Walmart Inc. · NASDAQ:WMT
Walmart — Q4 FY2021 Earnings Presentation
26 slides from Walmart's earnings presentation
Slide 1: Financial presentation to accompany management commentary Q4 FY2021
Financial presentation to accompany management commentary Q4 FY2021
Slide 2: Safe harbor and non-GAAP measures
Safe harbor and non-GAAP measures This presentation contains statements or may include or may incorporate by reference, statements that may be deemed to be "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the "Act"), that are intended
Slide 3: Fiscal 2022 full-year guidance
Fiscal 2022 full-year guidance The following guidance reflects the company’s expectations for fiscal year 2022 and is provided on a non-GAAP basis as the Company cannot predict certain elements which are included in reported GAAP results, including the impact of foreign exchange translation, the tim
Slide 4: Walmart Inc. - Q4 FY21
Walmart Inc. - Q4 FY21 Dollars in billions, except per share. Change is calculated as the change versus the prior year comparable period Total revenue Operating income $152.1 $5.5 Membership and Other Income +7.3% $1.1 +3.1% EPS Total revenue, constant currency1 +2.9% Adj. operating income, constant
Slide 5: Walmart Inc. - FY21
Walmart Inc. - FY21 Dollars in billions, except per share. Change is calculated as the change versus the prior year comparable period Total revenue Operating income $559.2 $22.5 Membership and Other Income +6.7% $3.9 +9.6% EPS Total revenue, constant currency1 -3.0% Adj. operating income, constant c
Slide 6: Walmart Inc. - Q4 FY21
Walmart Inc. - Q4 FY21 Dollars in billions. Change is calculated as the change versus the prior year comparable period Receivables, net Debt to capitalization1 $6.5 37.5% +3.7% -470 bps Inventories Return on assets2 $44.9 5.6% +1.2% -110 bps Accounts payable Return on investment2 $49.1 14.0% +4.6% +
Slide 7: Walmart Inc. - FY21
Walmart Inc. - FY21 Dollars in billions. Dollar changes may not recalculate due to rounding. Change is calculated as the change versus the prior year comparable period Operating cash flow Dividends $36.1 $6.1 +$10.8 ($1.5 in 4Q21) Capital expenditures Share repurchases2 $10.3 $2.6 -$0.4 ($1.4 in 4Q2
Slide 8: Walmart U.S. - Q4 FY21
Walmart U.S. - Q4 FY21 Dollars in billions. Change is calculated as the change versus the prior year comparable period Net Sales Comparable sales1, 2 Inventory $99.6 8.6% Comp store: +1.1% +7.9% Total: +7.1% Comparable transactions eCommerce net sales growth -10.9% • Primarily reflects inventory bui
Slide 9: Walmart U.S. - Q4 FY21
Walmart U.S. - Q4 FY21 Dollars in billions. Change is calculated as the change versus the prior year comparable period Gross profit rate Operating expense rate Operating income +20 bps -22 bps $5.2 +17.4% • Strategic sourcing initiatives and • Comparison benefited ~50 bps from fewer markdowns benefi
Slide 10: Walmart U.S. - quarterly merchandise highlights
Walmart U.S. - quarterly merchandise highlights Category Comp sales Details • Food sales reflected broad-based strength across most categories and benefited from expanded store hours, better in-stocks and strong price positioning; consumables sales Grocery + high single-digit growth was led by stren
Slide 11: Walmart International - Q4 FY21
Walmart International - Q4 FY21 Dollars in billions. Dollar changes may not recalculate due to rounding. Change is calculated as the change versus the prior year comparable period Net sales Gross profit rate Operating income Adj. operating income1 $34.9 +39 bps $1.0 $1.0 +5.5% • Lapping unrest in Ch
Slide 12: Walmart International - Q4 FY21
Walmart International - Q4 FY21 Results are presented on a constant currency basis. Net sales and comp sales are presented on a nominal, calendar basis and include eCommerce results. Change is calculated as the change versus the prior year comparable period. Walmex1 China Canada United Kingdom2 Net
Slide 13: Walmart International - Q4 FY21
Walmart International - Q4 FY21 Results are presented on a constant currency basis. Change is calculated as the change versus the prior year comparable period Walmex1 China Canada United Kingdom Gross profit rate Increase Decrease Decrease Increase • Lapping price investments • Change in mix to lowe
Slide 14: Sam's Club - Q4 FY21
