Walmart U.S. Sales and Profit Margin — Grocery, Merchandise, and Healthcare

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This article provides an overview of Walmart U.S. segment’s revenue and profit margin, including a detailed breakdown by merchandise category.

The revenue figures are derived from the segment’s net sales revenue, also referred to as merchandise sales revenue.

Walmart’s merchandise is organized into three core categories: Grocery, General Merchandise, and Health & Wellness.

Do note that Walmart’s merchandise sales revenue does not include membership revenue. Also, sales revenue from Sam’s Club U.S. are not included in this discussion.

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For other key statistics of Walmart, you may find more resources on this page: Walmart key stats.

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Definitions

To help readers understand the content better, the following terms and glossaries have been provided.

Walmart Merchandise Sales: Walmart’s Merchandise Sales refers to the revenue generated from selling goods across its various product categories.

This includes three primary segments: Grocery, General Merchandise, and Health & Wellness.

Merchandise sales represent the company’s net sales revenue, which excludes membership fees or other non-merchandise income streams.

Walmart U.S.: Walmart U.S. stands as the company’s largest segment, operating 4,605 stores across the United States, spanning all 50 states, Washington D.C., and Puerto Rico.

As a leading mass merchandiser of consumer products, Walmart U.S. serves customers under the “Walmart” and “Walmart Neighborhood Market” brands, as well as through its digital platform, walmart.com.

With a focus on convenience and integration, Walmart U.S. delivers a seamless omni-channel shopping experience by blending its physical retail locations with eCommerce services.

Nearly all stores offer same-day pickup and delivery options, including features like express delivery within 90 minutes, in-home delivery, and digital pharmacy services.

The Walmart+ membership program enhances this omni-channel approach, offering benefits such as unlimited free shipping with no minimum purchase, unlimited delivery from stores, fuel discounts, mobile Scan & Go capabilities, and exclusive perks for members.

Strategically, Walmart U.S. operates within three core merchandise categories: Grocery, General merchandise, and Health and wellness.

Grocery: Walmart’s Grocery segment is a core part of its retail operations, encompassing food and beverage products, household essentials, and consumables.

This segment includes fresh produce, dairy, meat, bakery items, frozen foods, and packaged goods. It also covers beverages, snacks, and pantry staples.

Grocery sales contribute significantly to Walmart’s overall revenue, making it a dominant player in the supermarket industry.

The company leverages competitive pricing, private-label brands, and bulk purchasing strategies to maintain affordability and attract a broad customer base.

General Merchandise: Walmart’s General Merchandise segment encompasses a wide range of non-grocery products, including apparel, electronics, home goods, toys, sporting equipment, and seasonal items.

This segment plays a crucial role in Walmart’s overall revenue, contributing significantly to its retail dominance.

Unlike the Grocery segment, General Merchandise relies more on discretionary spending, meaning sales can fluctuate based on consumer trends and economic conditions.

Walmart leverages competitive pricing, private-label brands, and bulk purchasing to maintain affordability and attract customers.

Health & Wellness: Walmart’s Health & Wellness segment includes a range of products and services focused on personal care, pharmaceuticals, and medical essentials.

This category covers over-the-counter medications, prescription drugs, vitamins, supplements, and personal health products. Walmart also integrates healthcare services, such as in-store pharmacies and vision centers, to enhance accessibility for customers.

This segment plays a crucial role in Walmart’s retail strategy, catering to consumer demand for affordable healthcare solutions. The company leverages competitive pricing and private-label brands to maintain its market position.

Omni-Channel: Omni-channel refers to a strategy in commerce and customer engagement that provides a seamless and integrated experience across all channels, whether they are online, offline, or hybrid. It’s about making every interaction — from browsing products online to visiting a physical store—feel connected and consistent.

For example:

• In retail, omni-channel could mean a customer can browse products online, reserve an item on a mobile app, and pick it up in-store, all while receiving consistent information and support.

• In customer service, omni-channel ensures that whether a customer contacts a company via email, chat, phone, or social media, their inquiries and interactions are unified across these platforms.

The key idea is to break down silos between channels and prioritize the customer’s convenience. Businesses that adopt omni-channel approaches often see improved customer satisfaction and loyalty.

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What contributes to the significant growth in Walmart’s grocery sales revenue?

Walmart’s grocery sales growth is driven by several key factors:

• High-Frequency Shopping: Grocery items are essential, leading to frequent purchases and consistent revenue streams.

• Competitive Pricing: Walmart leverages its scale to offer lower prices, attracting budget-conscious consumers.




• Omnichannel Expansion: The integration of online ordering, pickup, and delivery services has boosted grocery sales.

• Private-Label Growth: Walmart’s private-label brands provide affordable alternatives, increasing customer loyalty.

• Market Share Gains: Walmart continues to expand its grocery dominance, outperforming competitors like Target.

• Inflationary Trends: Rising food prices have led consumers to seek value-driven options, benefiting Walmart’s grocery segment.

