Walmart Financial Analysis and Financial Ratios

Quality Business Consultant's financial analysis expert, Paul Borosky, MBA., doctoral candidate, and published author, has created proprietary financial models to help analyze Walmart's financial performance using Walmart's summarized income statements and balance sheets for the last five years, 2016 to 2020, found in their Annual Reports and Walmart's 10ks. 

Further, our financial model also calculates over 20 popular financial ratios, such as Walmart's current ratio, return on equity, and debt ratio. This information is the basis of our financial report, "Walmart Financial Report", where we offer insights into understanding their financial standing through insightful financial analysis.

A Beginner's Guide to Walmart Inc. Financial Analysis - 2022

$9.99
  • Included Easy to download PDF File.
  • Included Easy to use format.
  • Included Walmart's Summarized Income Statement and Balance Sheet for 2017-2021.
  • Included Popular financial ratios for Walmart (2017-2021) included... With calculations and formulas!
  • Included Expert tips to help with financial statements analysis.
  • Included Expert tips to help with Walmart's financial ratios analysis.
  • NOT Included-Identify and discuss Walmart's financial trends.
  • NOT Included-Expert financial analysis done by Paul Borosky, MBA.
  • NOT Included- Analyst "Letter Grades" for Walmart's ratios.
  • NOT Included-Free Annual Reports Download for Walmart (5 Years)

Walmart Inc. Financial Report by Paul Borosky, MBA. - 2022

$14.99
  • Included Easy to download PDF File.
  • Included Easy to use format.
  • Included Walmart's Summarized Income Statements and Balance Sheets.
  • Included Popular financial ratios for Walmart Inc. included... With calculations and formulas!
  • Included Expert tips to help with financial statements analysis.
  • Included Expert tips to help with Walmart's financial ratios analysis.
  • Included Identify and discuss Walmart's financial trends.
  • Included Expert financial analysis done by Paul Borosky MBA.
  • Included Analyst "Letter Grades" for Walmart's ratios.
  • Included Free Annual Reports Download for Walmart (5 years).

Walmart's Financial Report and Financial Analysis

Walmart 2022 Beginner's Guide to Financial Analysis by Paul Borosky, MBA.

Price: $9.99

Walmart Beginner’s Guide 2022

  • Disclaimer 3
  • Forward 4
  • Income Statement 6
  • Sample Income Statement 6
  • Revenues 7
  • Cost of Goods Sold (COGS) 8
  • Selling, General, and Administrative Expenses (SG&A 8
  • Research and Development (R&D) 9
  • Operating Expenses 10
  • Earnings Before Interest and Taxes (EBIT 10
  • Interest Expense 11
  • Earnings Before Taxes (EBT) 12
  • Taxes 12
  • Net income 12
  • Tax Rate 13
  • Balance Sheet 15
  • Balance Sheet Sample 15
  • Cash 16
  • Short-Term Investments 17
  • Accounts Receivables 17
  • Inventory 18
  • Current Assets 19
  • Property, Plant, and Equipment (PP&E) 20
  • Total Assets 20
  • Accounts Payable 21
  • Accrued Expenses 22
  • Short-Term Debt 23
  • Total Current Liabilities 24
  • Long Term Debt (LT Debt) 25
  • Total Liabilities 26
  • Common Stock and Additional Paid-in Capital 27
  • Treasury 27
  • Retained Earnings 28
  • Total Equity 29
  • Financial Ratios 30
  • Liquidity Ratios 31
  • Current Ratio 31
  • Quick Ratio 32
  • Cash Ratio 33
  • Asset Ratios 35
  • Total Asset Turnover 36
  • Fixed Asset Turnover 37
  • Days Sales Outstanding 37
  • Inventory Turnover 38
  • Accounts Receivable Turnover 39
  • Accounts Payable Turnover 40
  • Other Asset Ratio Calculations 41
  • Working Capital Turnover 41
  • Average Days in Inventory 41
  • Average Days Payable 41
  • Profitability Ratios 43
  • Return on Assets (ROA) 43
  • Return on Equity (ROE) 44
  • Net Profit Margin 45
  • Gross Profit Margin 46
  • Operating Profit Margin 46
  • Debt Ratios 48
  • Debt Ratio 48
  • Debt to Equity Ratio 49
  • Times Interest Earned 50
Walmart 2022 Financial Report by Paul Borosky, MBA.

Price: $14.99

Walmart Financial Report 2022

Table of Contents

  • Disclaimer 3
  • Forward 4
  • Income Statement 6
  • Sample Income Statement 6
  • Revenues 7
  • Cost of Goods Sold (COGS) 8
  • Selling, General, and Administrative Expenses (SG&A 9
  • Research and Development (R&D) 10
  • Operating Expenses 11
  • Earnings Before Interest and Taxes (EBIT 12
  • Interest Expense 12
  • Earnings Before Taxes (EBT) 13
  • Taxes 14
  • Net income 14
  • Tax Rate 15
  • Balance Sheet 17
  • Balance Sheet Sample 17
  • Cash 18
  • Short-Term Investments 19
  • Accounts Receivables 20
  • Inventory 21
  • Current Assets 22
  • Property, Plant, and Equipment (PP&E) 23
  • Total Assets 24
  • Accounts Payable 25
  • Accrued Expenses 26
  • Short-Term Debt 27
  • Total Current Liabilities 28
  • Long Term Debt (LT Debt) 29
  • Total Liabilities 30
  • Common Stock and Additional Paid-in Capital 31
  • Treasury 32
  • Retained Earnings 33
  • Total Equity 34
  • Financial Ratios 35
  • Liquidity Ratios 36
  • Current Ratio 36
  • Quick Ratio 37
  • Cash Ratio 38
  • Asset Ratios 40
  • Total Asset Turnover 41
  • Fixed Asset Turnover 42
  • Days Sales Outstanding 43
  • Inventory Turnover 44
  • Accounts Receivable Turnover 45
  • Accounts Payable Turnover 46
  • Other Asset Ratio Calculations 47
  • Working Capital Turnover 47
  • Average Days in Inventory 47
  • Average Days Payable 48
  • Profitability Ratios 49
  • Return on Assets (ROA) 49
  • Return on Equity (ROE) 50
  • Net Profit Margin 51
  • Gross Profit Margin 53
  • Operating Profit Margin 53
  • Debt Ratios 55
  • Debt Ratio 55
  • Debt to Equity Ratio 56
  • Times Interest Earned 57
  • Summary 59
  • Walmart’s Strengths 59
  • Walmart’s Weaknesses 59
  • Walmart’s Final Grade 59

Hey All,

Thanks for considering my Walmart Financial Report. In this report, you will be able to find preliminary information about Apple's current financial performance as well as some historical track records and trends. Also, in this report, written by myself, Paul Borosky, MBA., Doctoral Candidate and published author, you will find:

  • Summarized income statement for the last 5 years.
  • Summarized balance sheet for the last 5 years.
  • Summary analysis by myself of the important income statement, balance sheet, and financial ratio trends and other happenings.
  • Five years’ worth of over twenty common financial ratios presented with formulas, calculations, and analysis tips for each ratio.
  • Line by line description, explanation, and analysis tip for most financial statement line items and financial ratios.
  • Professional financial analysis tips are provided in each section to help YOU conduct your OWN financial analysis!
  • Each section includes an “in other words” segment.  This is where I use plain English to explain concepts.

Sincerely,

Paul, MBA.

Sample Report

Sample report 2
Financial Report Sample 1

Walmart Income Statement Analysis Sample

In this section of the financial report, I walk you through a broad definition as to what an income statement is and why it is important.  From this, I then discuss and define important income statement line items, such as revenues, gross profits, etc. in detail.  Finally, I offer a summary analysis of the company's important income statement line item trends.  For example,...

Walmart's Cost of Goods Sold.

