
| Operating Profit Margin, Competitors2 | |||||||
| Costco Wholesale Corp. | — | 3.72% | 3.41% | 3.50% | 3.49% | 3.33% | |
| Target Corp. | 5.22% | 5.31% | 3.53% | 8.44% | 6.99% | 5.96% | |
| Operating Profit Margin, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 4.20% | 3.40% | 4.76% | 4.26% | 4.03% | |
| Operating Profit Margin, Industry | |||||||
| Consumer Staples | — | 7.96% | 7.31% | 8.44% | 8.48% | 8.17% | |
Based on: 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31).
1 2025 Calculation
Operating profit margin = 100 × Operating income ÷ Net sales
= 100 × 29,348 ÷ 674,538 = 4.35%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Walmart Inc. operating profit margin ratio improved from 2023 to 2024 and from 2024 to 2025. |
Net Profit Margin
Walmart Inc., net profit margin calculation, comparison to benchmarks
| Jan 31, 2025 | Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Consolidated net income attributable to Walmart | 19,436) | 15,511) | 11,680) | 13,673) | 13,510) | 14,881) | |
| Net sales | 674,538) | 642,637) | 605,881) | 567,762) | 555,233) | 519,926) | |
| Profitability Ratio | |||||||
| Net profit margin1 | 2.88% | 2.41% | 1.93% | 2.41% | 2.43% | 2.86% | |
| Benchmarks | |||||||
| Net Profit Margin, Competitors2 | |||||||
| Costco Wholesale Corp. | — | 2.95% | 2.65% | 2.62% | 2.61% | 2.45% | |
| Target Corp. | 3.84% | 3.85% | 2.55% | 6.55% | 4.67% | 4.20% | |
| Net Profit Margin, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 2.70% | 2.18% | 2.95% | 2.72% | 2.91% | |
| Net Profit Margin, Industry | |||||||
| Consumer Staples | — | 5.69% | 5.47% | 6.11% | 6.21% | 6.22% | |
Based on: 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31).
1 2025 Calculation
Net profit margin = 100 × Consolidated net income attributable to Walmart ÷ Net sales
= 100 × 19,436 ÷ 674,538 = 2.88%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Walmart Inc. net profit margin ratio improved from 2023 to 2024 and from 2024 to 2025. |
Return on Equity (ROE)
Walmart Inc., ROE calculation, comparison to benchmarks
| Jan 31, 2025 | Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Consolidated net income attributable to Walmart | 19,436) | 15,511) | 11,680) | 13,673) | 13,510) | 14,881) | |
| Total Walmart shareholders’ equity | 91,013) | 83,861) | 76,693) | 83,253) | 80,925) | 74,669) | |
| Profitability Ratio | |||||||
| ROE1 | 21.36% | 18.50% | 15.23% | 16.42% | 16.69% | 19.93% | |
| Benchmarks | |||||||
| ROE, Competitors2 | |||||||
| Costco Wholesale Corp. | — | 31.19% | 25.11% | 28.31% | 28.51% | 21.89% | |
| Target Corp. | 27.89% | 30.81% | 24.75% | 54.15% | 30.25% | 27.73% | |
| ROE, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 22.34% | 18.37% | 22.67% | 20.26% | 21.15% | |
| ROE, Industry | |||||||
| Consumer Staples | — | 32.18% | 30.71% | 32.10% | 31.40% | 30.98% | |
Based on: 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31).
1 2025 Calculation
ROE = 100 × Consolidated net income attributable to Walmart ÷ Total Walmart shareholders’ equity
= 100 × 19,436 ÷ 91,013 = 21.36%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Walmart Inc. ROE improved from 2023 to 2024 and from 2024 to 2025. |
Return on Assets (ROA)
Walmart Inc., ROA calculation, comparison to benchmarks
| Jan 31, 2025 | Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||
| Consolidated net income attributable to Walmart | 19,436) | 15,511) | 11,680) | 13,673) | 13,510) | 14,881) | |
| Total assets | 260,823) | 252,399) | 243,197) | 244,860) | 252,496) | 236,495) | |
| Profitability Ratio | |||||||
| ROA1 | 7.45% | 6.15% | 4.80% | 5.58% | 5.35% | 6.29% | |
| Benchmarks | |||||||
| ROA, Competitors2 | |||||||
| Costco Wholesale Corp. | — | 10.55% | 9.12% | 9.11% | 8.45% | 7.20% | |
| Target Corp. | 7.08% | 7.48% | 5.21% | 12.91% | 8.52% | 7.67% | |
| ROA, Sector | |||||||
| Consumer Staples Distribution & Retail | — | 7.15% | 5.68% | 7.29% | 6.30% | 6.62% | |
| ROA, Industry | |||||||
| Consumer Staples | — | 8.89% | 8.28% | 8.95% | 8.75% | 8.24% | |
Based on: 10-K (reporting date: 2025-01-31), 10-K (reporting date: 2024-01-31), 10-K (reporting date: 2023-01-31), 10-K (reporting date: 2022-01-31), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-01-31).
1 2025 Calculation
ROA = 100 × Consolidated net income attributable to Walmart ÷ Total assets
= 100 × 19,436 ÷ 260,823 = 7.45%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | Walmart Inc. ROA improved from 2023 to 2024 and from 2024 to 2025. |