Company (WMT) Announced Q2 2027 Earnings on August 20, 2026, Reporting "Enterprise net sales growth in constant currency of 5%"

For the second quarter, Walmart reported "Enterprise net sales growth in constant currency of 5%". On a constant currency basis for the quarter, "adjusted operating income grew 17.4%" and "adjusted EPS increased over 19%". Operating income growth was positively impacted by "a net benefit of approximately 750 basis points related to tariff refunds received in Q2". For the digital business, "Our Walmart U.S. e-commerce business achieved double-digit incremental margins for the first half of the year". Additionally, e-commerce grew "23% globally" for the quarter, while "membership fee revenue was at an all-time high on growth of 17%".Key business updates highlighted Walmart's focus on price leadership, with the Walmart U.S. team delivering "more than 11,000 rollbacks during the quarter, up from 7,200 rollbacks at the end of the first quarter". During the second quarter, "Walmart U.S. e-commerce grew 24% in Q2" and marketplace saw "U.S. net sales up 52%". High-margin platforms scaled, as "global advertising, which increased 38%" was "driven by another strong quarter from Walmart Connect in the U.S. and Flipkart ads". Additionally, the physical store's role continues to evolve as stores serve as "the last mile fulfillment nodes for 80% of our e-commerce orders and 100% of our fast deliveries".In product and partnership developments, Walmart announced a "prepared food partnerships like the one we announced with Subway" to expand into "everyday food spending". Under the platform strategy during the quarter, they "expanded our U.S. marketplace platform capabilities into both Mexico and Canada" and "launched Walmart+ in Canada". They also "gave a boost to our advertising business with the acquisition of Vibe", which is expected to expand their reach with small- and medium-sized merchants. On the technology front, the AI-powered digital shopping assistant "Sparky" saw strong engagement, with the "number of customers using Sparky is up 70% from last year".For forward guidance, management raised its fiscal year sales and operating income targets.The company raised its "fiscal year sales guidance to 4% to 5% from 3.5% to 4.5% previously". Operating income guidance for the full year was raised "to 7% to 8.5% versus 6% to 8% previously". Full year EPS expectations were increased "to $2.80 to $2.87 from $2.75 to $2.85 previously". However, for the third quarter, "operating income growth on a constant currency basis is expected to grow 2% to 4%" due to the timing of tariff refund investments, with Q3 enterprise sales growth expected to be "between 3% and 3.75%" and Q3 EPS expected to be "$0.62 to $0.64". Additionally, the company is eligible for "approximately $2.9 billion of tariff refunds, amounting to about 0.5% of annual U.S. net sales", which was received during the fiscal year.