WALMART INC., 10-Q filed on 6/4/2021
Quarterly Report
v3.21.1
Cover page - shares
3 Months Ended
Apr. 30, 2021
Jun. 02, 2021
Document Information [Line Items]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Apr. 30, 2021  
Document Transition Report false  
Entity File Number 001-6991  
Entity Registrant Name WALMART INC.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 71-0415188  
Entity Address, Address Line One 702 S.W. 8th Street  
Entity Address, Postal Zip Code 72716  
Entity Address, City or Town Bentonville  
Entity Address, State or Province AR  
City Area Code 479  
Local Phone Number 273-4000  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   2,802,145,927
Entity Central Index Key 0000104169  
Current Fiscal Year End Date --01-31  
Document Fiscal Year Focus 2022  
Document Fiscal Period Focus Q1  
Amendment Flag false  
Common Stock, par value $0.10 per share    
Document Information [Line Items]    
Title of 12(b) Security Common Stock, par value $0.10 per share  
Trading Symbol WMT  
Security Exchange Name NYSE  
1.900% Notes Due 2022    
Document Information [Line Items]    
Title of 12(b) Security 1.900% Notes Due 2022  
Trading Symbol WMT22  
Security Exchange Name NYSE  
2.550% Notes Due 2026    
Document Information [Line Items]    
Title of 12(b) Security 2.550% Notes Due 2026  
Trading Symbol WMT26  
Security Exchange Name NYSE  
v3.21.1
Condensed Consolidated Statements of Income (Unaudited) - USD ($)
shares in Millions, $ in Millions
3 Months Ended
Apr. 30, 2021
Apr. 30, 2020
Revenues:    
Net sales $ 137,159 $ 133,672
Membership and other income 1,151 950
Total revenues 138,310 134,622
Costs and expenses:    
Cost of sales 103,272 102,026
Operating, selling, general and administrative expenses 28,129 27,372
Operating income 6,909 5,224
Interest:    
Debt 481 510
Finance lease 85 82
Interest income (30) (43)
Interest, net 536 549
Other (gains) and losses 2,529 (721)
Income before income taxes 3,844 5,396
Provision for income taxes 1,033 1,322
Consolidated net income 2,811 4,074
Consolidated net income attributable to noncontrolling interest (81) (84)
Consolidated net income attributable to Walmart $ 2,730 $ 3,990
Net income per common share:    
Basic net income per common share attributable to Walmart (in dollars per share) $ 0.97 $ 1.41
Diluted net income per common share attributable to Walmart (in dollars per share) $ 0.97 $ 1.40
Weighted-average common shares outstanding:    
Basic (shares) 2,815 2,831
Diluted (shares) 2,829 2,849
Dividends declared per common share (in dollars per share) $ 2.20 $ 2.16
v3.21.1
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)
$ in Millions
3 Months Ended
Apr. 30, 2021
Apr. 30, 2020
Statement of Comprehensive Income [Abstract]    
Consolidated net income $ 2,811 $ 4,074
Consolidated net income attributable to noncontrolling interest (81) (84)
Consolidated net income attributable to Walmart 2,730 3,990
Other comprehensive income (loss), net of income taxes    
Currency translation and other 2,959 (3,968)
Net investment hedges (1,202) 157
Cash flow hedges 20 (279)
Minimum pension liability 1,969 15
Other comprehensive income (loss), net of income taxes 3,746 (4,075)
Other comprehensive loss attributable to noncontrolling interest 74 712
Other comprehensive income (loss) attributable to Walmart 3,820 (3,363)
Comprehensive income (loss), net of income taxes 6,557 (1)
Comprehensive (income) loss attributable to noncontrolling interest (7) 628
Comprehensive income attributable to Walmart $ 6,550 $ 627
v3.21.1
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Millions
Apr. 30, 2021
Jan. 31, 2021
Apr. 30, 2020
Current assets:      
Cash and cash equivalents $ 22,846 $ 17,741 $ 14,930
Receivables, net 5,797 6,516 5,029
Inventories 46,383 44,949 41,217
Prepaid expenses and other 1,565 20,861 2,152
Total current assets 76,591 90,067 63,328
Property and equipment, net 90,996 92,201 101,872
Operating lease right-of-use assets 13,650 13,642 16,895
Finance lease right-of-use assets, net 3,979 4,005 4,611
Goodwill 28,872 28,983 29,416
Other long-term assets 22,493 23,598 16,770
Total assets 236,581 252,496 232,892
Current liabilities:      
Short-term borrowings 362 224 4,048
Accounts payable 48,151 49,141 44,096
Dividends payable 4,651 0 4,588
Accrued liabilities 21,371 37,966 20,377
Accrued income taxes 851 242 1,303
Long-term debt due within one year 3,500 3,115 5,983
Operating lease obligations due within one year 1,448 1,466 1,729
Finance lease obligations due within one year 507 491 523
Total current liabilities 80,841 92,645 82,647
Long-term debt 40,273 41,194 43,006
Long-term operating lease obligations 12,930 12,909 15,669
Long-term finance lease obligations 3,802 3,847 4,474
Deferred income taxes and other 14,143 14,370 12,986
Commitments and contingencies
Equity:      
Common stock 280 282 284
Capital in excess of par value 3,424 3,646 2,983
Retained earnings 82,577 88,763 81,141
Accumulated other comprehensive loss (7,946) (11,766) (16,168)
Total Walmart shareholders' equity 78,335 80,925 68,240
Noncontrolling interest 6,257 6,606 5,870
Total equity 84,592 87,531 74,110
Total liabilities and equity $ 236,581 $ 252,496 $ 232,892
v3.21.1
Condensed Consolidated Statement Of Shareholders' Equity (Unaudited) - USD ($)
shares in Millions, $ in Millions
Total
Common Stock
Capital in excess of par value
Retained earnings
Accumulated other comprehensive loss
Total Walmart shareholders' equity
Noncontrolling interest
Beginning balance (in shares) at Jan. 31, 2020   2,832          
Beginning balance at Jan. 31, 2020 $ 81,552 $ 284 $ 3,247 $ 83,943 $ (12,805) $ 74,669 $ 6,883
