Walmart (LIM:WMT) Gross Margin % : 24.91% (As of Oct. 2024)

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What is Walmart Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Walmart's Gross Profit for the three months ended in Oct. 2024 was $42,248 Mil. Walmart's Revenue for the three months ended in Oct. 2024 was $169,588 Mil. Therefore, Walmart's Gross Margin % for the quarter that ended in Oct. 2024 was 24.91%.

The historical rank and industry rank for Walmart's Gross Margin % or its related term are showing as below:

LIM:WMT' s Gross Margin % Range Over the Past 10 Years
Min: 24.14 Med: 24.97 Max: 25.65
Current: 24.7

During the past 13 years, the highest Gross Margin % of Walmart was 25.65%. The lowest was 24.14%. And the median was 24.97%.

LIM:WMT's Gross Margin % is ranked better than
56.23% of 313 companies
in the Retail - Defensive industry
Industry Median: 23.21 vs LIM:WMT: 24.70

Walmart had a gross margin of 24.91% for the quarter that ended in Oct. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Walmart was -0.60% per year.

Walmart Gross Margin % Historical Data

The historical data trend for Walmart's Gross Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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Walmart Gross Margin % Chart

Walmart Annual Data

Trend

Jan15

Jan16

Jan17

Jan18

Jan19

Jan20

Jan21

Jan22

Jan23

Jan24

Gross Margin %

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24.69

24.83

25.10

24.14

24.38

Walmart Quarterly Data
	Jan20	Apr20	Jul20	Oct20	Jan21	Apr21	Jul21	Oct21	Jan22	Apr22	Jul22	Oct22	Jan23	Apr23	Jul23	Oct23	Jan24	Apr24	Jul24	Oct24
Gross Margin %	Get a 7-Day Free Trial															24.64	23.97	24.81	25.11	24.91

Competitive Comparison of Walmart's Gross Margin %

For the Discount Stores subindustry, Walmart's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Walmart's Gross Margin % Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Walmart's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Walmart's Gross Margin % falls into.

Walmart Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Walmart's Gross Margin for the fiscal year that ended in Jan. 2024 is calculated as

Gross Margin % (A: Jan. 2024 )	=	Gross Profit (A: Jan. 2024 )	/	Revenue (A: Jan. 2024 )
	=	157983	/	648125
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(648125 - 490142)	/	648125
	=	24.38 %

Walmart's Gross Margin for the quarter that ended in Oct. 2024 is calculated as

Gross Margin % (Q: Oct. 2024 )	=	Gross Profit (Q: Oct. 2024 )	/	Revenue (Q: Oct. 2024 )
	=	42248	/	169588
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(169588 - 127340)	/	169588
	=	24.91 %

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.

Walmart (LIM:WMT) Gross Margin % Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

Walmart had a gross margin of 24.91% for the quarter that ended in Oct. 2024 => Competition eroding margins

Be Aware

If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.

Walmart Gross Margin % Related Terms

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Walmart Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Retail - Defensive » Walmart Inc (LIM:WMT) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

WMT:USA WMT:Mexico 1WMT:Italy WMTd:UK WMTD:Germany WMT:Germany WMT:Germany WMT:Germany WMT:Germany WMT:Chile WMT:Canada WALM34:Brazil WMT:Austria WMT:Argentina

Address

702 S.W. 8th Street, Bentonville, AR, USA, 72716

Website

https://stock.walmart.com

Walmart serves as the preeminent retailer in the United States, with its strategy predicated on superior operating efficiency and offering the lowest priced goods to consumers to drive robust store traffic and product turnover. Walmart augmented its low-price business strategy by offering a convenient one-stop shopping destination with the opening of its first supercenter in 1988.Today, Walmart operates over 4,600 stores in the United States (5,200 including Sam's Club) and over 10,000 locations globally. Walmart generated over $440 billion in domestic namesake sales in fiscal 2024, with Sam's Club contributing another $86 billion to the company's top line. Internationally, Walmart generated $115 billion in sales. The retailer serves around 240 million customers globally each week.