Costco Q1 2026 Earnings Report Highlights

Costco on Thursday surpassed Wall Avenue’s quarterly expectations as its gross sales rose 8.2% 12 months over 12 months.

The warehouse membership doesn’t share a full-year outlook. The corporate is predicted to share extra particulars in regards to the quarter throughout an earnings name, which begins at 5 p.m. ET.

Here is how Costco did in its fiscal first quarter in contrast with what Wall Avenue was anticipating, primarily based on a survey of analysts by LSEG:

• Earnings per share: $4.50 vs. $4.27 anticipated
• Income: $67.31 billion vs. $67.14 billion anticipated

Costco has attracted new members and better gross sales at its golf equipment and on-line as U.S. shoppers throughout incomes search worth whereas purchasing for groceries, family necessities, vacation presents and extra.

Together with its warehouse membership rivals, Costco has gained traction with youthful clients who’re signing up for memberships. Costco has additionally benefitted from a membership payment enhance within the U.S. and Canada, which took impact in September 2024, and kicked in as new members signed up or as current clients’ renewed their annual memberships after they lapsed.

Within the three-month interval that ended Nov. 23, Costco’s internet revenue rose to $2 billion, or $4.50 per share, from $1.80 billion, or $4.04 per share, within the year-ago quarter. Income elevated to $67.31 billion from $62.15 billion within the year-ago quarter.

Comparable gross sales, an business metric that takes out the affect of one-time components like retailer openings and closures, elevated 5.9% within the U.S. and 6.4% throughout the globe. Digital gross sales jumped by 20.5% 12 months over 12 months.

As a warehouse membership, Costco depends on membership charges to spice up its income and assist maintain the worth of its gadgets low. With increased tariffs, nonetheless, the retailer has handled rising prices. A couple of third of Costco’s U.S. gross sales come from imported items.

On an earnings name in September, Chief Monetary Officer Gary Millerchip stated Costco has appeared for methods to scale back the affect of the duties, together with introducing new gadgets from its private-label model, Kirkland Signature, as a substitute for items hit by tariffs and swapping out classes or gadgets to ones that are not as uncovered to steep tariff prices.

In late November, Costco sued the Trump administration to get a full refund of recent tariffs that it has paid to date this 12 months and to dam these import duties from being collected from the corporate because it waits for a Supreme Courtroom ruling on the duties.

As of Thursday’s shut, Costco’s shares have declined practically 4% to date this 12 months. That trails the S&P 500’s 17% beneficial properties throughout the identical interval. Nonetheless, over the previous 5 years, Costco’s inventory has jumped by 141%. The corporate’s inventory closed at $884.48 on Thursday, bringing its market worth to $392.67 billion.

That is breaking information. Please examine again for updates.