Inventory Turnover › Walmart

Walmart Inventory Turnover: Multi-Year 10-K History

Walmart Inc (WMT) reported 9.4x inventory turnover in fiscal 2025, recovering from a post-COVID low of 8.2x in FY23. All figures below pulled directly from the company 10-K filings on SEC EDGAR.

FY22 - FY25 turnover history

Fiscal YearCOGSInv (start)Inv (end)Turnover
FY22 (ended Jan 2022)$429.0B$44.95B$56.51B8.4x
FY23 (ended Jan 2023)$463.7B$56.51B$56.58B8.2x
FY24 (ended Jan 2024)$490.1B$56.58B$54.89B8.8x
FY25 (ended Jan 2025)$520.9B$54.89B$56.40B9.4x

Source: Walmart Inc 10-K filings, fiscal years 2022-2025. Turnover calculated as COGS divided by average inventory (opening plus closing divided by 2). Walmart filings index.

Year-by-year commentary

FY22 (ended Jan 2022)

Inventory built sharply post-COVID-19 demand normalisation.

FY23 (ended Jan 2023)

Inventory held flat YoY; turnover dipped on COGS growth.

FY24 (ended Jan 2024)

Inventory reduction restored turnover; markdown drag eased.

FY25 (ended Jan 2025)

Productivity push: smaller absolute inventory base relative to COGS growth.

LIFO accounting and the inventory line

Walmart uses the LIFO (Last-In-First-Out) inventory accounting method for the majority of US operations, disclosed in Note 1 of every annual 10-K. International segments use FIFO or weighted-average per local GAAP. The LIFO reserve disclosed in the 10-K notes (a non-trivial figure) means the carrying value of inventory on the balance sheet is below current replacement cost.

For turnover comparison purposes:

  • Walmart turnover figures using GAAP-reported inventory overstate the operational efficiency relative to a FIFO peer.
  • Adding back the LIFO reserve (FIFO-equivalent inventory) reduces reported turnover by approximately 0.3-0.5x.
  • The IRS LIFO conformity rule requires book and tax inventory methods to match, so this is not a discretionary disclosure.

See IRS Publication 538 for LIFO accounting rules and our LIFO vs FIFO page for retailer-by-retailer choices.

Walmart OTIF programme

Walmart operates one of the most disciplined supplier perfect-order programmes in US retail. The OTIF (On Time In Full) target is 98% delivery accuracy at the case level; misses incur a 3% chargeback on invoice value. The programme materially affects inventory turnover for Walmart suppliers because:

  • Suppliers carry extra safety stock to hedge OTIF risk, raising their own inventory.
  • Walmart can run leaner DC inventory because incoming reliability is high.
  • The system pushes inventory upstream, improving Walmart turnover at the cost of supplier turnover.

Related

Updated 2026-05-11