The numbers
50% — How much Walmart’s global ad business grew during Q1, including its acquisition of Vizio’s ad business.
31% — Walmart Connect’s U.S. growth.
$165.6 billion — Revenue during Q1, up 2.5% year over year.
22% — Jump in global ecommerce sales, which was led by in-store pickup, delivery, and marketplace. When measured globally, Walmart’s ecommerce business crossed the profitability threshold for the first time in Q1.
91% — Increase in Walmart U.S. orders that are delivered in under three hours.
The watercooler talk
Tariffs, and how they’re impacting prices, were a major theme of Walmart’s earnings for Q1 of its 2026 fiscal year, which started Feb. 1 and ended April 30, 2025.
“The immediate challenge is obviously navigating the impact of tariffs here in the U.S.,” Doug McMillon, chief executive officer at Walmart, told investors during the earnings call. “Given the magnitude of the tariffs, even at the reduced levels announced this week, we aren’t able to absorb all the pressure given the reality of narrow retail margins.”
Advertising is one thing that’s supporting the retailer amid trade-related uncertainty, though, he said.
“It’s helpful that we’re crossing the threshold of profitability with ecommerce globally, and that we have these newer, higher margin businesses growing like membership and advertising,” McMillon explained.
Walmart’s global ecommerce business was profitable for the first time in Q1, thanks to profit margins in Walmart U.S. and Sam’s Club. The international ecommerce business remained slightly unprofitable, explained John David Rainey, chief financial officer for Walmart.
The key quote
“We’re positioned to manage the cost pressure from tariffs as well or better than anyone,” McMillon said. “But even at the reduced levels, the higher tariffs will result in higher prices.”
