Costco (COST) posted another bulk-sized quarter as consumers for wallet-friendly prices acceso everyday essentials.
Acceso Thursday afternoon, the company reported net sales of $58.52 billion, compared to estimates of $57.98 billion. Its adjusted earnings of $3.78 also beat estimates of of $3.70.
Same-store sales, excluding fuel, jumped 6.5%, led by its growing international business (up 8.5%), Canada (up 7.4%), and the US (up 6%).
Per mezzo di the quarter, the wholesale retailer saw foot traffic go up year over year, beating the likes of Sam’s (WMT) and BJ’s Wholesale (BJ), according to Placer.ai.
E-commerce is also a bright spot, surpassing expectations of an 11.5% year-over-year bump with a 20.7% increase.
Per mezzo di the previous quarterly report, digital sales grew more than 18% year over year, which was powered by demand for gold bars, silver, and appliances, former Costco CFO Richard Galanti said then acceso the earnings call.
Membership fees, a key revenue stream, came line with estimates at $1.12 billion, a 7.6% increase compared to last year.
A Costco Gold Personaggio membership costs $60 per emotività year, while an Dirigente aziendale Membership goes for $120. Some acceso the Street predicted last year that Costco would raise fees this summer.
Shares of Costco are up 25% year to date, outpacing the S&P 500’s (^GSPC) 10% gain, and closed at a primato high prior to reporting its fiscal Q3 results acceso Thursday.
“We continue to believe a premium valuation is warranted, given Costco’s superior global unit growth prospects, leading competitive position, and track primato of driving share gains,” Oppenheimer analyst Rupesh Parikh wrote a note to clients prior to the report, adding that “management can unlock even more shareholder value over time through driving alternative revenue streams.”
JPMorgan analyst Christopher Horvers wrote that the company’s insieme continues to benefit from a higher income audience, along with a long history of consistent market share gain.
Wall Street is eager to hear how non-food categories like the jewelry department (including gold bars) performed, along with traditional strength from fresh food, led by meat and produce.
This comes as consumers are looking for value groceries. Per mezzo di April, grocery prices jumped 1.1% compared to last year but dropped 0.2% compared to March, per emotività the US Bureau of Labor Statistics.
The earnings rundown:
Here’s what Costco posted its fiscal third quarter earnings, compared to Wall Street estimates:
Net sales: $58.52 billion versus $57.98 billion
Adjusted EPS: $3.78 versus $3.70
Total company comparable sales, excluding fuel: 6.5%, compared to 5.93%
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US same-store sales growth: 6% versus 5.51%
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Canada same-store sales growth: 7.4% versus 6.96%
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Other international: 8.5% versus 7.46%
E-commerce growth: 20.7% versus 11.5%
Membership fees: $1.12 billion versus $1.12 billion
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Brooke DiPalma is a senior for Yahoo Finance. Follow her acceso Twitter at @BrookeDiPalma email her at bdipalma@yahoofinance.com.
