Walmart Inc. stock research
FY2026 Q3
Walmart (WMT) Gross Margin — Quarter Ended Oct 31, 2025
Revenue and gross profit increased compared to both the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin weakened slightly from the prior quarter but remained stable year-over-year, and the filing discusses broader performance metrics including return on assets and return on investment.
Gross margin takeaway
Quarter ended Oct 31, 2025 · FY2026 Q3
Revenue and gross profit increased compared to both the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin weakened slightly from the prior quarter but remained stable year-over-year, and the filing discusses broader performance metrics including return on assets and return on investment.
- The strongest observable margin driver is the relationship between cost of revenue and revenue growth. In the current quarter, cost of revenue increased proportionally more than revenue, leading to a lower gross margin.
- Compared to the immediate prior quarter, gross margin was lower. Compared to the same quarter one year earlier, gross margin was unchanged.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
24.2%
Gross profit
$43.1B
Revenue
$177.8B
Cost of revenue
$134.7B
Quarter-over-quarter change
-0.2 pts
Year-over-year change
+0.0 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Jan 31, 2025 | $178.8B | $42.7B | $136.2B | 23.9% |
| Apr 30, 2025 | $164.0B | $39.7B | $124.3B | 24.2% |
| Jul 31, 2025 | $175.8B | $43.0B | $132.8B | 24.5% |
| Oct 31, 2025 | $177.8B | $43.1B | $134.7B | 24.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jul 31, 2025
-0.2 pts
Year-over-year change
Oct 31, 2024
+0.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the relationship between cost of revenue and revenue growth. In the current quarter, cost of revenue increased proportionally more than revenue, leading to a lower gross margin.
Compared to the immediate prior quarter, gross margin was lower. Compared to the same quarter one year earlier, gross margin was unchanged.
The gross margin percentage should be monitored, as it declined from the prior quarter while remaining stable year-over-year.