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Consolidated net income 4,074     3,990   3,990 84
Other comprehensive income (loss), net of income taxes (4,075)       (3,363) (3,363) (712)
Dividends declared (6,117)     (6,117)   (6,117)  
Purchase of Company stock (in shares)   (6)          
Purchase of Company stock, Value (693) $ (1) (26) (666)   (693)  
Dividends declared to noncontrolling interests (359)           (359)
Other (in shares)   6          
Other (272) $ 1 (238) (9)   (246) (26)
Ending balance (in shares) at Apr. 30, 2020   2,832          
Ending balance at Apr. 30, 2020 74,110 $ 284 2,983 81,141 (16,168) 68,240 5,870
Beginning balance (in shares) at Jan. 31, 2021   2,821          
Beginning balance at Jan. 31, 2021 87,531 $ 282 3,646 88,763 (11,766) 80,925 6,606
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Consolidated net income 2,811     2,730   2,730 81
Other comprehensive income (loss), net of income taxes 3,746       3,820 3,820 (74)
Dividends declared (6,200)     (6,200)   (6,200)  
Purchase of Company stock (in shares)   (21)          
Purchase of Company stock, Value (2,832) $ (2) (112) (2,718)   (2,832)  
Dividends declared to noncontrolling interests (408)           (408)
Other (in shares)   5          
Other (56)   (110) 2   (108) 52
Ending balance (in shares) at Apr. 30, 2021   2,805          
Ending balance at Apr. 30, 2021 $ 84,592 $ 280 $ 3,424 $ 82,577 $ (7,946) $ 78,335 $ 6,257
v3.21.1
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Millions
3 Months Ended
Apr. 30, 2021
Apr. 30, 2020
Cash flows from operating activities:    
Consolidated net income $ 2,811 $ 4,074
Adjustments to reconcile consolidated net income to net cash provided by operating activities:    
Depreciation and amortization 2,661 2,791
Net unrealized and realized (gains) and losses 2,077 (783)
Losses on disposal of business operations 433 0
Deferred income taxes (155) 84
Other operating activities 270 (51)
Changes in certain assets and liabilities, net of effects of acquisitions and dispositions:    
Receivables, net 828 924
Inventories (1,487) 2,221
Accounts payable (1,004) (1,183)
Accrued liabilities (4,004) (2,109)
Accrued income taxes 428 1,049
Net cash provided by operating activities 2,858 7,017
Cash flows from investing activities:    
Payments for property and equipment (2,214) (1,752)
Proceeds from the disposal of property and equipment 72 60
Proceeds from disposal of certain operations, net of divested cash 7,935 0
Payments for business acquisitions, net of cash acquired 0 (10)
Other investing activities 57 6
Net cash provided by (used in) investing activities 5,850 (1,696)
Cash flows from financing activities:    
Net change in short-term borrowings 138 3,542
Repayments of long-term debt (510) 0
Dividends paid (1,549) (1,529)
Purchase of Company stock (2,809) (723)
Other financing activities (669) (725)
Net cash (used in) provided by financing activities (5,399) 565
Effect of exchange rates on cash, cash equivalents and restricted cash (51) (415)
Net increase in cash, cash equivalents and restricted cash 3,258 5,471
Change in cash and cash equivalents classified as held for sale 1,848 0
Cash, cash equivalents and restricted cash at beginning of year 17,788 9,514
Cash, cash equivalents and restricted cash at end of period $ 22,894 $ 14,985
v3.21.1
Condensed Consolidated Statement of Shareholders' Equity (Unaudited) (Parenthetical) - $ / shares
3 Months Ended
Apr. 30, 2021
Apr. 30, 2020
Statement of Stockholders' Equity [Abstract]    
Dividends declared per common share (in dollars per share) $ 2.20 $ 2.16
v3.21.1
Summary of Significant Accounting Policies
3 Months Ended
Apr. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Basis of Presentation
The Condensed Consolidated Financial Statements of Walmart Inc. and its subsidiaries ("Walmart" or the "Company") and the accompanying notes included in this Quarterly Report on Form 10-Q are unaudited. In the opinion of management, all adjustments necessary for the fair presentation of the Condensed Consolidated Financial Statements have been included. Such adjustments are of a normal, recurring nature. The Condensed Consolidated Financial Statements, and the accompanying notes, are prepared in accordance with generally accepted accounting principles in the United States ("GAAP") and do not contain certain information included in the Company's Annual Report on Form 10-K for the fiscal year ended January 31, 2021 ("fiscal 2021"). Therefore, the interim Condensed Consolidated Financial Statements should be read in conjunction with that Annual Report on Form 10-K.
The Company's Consolidated Financial Statements are based on a fiscal year ending January 31 for the United States ("U.S.") and Canadian operations. The Company consolidates all other operations generally using a one-month lag and based on a calendar year. There were no significant intervening events during the month of April related to the consolidated operations using a lag that materially affected the Condensed Consolidated Financial Statements.
The Company's business is seasonal to a certain extent due to calendar events and national and religious holidays, as well as weather patterns. Historically, the Company's highest sales volume and operating income have occurred in the fiscal quarter ending January 31.
Use of Estimates
The Condensed Consolidated Financial Statements have been prepared in conformity with GAAP. Those principles require management to make estimates and assumptions that affect the reported amounts of assets and liabilities. Management's estimates and assumptions also affect the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ materially from those estimates.
