Costco has a revenue increase of 7.5% in Q1 FY25

On By Littum

Costco Wholesale recorded a robust financial performance for the first quarter of fiscal year 2025, with net sales reaching $60.99 billion. – an increase of 7.5% from the $56.72 billion reported in the corresponding quarter of the previous year.

For the 12 weeks ending November 24, 2024, Costco saw a 5.2% increase in comparable sales, with the United States and Canada contributing increases of 5.2% and 5.8%, respectively.

The company’s comparable e-commerce sales rose 13% and adjusted e-commerce comparable sales rose even higher to a 13.2% increase in Q1 FY25.

Costco’s operating income escalated to $5.84 billion. in Q1 FY25, up from $5.35bn. recorded in Q1 FY24.

Net income followed suit, rising 13.1% to reach $1.79 billion. in the quarter compared to $1.58 billion. in the same period in the previous financial year.

Shareholders saw earnings per share rise to $4.04 in Q1 FY25, up from $3.58 reported in the same quarter a year earlier.

The year’s financial results were supported by a tax benefit of $100 million. or $0.22 per diluted stock arising from stock-based compensation – a significant increase from the prior year’s tax benefit of $44 million. or $0.10 per diluted share.

Costco’s gross margin also strengthened, registering 11.28% for Q1 FY25, an improvement of 24 basis points over the previous year’s figure.

The company operates a network of 897 warehouses globally, including 617 warehouses across the United States and Puerto Rico, along with 109 warehouses in Canada, 41 in Mexico, 36 in Japan and 29 in the United Kingdom.

In an update ahead of these full-year results, Costco reported net sales for November 2024, spanning the four weeks ending December 1, 2024, at $21.87 billion. USD.

This reflects an increase of 5.6% from the $20.71 billion. achieved in the same period the previous year.

During the first quarter of fiscal 2025, the company expanded its infrastructure by inaugurating seven more warehouses. Its forecast for the financial year remains unchanged with plans to launch a total of 29 warehouses.

Three will be replacements for existing facilities, resulting in a net increase of 26 new warehouses.

By shifting the focus to income from membership fees, the reported figures reached 1.166 billion. USD – an increase of 84 million USD or a growth of 7.8% compared to the previous year. This growth in dues revenue remains constant at 7.8%, even when currency fluctuations are not taken into account.

“Costco posts 7.5% revenue rise in Q1 FY25” was originally created and published by Retail Insight Networka GlobalData owned brand.