Walmart Inc. (WMT) is the largest brick-and-mortar retailer in the world with about 10,500 locations in 19 countries worldwide. That's a dramatic change from nearly six decades ago when Sam Walton opened a single discount store in Rogers, Arkansas. The company went public and rapidly expanded eight years later.
The company operates an empire of brick-and-mortar stores under the Walmart name as well as its membership-only Sam's Club outlets and a growing e-commerce business. The company generated $648.1 billion in revenue and consolidated net income of $15.5 billion in Walmart's FY 2024, ended Jan. 31, 2024.
Walmart's acquisitions have been aimed at sharply expanding its presence in e-commerce to fend off digital retailing giant Amazon.com, Inc. (AMZN). Walmart ventured abroad in 2018 and paid $16 billion for a majority stake in Flipkart, India's largest e-commerce company. It bought out other investors and increased its hold in the company and India's market in 2023.
Key Takeaways
- Walmart Inc. is the largest brick-and-mortar retailer in the world with about 10,500 locations in 19 countries worldwide.
- Several Walmart acquisitions have been aimed at expanding its presence in e-commerce to fend off digital retailing giant Amazon.com.
- Walmart reported FY 2024 U.S. e-commerce net sales of $65.4 billion, up 22.47% year-over-year.
- Four notable Walmart acquisitions include Jet.com, ShoeBuy, Bonobos, and Moosejaw.
Jet.com
- Type of Business: E-commerce
- Acquisition price: $3.3 billion
- Date purchased: Sept. 19, 2016
Jet.com was founded in 2014 and is one of the fastest-growing U.S. e-commerce companies. Walmart acquired Jet.com for about $3.3 billion in 2016 to compete with Amazon.com. Jet.com was an independent company before the acquisition. Jet.com founder Marc Lore joined the Walmart executive leadership team as part of the deal.
Walmart reported FY 2024 U.S. e-commerce net sales of $65.4 billion, up 22.47% year-over-year (YOY), aided by its expanded e-commerce business.
Walmart doesn't provide breakdowns of the revenue that each acquisition contributes to the company.
ShoeBuy
- Type of Business: E-commerce
- Acquisition price: $70 million
- Date purchased: Dec. 30, 2016
ShoeBuy, rebranded as Shoes.com, was launched in 1999 as an online footwear retailer. The company was purchased by IAC in 2006. Walmart subsidiary Jet.com acquired ShoeBuy from IAC for approximately $70 million in 2016. This acquisition took place just months after Walmart acquired Jet.com.
This deal marks a key expansion for Jet.com into footwear retailing, an area not previously represented by the online retailer. It also marks a move by Walmart to provide a comprehensive e-commerce experience similar to Amazon.
Bonobos
- Type of business: Online apparel brand
- Acquisition price: $310 million
- Date purchased: June 16, 2017
Bonobos was launched in 2007 as an internet-based apparel brand and eventually expanded to include a growing number of brick-and-mortar locations as well in 2012. The company was independent at the time of its acquisition by Walmart in mid-2017. Walmart appointed Bonobos founder and CEO Andy Dunn to lead Walmart's effort to help boost sales of online consumer brands after the takeover.
The Bonobos deal came a few months after Walmart acquired another online apparel company, ModCloth, although ModCloth was sold two years later.
Moosejaw
- Type of business: Online outdoor retailer
- Acquisition price: $51 million
- Date purchased: Feb. 13, 2017
Moosejaw specializes in outdoor recreation gear and apparel. It was founded in 1992 and ultimately developed a retail presence primarily online. Moosejaw counted several private equity firms as major stakeholders at the time of its purchase by Walmart in 2017. Moosejaw was allowed to operate as a standalone brand under Walmart. It retained its site and physical stores as well as its operations in Michigan.
The deal expanded Walmart's presence in the market for outdoor recreational gears at a time when Amazon was also growing rapidly.
Walmart Diversity & Inclusiveness Transparency
As part of our effort to improve the awareness of the importance of diversity in companies, we have highlighted the transparency of Walmart's commitment to diversity, inclusiveness, and social responsibility. This chart illustrates how Walmart reports the diversity of its management and workforce. This shows if Walmart discloses data about the diversity of its board of directors, C-Suite, general management, and employees overall, across a variety of markers. We have indicated that transparency with a ✔.
| Walmart Diversity & Inclusiveness Reporting | |||||
|---|---|---|---|---|---|
| Race | Gender | Ability | Veteran Status | Sexual Orientation | |
| Board of Directors | |||||
| C-Suite | |||||
| General Management | ✔ (U.S. Only) | ✔ (U.S. Only) | |||
| Employees | ✔ (U.S. Only) | ✔ (U.S. Only) | |||
What Is Walmart's Market Cap?
Walmart had a market cap of $636.59 billion as of Oct. 8, 2024.
Why Did Walmart Sell ModCloth?
Walmart's e-commerce unit faced a $1 billion loss in its early years. Selling ModCloth was reportedly a move toward revamping its online sales strategy.
Has Walmart's Total Revenue Increased Over the Years?
It has indeed. Walmart reported $559.1 billion in total revenue in its fiscal year ending Jan. 31, 2021. That figure increased to more than $648.1 billion in its fiscal year ending Jan. 31, 2024.
The Bottom Line
Walmart has been strategically focused on expanding its presence in e-commerce after establishing a firm grip on the brick-and-mortar retail sector. It’s the largest brick-and-mortar retailer in the world with about 10,500 locations in 19 countries. It’s added notable e-commerce sites Flipkart,
Jet.com, and ShoeBuy since 2016. Walmart reported FY 2024 U.S. e-commerce net sales of $65.4 billion, up 22.47% year-over-year.
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