Walmart’s cost of goods, as compared to revenues, in 2017 was approximately 74.4%.  In the next year, the organization’s cost of goods as compared to revenues would fall slightly to 73.7%.  This indicates that the organization enjoyed moderate gross margin growth.  However, in the next three years, the organization’s cost of goods as compared to revenues would continually grow, ending 2021 at 75.2%.  This is an average growth rate of approximately 3.9%. 

Keep in mind; the organizations’ revenue growth was only 3.6%.  This means that the firm’s cost of goods is growing at a faster pace as compared to revenues.  Unfortunately, this business model is not sustainable for the long term.  Either Walmart needs to increase prices at a faster pace as compared to the cost of goods or start to suffer losses on products sold.

Walmart 2022 Summary Income Statement

Column1

2022

2021 2020 2019

2018

Revenues

                 572,754

                 559,151                  523,964                  514,405

                   506,343

COGS

                 429,000

                 420,315                  394,605                  385,301

                   373,396

Gross Profit

                 143,754

                 138,836                  129,359                  129,104

                   132,947

 
SG&A

                 117,812

                 116,288                  108,791                  107,147

                   106,510

Depreciation

                   10,658

                   11,152                    10,987                    10,678

                     10,529

R & D                            -                            -                            -                            -                             -
Other                            -                            -                            -                            -                             -
Total Operating Expenses

                 128,470

                 127,440                  119,778                  117,825

                   117,039

EBIT

                   25,942

                   22,548                    20,568                    21,957

                     20,437

Other Income                            -                            -                             -
Interest Expense

                     1,836

                     2,194                      2,410                      2,129

                       2,178

EBT

                   18,696

                   20,564                    20,116                    11,460

                     15,123

Taxes

                     4,756

                     6,858                      4,915                      4,281

                       4,600

Net Income

                  13,673

                  13,510                   14,881                     6,670

                     9,862

Walmart Balance Sheet Analysis Sample

In this section of the financial report, I walk you through a broad definition of what a balance sheet is and why it is essential.  From this, I then discuss and define important balance sheet line items, such as cash, inventory, etc., in detail.  Finally, I offer a summary analysis of the company's important balance sheet line item trends.  For example,...

Walmart Property, Plant, and Equipment

Walmart property, plant, and equipment ended 2017 at $107.7 billion.  In the next four years, the organization would substantially reduce its property, plant, and equipment to $92.2 billion.  This indicates that the firm is divesting underperforming stores.  An important takeaway for investors would be that the company is not seemingly expanding into new locations.  But rather reducing their footprint geographically.  This should be concerning, especially if same-store sales start to level off or even decline. 

A better strategy for the organization would be to identify strategic locations for new stores and continue a moderate growth strategy as compared to a cut-and-run approach.

Walmart 2022 Summary Balance Sheet

Column1

2022

2021 2020 2019

2018

Cash

                     14,760

                 17,741                    9,465                    7,722

                   6,756

Short Term Investment                              -                         -                         -                         -                         -
Account Receivable

                       8,280

                   6,516                    6,284                    6,283

                   5,614

Inventory

                     56,511

                 44,949                  44,435                  44,269

                 43,783

Other                              -                         -                         -                         -                         -
Current Assets

                   81,070

               90,067                61,806                61,897

               59,664

Net PPE

                     94,515

                 92,201                105,208                104,317

               107,675

Goodwill

                     29,014

                 28,983                  31,073                  31,181

                 18,242

Other                              -                         -                         -                         -                         -
Total Assets

                 244,860

             252,496              236,495              219,295

             204,522

Accounts Payable

                     55,261

                 49,141                  46,973                  47,060

                 46,092

Accrued Expense

                     26,060

                 37,966                  22,296                  22,159

                 22,122

Accrued Taxes

                          851

                      242                       280                       428

                      645

Notes Payable

                          410

                      224                       575                    5,225

                   5,257

LT Debt - Current

                       2,803

                   3,115                    5,362                    1,876

                   3,738

Other                              -                         -                         -                         -                         -
Total Current Liabilities

