With U.S. same-store sales growth slowing to 1.8% in Q2 as margin compression spreads across groceries and general merchandise, Walmart is leaning on international e-commerce and digital services to sustain overall revenue growth. Management forecasts global online sales to exceed $120 billion by fiscal 2026, representing nearly 20% of consolidated revenue. Investments in robotics, inventory automation and data analytics are expected to lower logistics costs by 8% over the next two years, preserving operating margins despite rising wage and transport expenses. Walmart’s acquisition of a majority stake in Flipkart has underpinned its fastest-growing international market, with Flipkart reporting a 38% year-over-year gross merchandise volume increase in fiscal 2024. The Indian business now serves over 150 million active customers, contributing more than 12% of Walmart’s total e-commerce revenue. Walmart has invested over $5 billion in Flipkart since 2018, enabling new fulfilment centers, launch of private-label offerings and expansion into tier-2 and tier-3 cities, where online retail penetration remains below 20%. In China, Walmart operates 420 retail units under its own banner and through joint ventures, generating over 25% of its international store-level operating profit. The company’s partnership with JD.com integrates Walmart’s supply chain with JD’s last-mile network, shortening delivery times by 30% in six major metropolitan areas. Walmart also leverages Chinese digital platforms to pilot a new online advertising service, which recorded a 65% increase in ad spend from consumer packaged goods brands during the first half of 2025.
With U.S. same-store sales growth slowing to 1.8% in Q2 as margin compression spreads across groceries and general merchandise, Walmart is leaning on international e-commerce and digital services to sustain overall revenue growth. Management forecasts global online sales to exceed $120 billion by fiscal 2026, representing nearly 20% of consolidated revenue. Investments in robotics, inventory automation and data analytics are expected to lower logistics costs by 8% over the next two years, preserving operating margins despite rising wage and transport expenses. Walmart’s acquisition of a majority stake in Flipkart has underpinned its fastest-growing international market, with Flipkart reporting a 38% year-over-year gross merchandise volume increase in fiscal 2024. The Indian business now serves over 150 million active customers, contributing more than 12% of Walmart’s total e-commerce revenue. Walmart has invested over $5 billion in Flipkart since 2018, enabling new fulfilment centers, launch of private-label offerings and expansion into tier-2 and tier-3 cities, where online retail penetration remains below 20%. In China, Walmart operates 420 retail units under its own banner and through joint ventures, generating over 25% of its international store-level operating profit. The company’s partnership with JD.com integrates Walmart’s supply chain with JD’s last-mile network, shortening delivery times by 30% in six major metropolitan areas. Walmart also leverages Chinese digital platforms to pilot a new online advertising service, which recorded a 65% increase in ad spend from consumer packaged goods brands during the first half of 2025.