Walmart announced its second‑quarter results on Thursday, showing continued strength in its core retail operations while signaling a more restrained outlook for the remainder of 2026. The company’s shares fell about 6% in pre‑market trading after the earnings release.
Quarterly performance
Comparable sales at U.S. stores that have been open for at least a year, including online sales tied to those locations, rose 2.6% in the quarter. This follows a 4.1% increase in the first quarter. When the wellness segment – which includes Walmart’s pharmacy business – is excluded, comparable sales climbed 3.4%.
The pharmacy segment faced headwinds from new federal legislation that caps the price of certain high‑cost Medicare drugs, a factor Walmart cited as weighing on sales in that category.
Online growth and market share
U.S. online sales grew 24% year‑over‑year, a slight slowdown from the 26% increase recorded in the first quarter. Analysts note that Walmart’s e‑commerce platform continues to capture a larger share of higher‑income shoppers, with the biggest market‑share gains coming from households earning more than $100,000 annually.
Financial highlights
Net income for the three‑month period ended July 31 was $6.37 billion, or $0.80 per share. Adjusted earnings came in at $0.81 per share, beating FactSet’s consensus estimate of $0.74. Total sales reached $187.94 billion, surpassing the $186.62 billion forecast.
Guidance for the rest of the year
Looking ahead, Walmart projects third‑quarter earnings of $0.62 to $0.64 per share and sales growth of 3% to 3.5%. Analysts had expected $0.68 per share and $188.19 billion in sales.
For the full year, the retailer now expects earnings per share in the range of $2.80 to $2.87 and overall sales growth of 4% to 5%. FactSet’s prior expectations were $2.90 per share and $752.06 billion in sales.
Broader economic context
Walmart’s results come as recent U.S. retail data showed weaker July sales and a University of Michigan consumer sentiment survey revealed growing pessimism about the economy. Many Americans continue to feel pressure from higher costs for gasoline, groceries and other essentials, a trend that Walmart monitors closely given its role as a barometer of consumer spending.
Despite the cautious outlook, Walmart’s expansive customer base – more than 150 million shoppers each week – positions the retailer to remain a key indicator of national consumer behavior.
Original reporting: 40/29 / KHBS (NW Arkansas) — read the source article.
