TLDR
- Amazon reported $716.9 billion in annual revenue, overtaking Walmart’s $713.2 billion to become America’s largest company by revenue.
- Walmart had held the top spot since 2001, when it knocked Exxon Mobil off the throne.
- Amazon’s revenue grew 12.4% last year versus Walmart’s 4.7%.
- Amazon is targeting 11-15% growth next quarter; Walmart is guiding for 3.5-4.5%.
- AWS now accounts for 18% of Amazon’s total revenue, up 20% year over year.
Amazon has officially knocked Walmart off the top spot, ending a run that lasted nearly a quarter century.
The company reported $716.9 billion in annual revenue, edging past Walmart’s $713.2 billion. It’s a narrow margin, but the direction of travel has been one-way for years.
Walmart first claimed the title in 2001 when it surpassed Exxon Mobil. It held the crown every year until now.
Amazon’s revenue grew 12.4% last year. Walmart grew 4.7%. Those two numbers tell the whole story.
The gap between the two companies is still tight enough that Walmart could theoretically reclaim the title. But right now, the trajectories are moving in opposite directions.
One reason for the difference in growth is how each company makes money. Around 90% of Walmart’s revenue still comes from its stores and website. Amazon pulls from a much wider mix.
AWS and Advertising Drive the Margin
Third-party seller fees, fulfilment services, advertising, and cloud computing all contribute to Amazon’s top line. AWS alone grew 20% and now makes up roughly 18% of total revenue.
That diversity gives Amazon a structural advantage in growing its total revenue figure, even if its core retail operation doesn’t outsell Walmart’s directly.
Amazon is now investing $4 billion to build same-day delivery hubs in rural America. Last year it expanded same-day grocery delivery to more than 2,300 towns.
The company says 100 million customers ordered items for same-day delivery in 2025, and that it delivered at its fastest speeds ever.
Amazon’s U.S. retail market share now sits at around 9%, up from roughly 6% before the pandemic. Walmart’s share is approximately 7.6%, roughly flat over the same period.
Walmart’s Response
Walmart has not stood still. It expanded same-day delivery to 95% of U.S. households and widened its marketplace seller offering.
Around 72% of U.S. households reported buying groceries at Walmart in the past month, according to a December 2025 survey by data-science firm Dunnhumby. That was a 6 percentage point rise from the prior year.
Inside Walmart, leadership had been preparing for this shift for some time. The company has quietly moved away from marketing itself as the “Fortune 1” company, scrubbing the phrase from most job listings.
CEO John Furner told analysts on Thursday: “The future is fast, convenient and personalized.”
Both companies have deployed AI shopping assistants. Walmart says customers who use its AI tool spend around 35% more per order.
Amazon closed several physical grocery stores earlier this year, but says it will continue building new Whole Foods locations. It also plans a large-format retail outlet near Chicago that will sell groceries alongside clothing and home goods.
For next quarter, Walmart is guiding for 3.5-4.5% net sales growth. Amazon is targeting 11-15% growth.
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