The news: Walmart reported strong gains in its ads business in Q1 as it continued to cement its retail media dominance.

By the numbers:

• Global ad business revenues: +37% YoY; Walmart did not break out specific dollar amounts
• US advertising: +36% YoY
• US Walmart Connect ad revenues excluding Vizio: +44% YoY
• Walmart international ad revenues: +32%, attributed to momentum at Indian retail and ecommerce business Flipkart, which Walmart owns a majority stake in

Behind growth: Our forecast reaffirms Walmart’s strong growth. We expect the company’s US ad revenues will grow 30.7% this year to $6.65 billion after skyrocketing 54.3% in 2025 (its FY2025 global ad revenues totaled $6.4 billion, per its Q4 earnings release). Double-digit growth will continue through 2028. These gains are attributable to a few key strategies: