Skip to content

Costco’s first quarter sales and earnings beat forecast

Table of Contents

ISSAQUAH, Wash. — Costco Wholesale Corp. reported strong results for the first quarter of fiscal 2022, with sales and earnings that beat analysts’ expectations.

Net sales for the first quarter, which ended on November 21, increased 16.7% to $49.42 billion, up from $42.35 billion in the same quarter last year. Net income for the quarter was $1.324 billion, or $2.98 per diluted share, compared to $1.17 billion, or $2.62 per diluted share, last year.

Comparable sales in the United States increased 14.9% (9.9% when the effects of gasoline sales are excluded). For the whole company, comp-store sales increased 15% (9.8% when gasoline sales and foreign exchange rates changes are excluded).

E-commerce comp-store sales increased 14.3% (13.3% adjusted), and chief financial officer Richard Galanti noted in a conference call that Costco is promoting the online shopping option in its clubs.

“We’re rolling out new e-com kiosks in the warehouse with video signage and easy touchscreen ordering as well,” Galanti said. “We’re rolling out e-commerce lockers. Currently in the U.S., we have 112 locations with lockers, and we plan to more than double that number during calendar year 2022.”

Galanti also called out a program called Costco Next, which first launched in 2017 and has been expanded. “In a way it’s like our warehouse road shows, but online,” Galanti said. “Currently, there are 34 suppliers and growing, but it’s still quite small, offering just under 1,000 items, curated items with Costco values.”

Costco opened nine new warehouse clubs in the first quarter, bringing its total to 828, including 572 in the United States and Puerto Rico, 105 in Canada, 40 in Mexico, 30 in Japan, 29 in the United Kingdom, 16 in Korea, 14 in Taiwan, 13 in Australia, four in Spain, two each in France and China, and one in Iceland.