Investments
Investments in equity and debt securities are recorded in other long-term assets in the Condensed Consolidated Balance Sheets. Changes in fair value of equity securities measured on a recurring basis are recognized in other gains and losses in the Condensed Consolidated Statements of Income. Refer to Note 5 for details. Equity investments without readily determinable fair values are carried at cost and are adjusted for any observable price changes or impairments within other gains and losses in the Condensed Consolidated Statements of Income. Investments in debt securities classified as trading are reported at fair value with interest income recorded in interest income in the Condensed Consolidated Statements of Income. As of April 30, 2021, the Company had $1.0 billion in debt securities classified as trading.
Indemnification Liabilities
The Company has provided certain indemnifications in connection with its divestitures and has recorded indemnification liabilities equal to the estimated fair value of the obligations upon inception. As of April 30, 2021 and January 31, 2021, the Company had $1.3 billion and $0.6 billion, respectively, of certain legal and tax indemnification liabilities recorded within deferred income taxes and other in the Condensed Consolidated Balance Sheets. The maximum amount of potential future payments under these indemnities was $4.2 billion, based on exchange rates as of April 30, 2021.
v3.21.1
Net Income Per Common Share
3 Months Ended
Apr. 30, 2021
Earnings Per Share [Abstract]  
Net Income Per Common Share Net Income Per Common Share
Basic net income per common share attributable to Walmart is based on the weighted-average common shares outstanding during the relevant period. Diluted net income per common share attributable to Walmart is based on the weighted-average common shares outstanding during the relevant period adjusted for the dilutive effect of share-based awards. The Company did not have significant share-based awards outstanding that were anti-dilutive and not included in the calculation of diluted net income per common share attributable to Walmart for the three months ended April 30, 2021 and 2020.
The following table provides a reconciliation of the numerators and denominators used to determine basic and diluted net income per common share attributable to Walmart:
Three Months Ended April 30,
(Amounts in millions, except per share data)20212020
Numerator
Consolidated net income$2,811 $4,074 
Consolidated net income attributable to noncontrolling interest(81)(84)
Consolidated net income attributable to Walmart$2,730 $3,990 
Denominator
Weighted-average common shares outstanding, basic2,815 2,831 
Dilutive impact of share-based awards14 18 
Weighted-average common shares outstanding, diluted2,829 2,849 
Net income per common share attributable to Walmart
Basic$0.97 $1.41 
Diluted0.97 1.40 
v3.21.1
Accumulated Other Comprehensive Loss
3 Months Ended
Apr. 30, 2021
Other Comprehensive Income (Loss), Tax [Abstract]  
Accumulated Other Comprehensive Loss Accumulated Other Comprehensive Loss
Amounts reclassified from accumulated other comprehensive loss for derivative instruments are generally recorded in interest, net, in the Company's Condensed Consolidated Statements of Income. Amounts for the minimum pension liability, as well as the cumulative translation and any related net investment hedge impacts resulting from a disposition of a business, are recorded in other gains and losses in the Company's Condensed Consolidated Statements of Income. The following table provides the changes in the composition of total accumulated other comprehensive loss for the three months ended April 30, 2021:
(Amounts in millions and net of immaterial income taxes)Currency 
Translation and Other
Net Investment HedgesCash Flow HedgesMinimum
Pension 
Liability
Total
Balances as of February 1, 2021$(10,772)$1,296 $(304)$(1,986)$(11,766)
Other comprehensive loss before reclassifications, net(225)(7)(26)(1)(259)
Reclassifications related to business dispositions, net(1)
3,258 (1,195)30 1,966 4,059 
Reclassifications to income, net— — 16 20 
Balances as of April 30, 2021$(7,739)$94 $(284)$(17)$(7,946)
(1) Upon closing of the sale of the Company's operations in the U.K. and Japan during the first quarter of fiscal 2022, these amounts were released from accumulated other comprehensive loss, the majority of which was considered in the impairment evaluation when the individual disposal groups met the held for sale classification in fiscal 2021.

The following table provides the changes in the composition of total accumulated other comprehensive loss for the three months ended April 30, 2020:
(Amounts in millions and net of immaterial income taxes)Currency 
Translation and Other
Net Investment HedgesCash Flow HedgesMinimum
Pension 
Liability
Total
Balances as of February 1, 2020$(11,827)$1,517 $(539)$(1,956)$(12,805)
Other comprehensive income (loss) before reclassifications, net(3,256)157 (295)(4)(3,398)
Reclassifications to income, net— — 16 19 35 
Balances as of April 30, 2020$(15,083)$1,674 $(818)$(1,941)$(16,168)
v3.21.1
Short-term Borrowings and Long-term Debt
3 Months Ended
Apr. 30, 2021
Debt Disclosure [Abstract]  
Short-term Borrowings and Long-term Debt Short-term Borrowings and Long-term Debt
The Company has various committed lines of credit in the U.S. that are used to support its commercial paper program. In April 2021, the Company renewed and extended its existing 364-day revolving credit facility of $10.0 billion as well as its five-year credit facility of $5.0 billion. In total, the Company had committed lines of credit in the U.S. of $15.0 billion at April 30, 2021 and January 31, 2021, all undrawn.
The following table provides the changes in the Company's long-term debt for the three months ended April 30, 2021:
(Amounts in millions)Long-term debt due within one yearLong-term debtTotal
Balances as of February 1, 2021$3,115 $41,194 $44,309 
Repayments of long-term debt(510)— (510)
Reclassifications of long-term debt894 (894)— 
Other(27)(26)
Balances as of April 30, 2021$3,500 $40,273 $43,773 
v3.21.1
Fair Value Measurements
3 Months Ended
Apr. 30, 2021
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
Assets and liabilities recorded at fair value are measured using the fair value hierarchy, which prioritizes the inputs used in measuring fair value. The levels of the fair value hierarchy are:
Level 1: observable inputs such as quoted prices in active markets;
Level 2: inputs other than quoted prices in active markets that are either directly or indirectly observable; and
Level 3: unobservable inputs for which little or no market data exists, therefore requiring the Company to develop its own assumptions.