                     87,379

                 92,645                  77,790                  77,477

                 78,521

LT Debt

                     34,864

                 41,194                  43,714                  50,203

                 36,825

Other                              -                         -                         -                         -                         -
Total Liabilities

                 152,969

             164,965              154,943                50,203

               36,825

Common Stock

                       5,115

                   3,928                    3,531                    3,253

                   2,943

Treasury                              -                         -                         -                         -                         -
Retained Earnings

                     86,904

                 88,763                  83,943                  80,785

                 85,107

Other                              -                         -                         -                         -                         -
Total Equity

                   91,891

               87,531                81,552                79,634

               80,822

Total Equity & Liability

                 244,860

             252,496              236,495              219,295

             204,522

Walmart Financial Ratios Sample

In this section of the financial report, I walk you through definitions of various popular financial ratios, how to calculate the ratios, formulas used, etc. Also, for some popular financial ratios, I provide brief explanations of what the ratios mean as it is related to the company.

Walmart's Quick Ratio

Walmart’s quick ratio ended 2017 at .22.  In the next three years, the organization would maintain a steady quick ratio between the range of .2 and .23.  However, in 2021, the organization would more than double its quick ratio ending the year at .49. 

Walmart's Fixed Asset Turnover Ratio

Walmart’s fixed asset ratio in 2017 was 4.5.  In the next four years, the organization would improve its fixed asset turnover ending 2021 at 6.06.  This means that the firm is continually doing a good job of using its fixed assets to generate revenues.  However, if Walmart seeks to expand into new geographic areas, whether it be national or international, then their fixed asset turnover will inevitably level out or start to decline.

Walmart's Return on Equity

Walmart’s return on equity in 2017 was 16.9%.  In the next two years, the organization’s return on equity would fall substantially, ending 2019 at 8.3%.  Fortunately, the organization would take steps to improve the return on equity.  This would result in the organization’s return on equity in 2021 of 17.93%.  To further increase the organization’s return on equity, the firm needs to take out more debt to use for growth and operation purposes.  Typically, the more debt an organization takes on, the less equity is needed.  This, in turn, moderately improves return on equity for investors.

Walmart 2022 Liquidity Ratios

Ratios 2022 2021 2020 2019 2018
Current Ratio

                          0.93

                   0.97

     
Cash Ratio

                          0.17

                   0.19

     
Quick Ratio

                          0.28

                   0.49

     
Net Working Capital

                      (6,309)

               (2,578)

     
       

Walmart 2022 Asset Utilization

Ratios 2022 2021 2020 2019 2018
Total Asset Turnover

                          2.34

                   2.21

     
Fixed Asset Turnover

                          6.06

                   6.06

     
Days Sales Outstanding

                          4.71

                   4.18

     
Inventory Turnover (Using Sales)

                        11.29

                 12.51

     
Inventory Turnover (Using COGS)

                          8.46

                   9.40

     
Accounts Receivable Turnover

                        77.42

                 87.37

     
Working Capital Turnover

                      (90.78)

             (216.89)

     
AP Turnover

                          8.44

                   8.76

     
Average Days Inventory

                        43.16

                 38.81

     
Average Days Payable

                        43.25

                 41.68

     
     

Walmart 2022 Profitability Ratios

Ratios 2022 2021 2020 2019 2018
Return on Assets

5.58%

5.35%

     
Return on Equity

14.88%

15.43%

     
Net Profit Margin

2.39%

2.42%

     
Gross Profit Margin

25.10%

24.83%

     
Operating Profit Margin

4.53%

4.03%

     
Basic Earning Power

10.59%

8.93%

     
ROCE

16.47%

14.11%

     
Capital Employed

                    157,481

             159,851

     
ROIC

14.88%

11.38%

     
     

Walmart 2022 Debt Ratios

Ratios 2022 2021 2020 2019 2018
Debt Ratio

15.55%

17.64%

     
Debt/Equity

41.44%

50.88%

     
Times Interest Earned

                        14.13

                 10.28