Sam's Club - Q4 FY21 Dollars in billions. Change is calculated as the change versus the prior year comparable period With Fuel Net sales eCommerce net sales growth Gross profit rate Operating income $16.5 +42% +53 bps $0.4 +8.1% • Strong curbside performance and solid • Favorable sales mix, includin
Slide 15: Sam's Club - Q4 FY21
Sam's Club - Q4 FY21 Dollars in billions. Change is calculated as the change versus the prior year comparable period Without Fuel Net sales Gross profit rate Comparable sales1, 2 eCommerce contribution $15.3 +43 bps +10.8% ~280 bps +10.4% Operating expense rate Operating income Comparable transactio
Slide 16: Sam's Club - quarterly financial highlights
Sam's Club - quarterly financial highlights Category Comp sales Details Fresh / Freezer / Cooler + high teens • Fresh meat & seafood, frozen and produce performed well Grocery and beverage + high teens • Dry grocery, drinks and snacks performed well Consumables + low 20% • Broad-based strength, incl
Slide 17: Non-GAAP measures - ROI
Non-GAAP measures - ROI We include Return on Assets ("ROA"), which is calculated in accordance with U.S. generally accepted accounting principles ("GAAP") as well as Return on Investment ("ROI") as measures to assess returns on assets. Management believes ROI is a meaningful measure to share with in
Slide 18: Non-GAAP measures - ROI (cont.)
Non-GAAP measures - ROI (cont.) The calculation of ROA and ROI, along with a reconciliation of ROI to the calculation of ROA, is as follows: CALCULATION OF RETURN ON ASSETS CALCULATION OF RETURN ON INVESTMENT Fiscal Year Fiscal Year Ended January 31, Ended January 31, (Dollars in millions) 2021 2020
Slide 19: Non-GAAP measures - free cash flow
Non-GAAP measures - free cash flow We define free cash flow as net cash provided by operating activities in a period minus payments for property and equipment made in that period. We had net cash provided by operating activities of $36.1 billion for the fiscal year ended January 31, 2021, which incr
Slide 20: Non-GAAP measures - constant currency
Non-GAAP measures - constant currency In discussing our operating results, the term currency exchange rates refers to the currency exchange rates we use to convert the operating results for countries where the functional currency is not the U.S. dollar into U.S. dollars. We calculate the effect of c
Slide 21: Non-GAAP measures - adjusted operating income
Non-GAAP measures - adjusted operating income Adjusted operating income is considered a non-GAAP financial measure under the SEC’s rules because it excludes certain charges included in operating income calculated in accordance with GAAP. Management believes that adjusted operating income is a meanin
Slide 22: Non-GAAP measures - adjusted effective tax rate
Non-GAAP measures - adjusted effective tax rate The adjusted effective tax rate is considered a non-GAAP financial measure under the SEC’s rules because it excludes certain impacts included in calculating the effective tax rate in accordance with GAAP. Management believes that the adjusted effective
Slide 23: Non-GAAP measures - adjusted EPS
Non-GAAP measures - adjusted EPS Adjusted diluted earnings per share attributable to Walmart (Adjusted EPS) is considered a non-GAAP financial measure under the SEC’s rules because it excludes certain amounts included in the diluted earnings per share attributable to Walmart calculated in accordance
Slide 24: Non-GAAP measures - adjusted EPS (cont.)
Non-GAAP measures - adjusted EPS (cont.) Percent Percent Three Months Ended January 31, 2021 Change1 Fiscal Year Ended January 31, 20215 Change1 Diluted earnings per share: Reported EPS $ (0.74) -151.0% $ 4.75 (8.5)% Pre-Tax Tax NCI Net Pre-Tax Tax NCI Net Adjustments: Impact Impact2,3 Impact4 Impac
Slide 25: Non-GAAP measures - adjusted EPS (cont.)
Non-GAAP measures - adjusted EPS (cont.) As previously disclosed in our fiscal year ended January 31, 2020 press release, we have calculated Adjusted EPS for the three months and fiscal year ended January 31, 2020 by adjusting EPS for the following: (1) unrealized gains and losses on the company’s e
Slide 26: Additional resources at stock.walmart.com
Additional resources at stock.walmart.com • Unit counts & square footage • Comparable store sales, including and excluding fuel • Terminology 26