As described in Note 1, the Company measures the fair value of certain equity investments on a recurring basis in the accompanying Condensed Consolidated Balance Sheets. The fair value of the Company's equity investments measured on a recurring basis is as follows:
(Amounts in millions)Fair Value as of April 30, 2021Fair Value as of January 31, 2021
Equity investments measured using Level 1 inputs$6,050 $6,517 
Equity investments measured using Level 2 inputs6,217 7,905 
Total$12,267 $14,422 
Derivatives
The Company also has derivatives recorded at fair value. Derivative fair values are the estimated amounts the Company would receive or pay upon termination of the related derivative agreements as of the reporting dates. The fair values have been measured using the income approach and Level 2 inputs, which include the relevant interest rate and foreign currency forward curves. As of April 30, 2021 and January 31, 2021, the notional amounts and fair values of these derivatives were as follows:
 April 30, 2021January 31, 2021
(Amounts in millions)Notional AmountFair ValueNotional AmountFair Value
Receive fixed-rate, pay variable-rate interest rate swaps designated as fair value hedges$3,250 $140 
(1)
$3,250 $166 
(1)
Receive fixed-rate, pay fixed-rate cross-currency swaps designated as net investment hedges— — 1,250 311 
(1)
Receive fixed-rate, pay fixed-rate cross-currency swaps designated as cash flow hedges8,324 (405)
(2)
5,073 (394)
(2)
Total$11,574 $(265)$9,573 $83 
(1)Classified in other long-term assets within the Company's Condensed Consolidated Balance Sheets.
(2)Classified primarily in deferred income taxes and other within the Company's Condensed Consolidated Balance Sheets.
Nonrecurring Fair Value Measurements
In addition to assets and liabilities recorded at fair value on a recurring basis, the Company's assets and liabilities are also subject to nonrecurring fair value measurements. Generally, assets are recorded at fair value on a nonrecurring basis as a result of impairment charges.
As of January 31, 2021, the Company's operations in the U.K. ("Asda") and operations in Japan ("Seiyu") met the held for sale criteria, and as a result the Company recorded non-recurring impairment charges in the fourth quarter of fiscal 2021 as the carrying value of the disposal groups exceeded their fair value, less costs to sell. Upon completing the sales of Asda in February 2021 and Seiyu in March 2021, the Company recorded incremental non-recurring impairment charges of $0.4 billion during the three months ended April 30, 2021 within other gains and losses in the Condensed Consolidated Statements of Income. Refer to Note 6. The Company did not have other material assets or liabilities resulting in nonrecurring fair value measurements as of April 30, 2021.
Other Fair Value Disclosures
The Company records cash and cash equivalents, restricted cash, and short-term borrowings at cost. The carrying values of these instruments approximate their fair value due to their short-term maturities.
The Company's long-term debt is also recorded at cost. The fair value is estimated using Level 2 inputs based on the Company's current incremental borrowing rate for similar types of borrowing arrangements. The carrying value and fair value of the Company's long-term debt as of April 30, 2021 and January 31, 2021, are as follows: 
 April 30, 2021January 31, 2021
(Amounts in millions)Carrying ValueFair ValueCarrying ValueFair Value
Long-term debt, including amounts due within one year$43,773 $51,822 $44,309 $54,240 
v3.21.1
Divestitures
3 Months Ended
Apr. 30, 2021
Discontinued Operations and Disposal Groups [Abstract]  
Divestitures Divestitures
During fiscal 2022, the Company completed the following transactions related to the Company's Walmart International segment. After closing these transactions, total assets of the Walmart International segment were $86.4 billion as of April 30, 2021, as compared to $109.4 billion as of January 31, 2021.
Asda
In February 2021, the Company completed the divestiture of Asda, the Company's retail operations in the U.K., for net consideration of $9.6 billion. Upon closing of the transaction, the Company recorded an incremental pre-tax loss of $0.2 billion in other gains and losses in its Condensed Consolidated Statement of Income in the first quarter of fiscal 2022, primarily related to changes in the net assets of the disposal group, currency exchange rate fluctuations and customary purchase price adjustments upon closing. During the first quarter of fiscal 2022, the Company deconsolidated the financial statements of Asda and recognized its retained investment in Asda as a debt security within other long-term assets and also recognized certain legal and tax indemnity liabilities within deferred income taxes and other on the Condensed Consolidated Balance Sheet.
Seiyu
In March 2021, the Company completed the divestiture of Seiyu, the Company's retail operations in Japan, for net consideration of $1.2 billion. Upon closing of the transaction, the Company recorded an incremental pre-tax loss of $0.2 billion in other gains and losses in its Condensed Consolidated Statement of Income in the first quarter of fiscal 2022, primarily related to changes in the net assets of the disposal group, currency exchange rate fluctuations and customary purchase price adjustments upon closing. During the first quarter of fiscal 2022, the Company deconsolidated the financial statements of Seiyu and recognized its retained 15 percent ownership interest in Seiyu as an equity investment within other long-term assets on the Condensed Consolidated Balance Sheet.
v3.21.1
Contingencies
3 Months Ended
Apr. 30, 2021
Commitments and Contingencies Disclosure [Abstract]  
Contingencies Contingencies
Legal Proceedings
The Company is involved in a number of legal proceedings. The Company has made accruals with respect to these matters, where appropriate, which are reflected in the Company's Condensed Consolidated Financial Statements. For some matters, a liability is not probable or the amount cannot be reasonably estimated and therefore an accrual has not been made. However, where a liability is reasonably possible and may be material, such matters have been disclosed. The Company may enter into discussions regarding settlement of these matters, and may enter into settlement agreements, if it believes settlement is in the best interest of the Company and its shareholders.
