Costco Wholesale (COST) reported better-than-expected fiscal fourth quarter results. Earnings of $4.86 per share was better than the $4.78 analysts were expecting. Revenue was $78.94 billion, topping estimates of $77.72 billion. Yahoo Finance Live breaks down the retailer's latest quarterly report.
Video Transcript
- We got Costco reporting its numbers here today, its fiscal fourth quarter. The company reporting earnings per share of $4.86. That is above the $4.78 estimated by analysts. Also got to check out its US comparable sales.
Ex gas up 3.1%. Ex gas and currency effects, I should say, up 3.1% versus the 3.29% estimated on that front by analysts. And revenue for the company as well, we saw them-- that rising to $78.94 billion, which is slightly ahead of estimates.
I should say, the comp sales I mentioned are US comp sales, specifically. Overall, globally, its total company comp sales, including gas and currency effects, 1.1% increase versus 1.9% estimated by analysts. So the shares pulling back a smidge, a little bit, in after hours trading.
- Just a bit. You wait for the conference call. See what kind of color we get.
- Well-- and speaking of the conference call, one of the things that we have been waiting for potentially from Costco, and that analysts have flagged, when are they going to raise their membership dues again? We haven't seen a raise from Costco in quite some time. We don't see any kind of mention of that in the release, presumably would come in the conference call. The conference call beginning at 5:00 PM Eastern. We will be listening avidly--
- Very intently.
- To see if that is what's coming. But Costco is interesting for-- on a number of different fronts, right? How is Costco faring in an environment where we are seeing the lower income consumers start to feel some stress? That has been benefiting the likes of Walmart, for example, in the past, as people are trading down higher income consumers even been trading down to Walmart. What is happening with Costco at this moment?
It's on a different cadence in terms of its reporting than the other retailers. So we'll get a little bit of extra later time, if you will. We were also talking earlier in our meeting, we just mentioned Target closing some stores, in urban areas in particular, because of theft. How does Costco hold up on that front? Is it more resistant to that issue?
- You would think so, in part because what you're buying in Costco, in part to get in. That's one difference.
- To show your membership.
- That's a difference. Also, when you go to Costco, you're loading up at least the Lipton family on 70 hot dogs. It can make a difference when it comes to retail theft, I would think.
- 70 hot dogs. Is that what you guys are buying?
- I mean, may exaggerate--
- You got your bookshelf on Etsy. You got your 70 hot dogs.
- Honestly, these companies should be sending me some type of check. The name-dropping I'm mentioning is unbelievable.
- Well, we got to talk about them, anyway. It's all good.
