Overcoming supply chain difficulties! Walmart's Q4 revenue exceeded expectations by nearly $152.9 billion!

Walmart released its 2021 Q4 financial report on February 17. Despite supply chain pressure and rising costs, shoppers' strong purchases during the holiday sales season drove Q4 results beyond Wall Street expectations. Walmart's stock price rose 4% after the financial report was released, amid the backdrop of rising tensions on the Russian-Ukrainian border that led to a decline in the broader market. The following is a summary of the 2021 Q4 financial report as of January 31:

• Revenue: $152.87 billion, up 0.5% year-over-year, ahead of the $151.53 billion estimate
• EPS: Adjusted $1.53 vs. $1.50 expected
• Net profit: $3.56 billion, Q4 2020 loss: $2.09 billion
• E-commerce sales: up 1% year-on-year, lower than the expected 2.2%
• US market: Sales in the US market increased by 5.6% as grocery market share increased
• International: Sales fell 22.6% to $27 billion, with strong growth in China and Mexico, as well as Flipkart
• Sam's Club: Sales increased 10.4%, membership income increased 9.1%

Walmart's revenue in 2021 was $572.8 billion, and its e-commerce sales increased by 11% year-on-year to $73.2 billion, but slightly lower than the forecast of $75 billion. In 2021, Walmart added more than 20,000 new sellers in the US market, and plans to add nearly 40,000 new sellers this year. As of Q4 2021, Walmart's total SKUs were nearly 170 million, and it is open to sellers in India. Walmart plans to increase its SKUs to 200 million in 2022.

Walmart Connect, Walmart’s advertising business, has grown to $2.1 billion, with active advertisers increasing more than 130% year-over-year. In addition, Walmart’s third-party marketplace and its last-mile delivery service, GoLocal, are also becoming increasingly powerful. GoLocal pickup points have grown to nearly a thousand.

It is learned that Walmart's supply chain costs in the fourth quarter were $400 million higher than planned. As the threat of omicron intensified, Covid vacation costs were $300 million higher than expected. Walmart plans to repurchase at least $10 billion of shares in fiscal 2022. In addition, Walmart expects sales to grow by about 4% in 2022, and profit growth will be in the mid-single-digit percentage range. Because of the increase in spending, Walmart expects sales growth in the first quarter of 2022 to be between 1% and 2%.

Editor ✎Estella/

Disclaimer: This article is copyrighted and may not be reproduced without permission.