Unless stated otherwise, the matters discussed below, if decided adversely or settled by the Company, individually or in the aggregate, may result in a liability material to the Company's financial condition, results of operations or cash flows.
Opioids Litigation
In December 2017, the United States Judicial Panel on Multidistrict Litigation consolidated numerous lawsuits filed against a wide array of defendants by various plaintiffs, including counties, cities, healthcare providers, Native American tribes, individuals, and third-party payers, asserting claims generally concerning the impacts of widespread opioid abuse. The consolidated multidistrict litigation is entitled In re National Prescription Opiate Litigation (MDL No. 2804), and is pending in the U.S. District Court for the Northern District of Ohio. The Company is named as a defendant in some of the cases included in this multidistrict litigation. Similar cases that name the Company have also been filed in state courts by state, local and tribal governments, health care providers and other plaintiffs. Plaintiffs are seeking compensatory and punitive damages, as well as injunctive relief including abatement. The Company cannot predict the number of such claims that may be filed, but believes it has substantial factual and legal defenses to these claims, and intends to defend the claims vigorously. The Company has also been responding to subpoenas, information requests and investigations from governmental entities related to nationwide controlled substance dispensing and distribution practices involving opioids. On October 22, 2020, the Company filed a declaratory judgment action in the U.S. District Court for the Eastern District of Texas against the U.S. Department of Justice (the “DOJ”) and the U.S. Drug Enforcement Administration, asking a federal court to clarify the roles and responsibilities of pharmacists and pharmacies as to the dispensing and distribution of opioids under the Controlled Substances Act (the “CSA”). The Company’s action was dismissed and the Company is appealing the decision. On December 22, 2020, the DOJ filed a civil complaint in the U.S. District Court for the District of Delaware alleging that the Company unlawfully dispensed controlled substances from its pharmacies and unlawfully distributed controlled substances to those pharmacies. The complaint alleges that this conduct resulted in violations of the CSA. The DOJ is seeking civil penalties and injunctive relief. The Company filed a motion to dismiss the DOJ complaint on February 22, 2021. The DOJ filed its opposition brief on April 23, 2021 and the Company filed its reply brief on May 24, 2021.
In addition, the Company is the subject of two securities class actions alleging violations of the federal securities laws regarding the Company’s disclosures with respect to opioids, filed in the U.S. District Court for the District of Delaware on January 20, 2021 and March 5, 2021 purportedly on behalf of a class of investors who acquired Walmart stock from March 30, 2016 through December 22, 2020. Those cases have been consolidated. Derivative actions were also filed by two of the Company's shareholders in the U.S. District Court for the District of Delaware on February 9, 2021 and April 16, 2021 alleging breach of fiduciary duties against certain of its current and former directors with respect to oversight of the Company’s distribution and dispensing of opioids and also alleging violations of the federal securities laws and other breaches of duty by current directors and two current officers in connection with the Company's opioids disclosures.
The Company cannot reasonably estimate any loss or range of loss that may arise from the various Opioids Litigation and intends to vigorously defend these litigation matters. Accordingly, the Company can provide no assurance as to the scope and outcome of these matters and no assurance as to whether its business, financial position, results of operations or cash flows will not be materially adversely affected.
Other Matters
Asda Equal Value Claims
Prior to the divestiture of Asda, the Company, through its Asda subsidiary, was a defendant in certain equal value claims that began in 2008 and are proceeding before an Employment Tribunal in Manchester in the United Kingdom on behalf of current and former Asda store employees (the "Asda Equal Value Claims"), and further claims may be asserted in the future. Subsequent to the divestiture of Asda in February 2021, the Company will continue to conduct the defense of these claims. While potential liability for these claims remains with Asda, the Company has agreed to provide indemnification with respect to these claims up to a contractually determined amount. The Company cannot predict the number of such claims that may be filed, and cannot reasonably estimate any loss or range of loss that may arise related to these proceedings. Accordingly, the Company can provide no assurance as to the scope and outcomes of these matters.
v3.21.1
Segments and Disaggregated Revenue
3 Months Ended
Apr. 30, 2021
Segment Reporting Information, Profit (Loss) [Abstract]  
Segments and Disaggregated Revenue Segments and Disaggregated Revenue
Segments
The Company is engaged in the operation of retail, wholesale, eCommerce websites and other units located throughout the U.S., Africa, Canada, Central America, Chile, China, India and Mexico. The Company's operations are conducted in three reportable segments: Walmart U.S., Walmart International and Sam's Club. The Company defines its segments as those operations whose results the chief operating decision maker ("CODM") regularly reviews to analyze performance and allocate resources. The Company sells similar individual products and services in each of its segments. It is impractical to segregate and identify revenues for each of these individual products and services.
The Walmart U.S. segment includes the Company's mass merchandising concept in the U.S., as well as eCommerce and omni-channel initiatives. The Walmart International segment consists of the Company's operations outside of the U.S., as well as eCommerce and omni-channel initiatives. The Sam's Club segment includes the warehouse membership clubs in the U.S., as well as samsclub.com and omni-channel initiatives. Corporate and support consists of corporate overhead and other items not allocated to any of the Company's segments.
The Company measures the results of its segments using, among other measures, each segment's net sales and operating income, which includes certain corporate overhead allocations. From time to time, the Company revises the measurement of each segment's operating income and other measures, including any corporate overhead allocations, as determined by the information regularly reviewed by its CODM. When the measurement of a segment changes, previous period amounts and balances are reclassified to be comparable to the current period's presentation.
