Walmart Health is shuttering after five years of providing in-person and virtual primary care services, often in clinics operating out of its retail centers. Walmart said it came to a decision to close its health division after it “determined there is not a sustainable business model” to justify their operations.
All 51 of Walmart’s doctor-staffed care centers are closing; however, the company has not set a date for when. Currently, in-person locations in Arkansas, Florida, Georgia, Illinois and Texas are still open as the company looks to transition patients to other providers.
The Walmart Health spinoff was established to provide primary care services to underserved communities with limited access to affordable care. However, in a statement, the company said “the challenging reimbursement environment and escalating operating costs” ultimately left it unprofitable and unsustainable.
The decision to close the clinics feels rather abrupt. In 2022, Walmart had expansion plans for healthcare that included new clinics in new cities. In November 2023, the company entered into its first coordinated care agreements and began a partnership with Orlando Health for specialty care referrals.
According to Forbes coverage from March, Walmart Health was on track to have 70 clinics by the end of 2024.
Walmart’s vision care and pharmacies are not closing and will remain open. It’s not clear when virtual telehealth services will cease, and for now the website remains operational.
Chad is an award-winning writer and editor with over 15 years of experience working in media. He has a decade-long professional background in healthcare, working as a writer and in public relations.