Costco Wholesale Misses Quarterly Revenue Estimates

Dow Jones
Sep 25

Quarterly sales for Costco Wholesale trailed expectations on Thursday as the retailer navigated economic headwinds while seeking ways to boost profitability.

Membership revenue declined for a third-straight quarter for Costco as fees rose 7.3% year over year to $1.5 billion, missing the mark on analyst estimates of $1.8 billion, suggesting its reliance on high-income shoppers faltered in recent months.

Costco reported $6.75 earnings a share in its fiscal fourth quarter, and revenue rose 11% year over year to $93.8 billion. Analysts had forecast $6.54 earnings a share and $94.9 billion in revenue, according to FactSet. Full-year earnings rose 14% to $20.78 a share as revenue increased 10% to $297.2 billion. Analysts expected earnings a share of $20.50 and $302.3 billion in annual revenue.

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