Net sales by segment are as follows:
 Three Months Ended April 30,
(Amounts in millions)
20212020
Net sales:
Walmart U.S.$93,167 $88,743 
Walmart International27,300 29,766 
Sam's Club16,692 15,163 
Net sales$137,159 $133,672 
Operating income by segment, as well as operating loss for corporate and support, interest, net and other gains and losses are as follows:
 Three Months Ended April 30,
(Amounts in millions)
20212020
Operating income (loss):
Walmart U.S.$5,455 $4,302 
Walmart International1,194 806 
Sam's Club575 494 
Corporate and support(315)(378)
Operating income6,909 5,224 
Interest, net536 549 
Other (gains) and losses2,529 (721)
Income before income taxes$3,844 $5,396 
Disaggregated Revenues
In the following tables, segment net sales are disaggregated by either merchandise category or by market. From time to time, the Company revises the assignment of net sales of a particular item to a merchandise category. When the assignment changes, previous period amounts are reclassified to be comparable to the current period's presentation.
In addition, net sales related to eCommerce are provided for each segment, which include omni-channel sales, where a customer initiates an order digitally and the order is fulfilled through a store or club.
(Amounts in millions)Three Months Ended April 30,
Walmart U.S. net sales by merchandise category20212020
Grocery$51,391 $52,921 
General merchandise30,607 25,466 
Health and wellness9,970 9,600 
Other categories1,199 756 
Total$93,167 $88,743 
Of Walmart U.S.'s total net sales, approximately $11.3 billion and $8.3 billion related to eCommerce for the three months ended April 30, 2021 and 2020, respectively.
(Amounts in millions)Three Months Ended April 30,
Walmart International net sales by market20212020
Mexico and Central America$8,330 $8,496 
United Kingdom3,811 7,132 
Canada4,848 4,286 
China3,773 3,368 
Other6,538 6,484 
Total$27,300 $29,766 
Of Walmart International's total net sales, approximately $4.3 billion and $2.9 billion related to eCommerce for the three months ended April 30, 2021 and 2020, respectively.
(Amounts in millions)Three Months Ended April 30,
Sam’s Club net sales by merchandise category20212020
Grocery and consumables$10,669 $10,361 
Fuel, tobacco and other categories2,299 2,013 
Home and apparel2,082 1,280 
Health and wellness941 901 
Technology, office and entertainment701 608 
Total$16,692 $15,163 
Of Sam's Club's total net sales, approximately $1.5 billion and $1.0 billion related to eCommerce for the three months ended April 30, 2021 and 2020, respectively.
v3.21.1
Summary of Significant Accounting Policies Summary of Significant Accounting Policies (Policies)
3 Months Ended
Apr. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation
Basis of Presentation
The Condensed Consolidated Financial Statements of Walmart Inc. and its subsidiaries ("Walmart" or the "Company") and the accompanying notes included in this Quarterly Report on Form 10-Q are unaudited. In the opinion of management, all adjustments necessary for the fair presentation of the Condensed Consolidated Financial Statements have been included. Such adjustments are of a normal, recurring nature. The Condensed Consolidated Financial Statements, and the accompanying notes, are prepared in accordance with generally accepted accounting principles in the United States ("GAAP") and do not contain certain information included in the Company's Annual Report on Form 10-K for the fiscal year ended January 31, 2021 ("fiscal 2021"). Therefore, the interim Condensed Consolidated Financial Statements should be read in conjunction with that Annual Report on Form 10-K.
The Company's Consolidated Financial Statements are based on a fiscal year ending January 31 for the United States ("U.S.") and Canadian operations. The Company consolidates all other operations generally using a one-month lag and based on a calendar year. There were no significant intervening events during the month of April related to the consolidated operations using a lag that materially affected the Condensed Consolidated Financial Statements.
The Company's business is seasonal to a certain extent due to calendar events and national and religious holidays, as well as weather patterns. Historically, the Company's highest sales volume and operating income have occurred in the fiscal quarter ending January 31.
Use of Estimates
Use of Estimates
The Condensed Consolidated Financial Statements have been prepared in conformity with GAAP. Those principles require management to make estimates and assumptions that affect the reported amounts of assets and liabilities. Management's estimates and assumptions also affect the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ materially from those estimates.
Investments InvestmentsInvestments in equity and debt securities are recorded in other long-term assets in the Condensed Consolidated Balance Sheets. Changes in fair value of equity securities measured on a recurring basis are recognized in other gains and losses in the Condensed Consolidated Statements of Income. Refer to Note 5 for details. Equity investments without readily determinable fair values are carried at cost and are adjusted for any observable price changes or impairments within other gains and losses in the Condensed Consolidated Statements of Income. Investments in debt securities classified as trading are reported at fair value with interest income recorded in interest income in the Condensed Consolidated Statements of Income.
Indemnification Liabilities Indemnification LiabilitiesThe Company has provided certain indemnifications in connection with its divestitures and has recorded indemnification liabilities equal to the estimated fair value of the obligations upon inception.
v3.21.1
Net Income Per Common Share (Tables)
3 Months Ended
Apr. 30, 2021
Earnings Per Share [Abstract]  
Schedule of calculation of numerator and denominator in earnings per share
The following table provides a reconciliation of the numerators and denominators used to determine basic and diluted net income per common share attributable to Walmart:
Three Months Ended April 30,
(Amounts in millions, except per share data)20212020
Numerator
Consolidated net income$2,811 $4,074 
Consolidated net income attributable to noncontrolling interest(81)(84)
Consolidated net income attributable to Walmart$2,730 $3,990 
Denominator
Weighted-average common shares outstanding, basic2,815 2,831 
Dilutive impact of share-based awards14 18 
Weighted-average common shares outstanding, diluted2,829 2,849 
Net income per common share attributable to Walmart
Basic$0.97 $1.41 
Diluted0.97 1.40 
v3.21.1
Accumulated Other Comprehensive Loss (Tables)
3 Months Ended
Apr. 30, 2021
Other Comprehensive Income (Loss), Tax [Abstract]  
Composition of accumulated other comprehensive loss The following table provides the changes in the composition of total accumulated other comprehensive loss for the three months ended April 30, 2021:
(Amounts in millions and net of immaterial income taxes)Currency 
Translation and Other
Net Investment HedgesCash Flow HedgesMinimum
Pension 
Liability
Total
Balances as of February 1, 2021$(10,772)$1,296 $(304)$(1,986)$(11,766)
Other comprehensive loss before reclassifications, net(225)(7)(26)(1)(259)
Reclassifications related to business dispositions, net(1)
3,258 (1,195)30 1,966 4,059 
Reclassifications to income, net— — 16 20 
Balances as of April 30, 2021$(7,739)$94 $(284)$(17)$(7,946)
(1) Upon closing of the sale of the Company's operations in the U.K. and Japan during the first quarter of fiscal 2022, these amounts were released from accumulated other comprehensive loss, the majority of which was considered in the impairment evaluation when the individual disposal groups met the held for sale classification in fiscal 2021.

