Walmart Raises 2025 Sales Outlook After Surpassing Q2 Revenue Forecasts

Walmart reported stronger-than-expected second-quarter sales growth, with U.S. same-store sales rising 4.6% and total revenue reaching $177.4 billion, surpassing Wall Street forecasts. The company attributed its performance to a successful low-price strategy, increased grocery discounts, and a 26% increase in e-commerce sales, particularly benefiting from consumer price sensitivity amid concerns over tariffs and inflation. Walmart raised its fiscal 2026 sales forecast to a 3.75% to 4.75% increase, up from the previous 3% to 4% range, and adjusted earnings per share guidance to between $2.52 and $2.62. Despite the positive sales momentum, adjusted earnings per share fell short of expectations at $0.68 versus the forecasted $0.74, pressured partly by higher insurance and one-time costs. The retailer emphasized its ongoing investments in digital and AI-driven customer experiences, and noted strong demand in groceries, health and wellness, and online marketplace categories. Walmart's pricing strategy includes tariff-induced price increases, a move that has drawn criticism but reflects the company's effort to manage rising import costs while maintaining customer value.