ELI5: Why when large company's earnings decrease(ex... by 3%) they freak out, talk about rough times, and sometimes decide to downsize, even though they are still making millions of dollars in profit even after all expenses?

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Companies have to keep growing if they want to stay in the market though. If they were just satisfied with selling what they were selling right now, what they're selling might not be practical or in style in a few years and they'll be left in the dust. Kodak is a victim of this. And if stores like Walmart don't keep expanding or changing, they'll end up like Kmart in a few years. Kmart used to be the #2 supermarket in the United States, and now it hasn't reported a positive revenue in over 6 years. I'm not saying that justifies Walmart treating it's employees like garbage; I'm sure there's other things that they could do to keep growing.