The following table provides the changes in the composition of total accumulated other comprehensive loss for the three months ended April 30, 2020:
(Amounts in millions and net of immaterial income taxes)Currency 
Translation and Other
Net Investment HedgesCash Flow HedgesMinimum
Pension 
Liability
Total
Balances as of February 1, 2020$(11,827)$1,517 $(539)$(1,956)$(12,805)
Other comprehensive income (loss) before reclassifications, net(3,256)157 (295)(4)(3,398)
Reclassifications to income, net— — 16 19 35 
Balances as of April 30, 2020$(15,083)$1,674 $(818)$(1,941)$(16,168)
v3.21.1
Short-term Borrowings and Long-term Debt (Tables)
3 Months Ended
Apr. 30, 2021
Debt Disclosure [Abstract]  
Schedule of Long-term Debt
The following table provides the changes in the Company's long-term debt for the three months ended April 30, 2021:
(Amounts in millions)Long-term debt due within one yearLong-term debtTotal
Balances as of February 1, 2021$3,115 $41,194 $44,309 
Repayments of long-term debt(510)— (510)
Reclassifications of long-term debt894 (894)— 
Other(27)(26)
Balances as of April 30, 2021$3,500 $40,273 $43,773 
v3.21.1
Fair Value Measurements (Tables)
3 Months Ended
Apr. 30, 2021
Fair Value Disclosures [Abstract]  
Fair Value Measurements, Recurring and Nonrecurring The fair value of the Company's equity investments measured on a recurring basis is as follows:
(Amounts in millions)Fair Value as of April 30, 2021Fair Value as of January 31, 2021
Equity investments measured using Level 1 inputs$6,050 $6,517 
Equity investments measured using Level 2 inputs6,217 7,905 
Total$12,267 $14,422 
Notional amounts and fair values of derivatives As of April 30, 2021 and January 31, 2021, the notional amounts and fair values of these derivatives were as follows:
 April 30, 2021January 31, 2021
(Amounts in millions)Notional AmountFair ValueNotional AmountFair Value
Receive fixed-rate, pay variable-rate interest rate swaps designated as fair value hedges$3,250 $140 
(1)
$3,250 $166 
(1)
Receive fixed-rate, pay fixed-rate cross-currency swaps designated as net investment hedges— — 1,250 311 
(1)
Receive fixed-rate, pay fixed-rate cross-currency swaps designated as cash flow hedges8,324 (405)
(2)
5,073 (394)
(2)
Total$11,574 $(265)$9,573 $83 
(1)Classified in other long-term assets within the Company's Condensed Consolidated Balance Sheets.
(2)Classified primarily in deferred income taxes and other within the Company's Condensed Consolidated Balance Sheets.
Carrying value and fair value of long-term debt The carrying value and fair value of the Company's long-term debt as of April 30, 2021 and January 31, 2021, are as follows: 
 April 30, 2021January 31, 2021
(Amounts in millions)Carrying ValueFair ValueCarrying ValueFair Value
Long-term debt, including amounts due within one year$43,773 $51,822 $44,309 $54,240 
v3.21.1
Segments and Disaggregated Revenue (Tables)
3 Months Ended
Apr. 30, 2021
Disaggregation of Revenue [Line Items]  
Segment Net Sales
Net sales by segment are as follows:
 Three Months Ended April 30,
(Amounts in millions)
20212020
Net sales:
Walmart U.S.$93,167 $88,743 
Walmart International27,300 29,766 
Sam's Club16,692 15,163 
Net sales$137,159 $133,672 
Operating Income by Segment, Interest, Net, and Unrealized (Gains) and Losses
Operating income by segment, as well as operating loss for corporate and support, interest, net and other gains and losses are as follows:
 Three Months Ended April 30,
(Amounts in millions)
20212020
Operating income (loss):
Walmart U.S.$5,455 $4,302 
Walmart International1,194 806 
Sam's Club575 494 
Corporate and support(315)(378)
Operating income6,909 5,224 
Interest, net536 549 
Other (gains) and losses2,529 (721)
Income before income taxes$3,844 $5,396 
Walmart U.S.  
