By Tomi Kilgore and Claudia Assis
Same-store sales increased the most in five quarters, and beat expectations for an 11th straight quarter
Costco Wholesale Corp. reported fiscal third-quarter profit, revenue and same-store sales that all beat Wall Street forecasts, but shares of the membership-based warehouse retailer pulled back from a record high.
The stock (COST) slipped 0.9% in Thursday’s after-hours session, after closing the regular session up 1.1% at a record $815.34.
Net income for the quarter to May 12 rose to $1.68 billion, or $3.78 a share, from $1.30 billion, or $2.93 a share, in the same period a year ago. That beat the FactSet consensus for earnings per share of $3.70.
Total revenue grew 9.1% to $58.52 billion, above the FactSet consensus of $58.02 billion, as net sales increased 9.1% to $57.39 billion and membership fees were up 7.6% to $1.12 billion.
Comparable sales, or sales from stores open at least a year, rose 6.6% to beat the FactSet consensus of 6% growth. That marked the biggest increase since it rose 6.8% during 2023’s fiscal second quarter, and the 11th straight quarter that growth beat expectations.
In the U.S., same-store sales increased 6.2%, and rose 7.7% in both Canada and in other international markets.
E-commerce sales jumped 20.7% from a year ago.
Costco shares have rallied 23.5% so far this year through Thursday’s close, compared with a gain of 5.7% for the Consumer Staples Select Sector SPDR ETF XLP and the S&P 500 index’s SPX 9.8% advance.