Key Takeaways
- Costco Wholesale Corp. reported sales during the key holiday shopping season were up almost 10% from the same period in 2022, boosted by demand for both food and non-food items.
- Comparable store sales increased 8.5%, led by a 17.7% jump in e-commerce sales.
- Sales got a 3% boost from one extra selling day this year because of the timing of New Year’s Day.
Shares of Costco Wholesale Corp. (COST) advanced after the biggest U.S. warehouse retailer reported a strong holiday shopping season.
Costco on Thursday reported sales for the five weeks from Nov. 27 to Dec. 31 totaled $26.15 billion, up almost 10% from 2022.
Comparable store sales rose 8.5%. They were up 7.3% in the U.S., 12.8% in Canada, and 10.5% in other countries. E-commerce sales jumped 17.7%. The company noted that 2023 had one more shopping day than the year before because of when New Year’s Day fell. That benefited total and comparable sales by about 3%.
Costco noted sales of food and sundries and non-foods departments were up by high-single-digit percentages. It added that weaker departments were toys and seasonals, sporting goods, and office supplies.
The company said it operates 871 warehouses worldwide, an increase of 24 over the previous year. Six hundred of them are situated in the U.S.
Costco shares hit an all-time high last month and, although they have slid somewhat since then, they’re still up more than 35% over the past year. The stock was up about 1% at $655.15 as of 12:30 p.m. ET Friday.
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