Disaggregation of Revenue [Line Items]  
Disaggregation of Revenue
(Amounts in millions)Three Months Ended April 30,
Walmart U.S. net sales by merchandise category20212020
Grocery$51,391 $52,921 
General merchandise30,607 25,466 
Health and wellness9,970 9,600 
Other categories1,199 756 
Total$93,167 $88,743 
Walmart International  
Disaggregation of Revenue [Line Items]  
Disaggregation of Revenue
(Amounts in millions)Three Months Ended April 30,
Walmart International net sales by market20212020
Mexico and Central America$8,330 $8,496 
United Kingdom3,811 7,132 
Canada4,848 4,286 
China3,773 3,368 
Other6,538 6,484 
Total$27,300 $29,766 
Sam's Club  
Disaggregation of Revenue [Line Items]  
Disaggregation of Revenue
(Amounts in millions)Three Months Ended April 30,
Sam’s Club net sales by merchandise category20212020
Grocery and consumables$10,669 $10,361 
Fuel, tobacco and other categories2,299 2,013 
Home and apparel2,082 1,280 
Health and wellness941 901 
Technology, office and entertainment701 608 
Total$16,692 $15,163 
v3.21.1
Summary of Significant Accounting Policies - Investments (Details)
$ in Billions
Apr. 30, 2021
USD ($)
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Debt securities, trading $ 1.0
v3.21.1
Summary of Significant Accounting Policies Summary of Significant Accounting Policies - Indemnification Liabilities (Details) - Indemnification - USD ($)
$ in Billions
Apr. 30, 2021
Jan. 31, 2021
Guarantor Obligations [Line Items]    
Indemnification liability $ 1.3 $ 0.6
Maximum amount of potential future payments $ 4.2  
v3.21.1
Net Income Per Common Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
3 Months Ended
Apr. 30, 2021
Apr. 30, 2020
Numerator    
Consolidated net income $ 2,811 $ 4,074
Consolidated net income attributable to noncontrolling interest (81) (84)
Consolidated net income attributable to Walmart $ 2,730 $ 3,990
Denominator    
Weighted-average common shares outstanding, basic (in shares) 2,815 2,831
Dilutive impact of share-based awards (in shares) 14 18
Weighted-average common shares outstanding, diluted (in shares) 2,829 2,849
Net income per common share attributable to Walmart    
Basic (in dollars per share) $ 0.97 $ 1.41
Diluted (in dollars per share) $ 0.97 $ 1.40
v3.21.1
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($)
$ in Millions
3 Months Ended
Apr. 30, 2021
Apr. 30, 2020
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning balance $ 87,531 $ 81,552
Other comprehensive loss before reclassifications, net (259) (3,398)
Reclassifications related to business dispositions 4,059  
Reclassifications to income, net 20 35
Ending balance 84,592 74,110
Accumulated other comprehensive loss    
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning balance (11,766) (12,805)
Ending balance (7,946) (16,168)
Currency  Translation and Other    
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning balance (10,772) (11,827)
Other comprehensive loss before reclassifications, net (225) (3,256)
Reclassifications related to business dispositions 3,258  
Reclassifications to income, net 0 0
Ending balance (7,739) (15,083)
Net Investment Hedges    
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning balance 1,296 1,517
Other comprehensive loss before reclassifications, net (7) 157
Reclassifications related to business dispositions (1,195)  
Reclassifications to income, net 0 0
Ending balance 94 1,674
Cash Flow Hedges    
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning balance (304) (539)
Other comprehensive loss before reclassifications, net (26) (295)
Reclassifications related to business dispositions 30  
Reclassifications to income, net 16 16
Ending balance (284) (818)
Minimum Pension  Liability    
Accumulated Other Comprehensive Income Loss [Line Items]    
Beginning balance (1,986) (1,956)
Other comprehensive loss before reclassifications, net (1) (4)
Reclassifications related to business dispositions 1,966  
Reclassifications to income, net 4 19
Ending balance $ (17) $ (1,941)
v3.21.1
Short-term Borrowings and Long-term Debt (Details) - Domestic Line of Credit - USD ($)
1 Months Ended
Apr. 30, 2021
Jan. 31, 2021
Debt Instrument [Line Items]    
Committed line of credit $ 15,000,000,000.0 $ 15,000,000,000.0
Revolving Credit Facility    
Debt Instrument [Line Items]    
Debt instrument, term 364 days  
Debt outstanding $ 10,000,000,000.0  
Five Year Credit Facility    
Debt Instrument [Line Items]    
Debt instrument, term 5 years  
Committed line of credit $ 5,000,000,000.0  
v3.21.1
Short-term Borrowings and Long-term Debt (Schedule of Long-term Debt Instruments) (Details)
$ in Millions
3 Months Ended
Apr. 30, 2021
USD ($)
Long-term debt due within one year  
Balances as of February 1, 2021 $ 3,115
Repayments of long-term debt (510)
Reclassifications of long-term debt 894
Other 1
Balances as of April 30, 2021 3,500
Long-term debt  
Balances as of February 1, 2021 41,194
Repayments of long-term debt 0
Reclassifications of long-term debt (894)
Other (27)
Balances as of April 30, 2021 40,273
Total  
Balances as of February 1, 2021 44,309
Repayments of long-term debt (510)
Reclassifications of long-term debt 0
Other (26)
Balances as of April 30, 2021 $ 43,773
v3.21.1
Fair Value Measurement (Equity Investments) (Details) - Recurring - USD ($)
$ in Millions
Apr. 30, 2021
Jan. 31, 2021
Equity Investments [Line Items]    
Equity investments $ 12,267 $ 14,422
Inputs, Level 1    
Equity Investments [Line Items]    
Equity investments 6,050 6,517
Inputs, Level 2    
Equity Investments [Line Items]    
Equity investments $ 6,217 $ 7,905
v3.21.1
Fair Value Measurements (Notional Amounts And Fair Values Of Interest Rate Swaps) (Details) - USD ($)
$ in Millions
Apr. 30, 2021
Jan. 31, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional Amount $ 11,574 $ 9,573
Fair value hedging | Interest Rate Swap    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional Amount 3,250 3,250
Net investment hedging | Cross-currency swaps    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional Amount 0 1,250
Cash flow hedges | Cross-currency swaps    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Notional Amount 8,324 5,073
Recurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair Value (265) 83
Recurring | Fair value hedging | Interest Rate Swap | Inputs, Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair Value 140 166
Recurring | Net investment hedging | Cross-currency swaps | Inputs, Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair Value 0 311
Recurring | Cash flow hedges | Cross-currency swaps | Inputs, Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair Value $ (405) $ (394)