Walmart's Q2 E-Commerce Net Sales Account for 55% of Total, Tariff Refunds Boost Gross Margin

On August 21, Walmart recently released its financial results for the second quarter of fiscal 2027. The company posted total revenue of $186.4 billion, up 5.1% year over year; adjusted operating profit reached $9.2 billion, a 17.4% year-over-year increase; and adjusted earnings per share came in at $0.81, rising 19.1% from the same period last year. Following the earnings release, Walmart's stock fell more than 6% in premarket trading. In the Chinese market, net sales hit $7 billion, up 20.7% year over year, with comparable sales growing 9.7%. The e-commerce business continued to deliver strong momentum: net sales from e-commerce rose 26% year over year in the quarter, accounting for 55% of total sales, an increase of more than 239 basis points from the same period last year, serving as the core engine of performance growth. In Canada, net sales reached $6.5 billion, up 6.0% year over year, with e-commerce sales growing 35%, and Walmart rolled out its new service in the market this quarter. In Mexico and Central America, net sales stood at $12.9 billion, up 3.2% year over year, with comparable sales increasing 1.8%, Sam's Club e-commerce growing 16%, and 181 new stores opened over the past 12 months. Additionally, e-commerce accounts for approximately 30% of net sales for Walmart International, with roughly 65% of e-commerce orders fulfilled for same-day or next-day delivery. According to the earnings report, Walmart's gross margin came in at 25.4%, up 96 basis points year over year. This improvement was largely driven by the favorable impact of tariff refunds. Walmart management stated during the earnings call that the company is eligible to claim $2.9 billion in tariff refunds, with less than $100 million yet to be received, and plans to use these refunds to lower product prices. Following the earnings release, Walmart raised its fiscal 2027 net sales growth guidance from the previous 3.5%-4.5% to 4%-5%, and lifted its adjusted operating profit growth guidance from 6%-8% to 7%-8.5%. This article was first published on the official website of Ebrun. [Source: Ebrun Go, an automated writing robot developed by Ebrun that delivers e-commerce industry insights through algorithms in real time. This tool is still in its early stages, and you are welcome to contact run@ebrun.com or leave a message to help it improve.]