These factors have collectively driven Walmart’s soaring grocery sales revenue over the years.

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Insight & Summary of Walmart U.S. Revenue and Profit Margin

The following analysis consolidates the trends observed across Walmart U.S. net sales revenue breakdown and profit margin for the 2015–2026 period.

• Walmart U.S. net sales grew from $288.0B in 2015 to $483.0B in 2026, a 67.7% cumulative increase over eleven years, with the segment consistently expanding its share of Walmart’s consolidated net sales from 59.7% to 68.4% — reflecting both organic domestic growth and the structural reduction of the international portfolio.

• Profitability, available from 2023 onward, has shown a steady and encouraging improvement: gross margin (as % of net sales) expanded from 26.6% to 27.5% and operating margin (as % of net sales) from 4.9% to 5.2% over just three years, driven by a combination of favorable merchandise mix shift, private label penetration, and the growing contribution of high-margin advertising revenue embedded within the segment’s income base.

• Grocery is and has remained the dominant category throughout the period, accounting for approximately 56% of Walmart U.S. net sales from 2015 through 2022 before expanding to nearly 60% by 2026, as its absolute revenue grew from $161.3B to $285.5B.

• The category’s rising share reflects both its non-discretionary nature and Walmart’s deepening competitive positioning in food retail — particularly its ability to attract and retain higher-income consumers seeking value on everyday essentials. Grocery growth has been consistent and broadly in line with total segment growth through most of the period, with a notable acceleration to 13.0% in 2023, likely reflecting inflationary food price tailwinds, before normalizing to 3.4% in 2026.

• General Merchandise has undergone the most significant structural repositioning of the four categories. After tracking closely with total net sales growth through 2022 — maintaining a stable 32–33% revenue share — the category entered a period of sustained contraction, declining in absolute terms for three consecutive years from 2023 to 2025 before a modest recovery to 1.0% growth in 2026.

• Its share of net sales compressed sharply from 32.0% in 2022 to 23.8% in 2026, a near 10-percentage-point erosion driven by post-pandemic demand normalization in discretionary goods, consumer trade-down behavior, and intensifying competition from value-oriented and online retailers in categories such as apparel, electronics, and home goods. The partial stabilization in 2026 is encouraging but insufficient to declare a definitive recovery in discretionary demand.

• Health and Wellness has been the standout growth category in the latter half of the period, expanding from $31.7B in 2015 to $69.5B in 2026 and nearly doubling its share of net sales from 11.0% to 14.4%. Growth accelerated meaningfully from 2022 onward, delivering 11–18% annual increases in four consecutive years, driven by pharmacy volume growth, the expansion of health services offerings, and the structural tailwind of an aging consumer base increasingly prioritizing healthcare spending.

• The category’s rising share is strategically significant — Health and Wellness carries higher margins than general merchandise and represents a durable, needs-based demand profile that is less susceptible to discretionary spending cycles. The Other category, while still small at 2.7% of net sales in 2026, has been the fastest-growing in percentage terms, compounding rapidly from a modest base as Walmart scales newer service and technology-adjacent revenue streams within the U.S. segment.

The table below combines Walmart U.S. net sales revenue and profitability metrics into a single view for the latest three fiscal years.

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Walmart U.S. – Net Sales, % of Total, and YoY Growth

Walmart U.S. derives its net sales revenue primarily from merchandise sales. You may find more information about Walmart’s net sales here: Walmart’s merchandise sales

For the definition of Walmart U.S. segment, you may refer to this section: Walmart U.S..

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Walmart U.S. – Gross & Operating Profit and Margin

Walmart U.S. derives its net sales revenue primarily from merchandise sales. You may find more information about Walmart’s net sales here: Walmart’s merchandise sales

For the definition of net sales by category, you may refer to this section: Grocery, General Merchandise, and Health and Wellness.

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Grocery, General Merchandise, Health & Wellness – Net Sales Breakdown

Walmart U.S. derives its net sales revenue primarily from merchandise sales. You may find more information about Walmart’s net sales here: Walmart’s merchandise sales

For the definition of net sales by category, you may refer to this section: Grocery, General Merchandise, and Health and Wellness.

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Grocery, General Merchandise, Health & Wellness – Net Sales Mix

Walmart U.S. derives its net sales revenue primarily from merchandise sales. You may find more information about Walmart’s net sales here: Walmart’s merchandise sales

For the definition of net sales by category, you may refer to this section: Grocery, General Merchandise, and Health and Wellness.

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Grocery, General Merchandise, Health & Wellness – Net Sales YoY Growth

Walmart U.S. derives its net sales revenue primarily from merchandise sales. You may find more information about Walmart’s net sales here: Walmart’s merchandise sales

For the definition of net sales by category, you may refer to this section: Grocery, General Merchandise, and Health and Wellness.

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References and Credits

1. All financial figures presented were obtained and referenced from Walmart’s annual reports published on the company’s investor relations page: Walmart Investor Relations.

2. Pexels Images.

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