In a historic shift atop the global retail industry, Amazon surpassed Walmart in annual sales for the first time, according to year-end filings released Feb. 19.
Amazon reported $716.9 billion in revenue for 2025, edging past Walmart’s $713.2 billion. The milestone marks a significant turning point in the evolution of global retail, underscoring the accelerating growth of e-commerce and digital infrastructure.
Walmart, headquartered in Bentonville, Arkansas, delivered strong fiscal-year results for the period ending Jan. 31, highlighted by 27% online sales growth between November 2025 and January 2026.
Despite the gains, company leadership signaled caution amid broader economic uncertainty.
“Given that we are as large as we are and so tied to consumer health and the economy, we want to maintain maximum flexibility and not get out ahead of ourselves at this point in the year,” said Chief Financial Officer John David Rainey during the company’s earnings call. Rainey cited a fragile job market and rising student loan delinquencies as key concerns.
In his first earnings report as CEO, John Furner emphasized Walmart’s adaptability in a rapidly evolving retail environment.
“The pace of change in retail is accelerating,” Furner said in a statement. “It’s exciting. And our financial results show that we’re not only embracing this change, we’re leading it.”
The company announced an increase in its annual dividend to $0.99 per share and authorized a new $30 billion share repurchase program, signaling confidence in its long-term outlook. Walmart’s stock has risen more than 25% since its last quarterly report, and earlier this month the retailer became the first non-technology company to surpass a $1 trillion market valuation.
Executives noted that higher-income households—those earning more than $100,000 annually—accounted for the majority of recent share gains. However, the company continues to see financial strain among lower-income consumers, with many households earning below $50,000 managing expenses paycheck to paycheck. Even so, leadership said convenience remains nearly as important as price across income groups.
Meanwhile, Amazon’s strong 2025 performance has been followed by early turbulence in 2026. After reporting mixed results on Feb. 2, the company’s shares are down 11.25% year-to-date as of Feb. 19.
Management announced plans to invest approximately $200 billion this year to expand artificial intelligence infrastructure and disclosed plans to eliminate roughly 16,000 roles as part of a broader restructuring initiative aimed at streamlining management and redirecting resources toward AI and other strategic priorities.
The reshuffling at the top of global retail underscores a broader transformation in consumer behavior, digital commerce, and technology investment that continues to reshape the competitive landscape.
