Walmart Gains Share in Grocery Again as U.S. Comps Climb 5.6% in Q4

Walmart saw share gains in grocery again in the fourth quarter of fiscal 2022, the Bentonville, Ark.-based retailer reported Feb. 17, as U.S. comp sales rose 5.6%, in line with analyst estimates.

Total revenue for Walmart Inc. in the final quarter of fiscal 2022 was $152.9 billion, up 0.5% and negatively affected by divestures. For the full fiscal year, Walmart Inc. tallied revenue of $572.8 billion, up 2.4%.

Grocery comp sales growth at Walmart U.S. stores was in the high single digits, with strength in the pet, beauty and baby-product categories, the retailer reported. That growth was supported by "slightly wider price gaps than prepandemic levels" as well as an expanded omnichannel offering, according to Walmart. On a two-year stack, the company stated, grocery comp sales growth was in the mid-teens.

Inventory levels at Walmart U.S. stores were up 28% year over year. 

"We had another strong quarter to finish off a strong year," Walmart Inc. President and CEO Doug McMillon said in a statement. "We have momentum in our business in all three segments. We're being aggressive with our plans and executing on the strategy."

That strategy has prioritized getting whatever shoppers want to them faster, fresher and by whatever method is most convenient to them, with Walmart leaders having said last year that the company wants to earn "primary destination status" with customers. In support of that goal, Walmart has made major investments in building out its omnichannel-supporting capabilities, whether through new, automated fulfillment centers or middle-mile and last-mile technologies meant to keep product moving. 

In a slowing quarter for e-commerce sales growth, however, Walmart U.S. e-commerce comp sales rose 1%—that's vs. 8% in the third quarter of fiscal 2022 and 6% in the second quarter. 

Walmart U.S. transactions rose 3.1% year over year, and the average ticket climbed 2.4%, a slowdown from the 3.3% year-over-year ticket growth in the third quarter. 

Sam's Club posted another strong quarter, recording comp sales growth of 10.4% year over year, excluding fuel, and 21.2% on a tw0-year stack. Transactions grew 7%.

Adjusted EPS for Walmart Inc. was $1.53; GAAP EPS was $1.28.