Costco Wholesale Corp
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −13.79%.
Did COST Beat Earnings? Q2 2025 Results
Costco Wholesale delivered solid but slightly disappointing fiscal second-quarter results for the twelve weeks ended February 16, 2025, posting earnings of $4.02 per diluted share against Wall Street's estimate of $4.11, sending shares lower after the report. Total revenue reached $63.72 billion as net sales climbed 9.1% to $62.53 billion, with the quarter's headline growth partially obscured by a $0.21 per diluted share tax benefit embedded in the year-ago period — strip that out, and both net income and EPS grew 8.4%. The clearest engine behind the results was e-commerce, where comparable sales surged 20.9%, fueled by strong demand in gold and jewelry, home furnishings, and small electrics. Membership metrics held firm, with paid memberships rising 6.8% to 78.4 million and the U.S.-Canada renewal rate steady at 93.0%. Looking ahead, Costco plans to open roughly 18 additional warehouses before fiscal year-end, targeting approximately 915 locations globally, even as management cautioned that tariff uncertainty and inflation could temper <a href="https://247wallst.com/investing/2025/05/29/costco-cost-earnings-stock-split-buzz-builds-as-shares-test-record-highs/">consumer spending in coming quarters</a>.
- 9.1% adjusted comparable sales growth excluding gas and FX impacts
- 5.7% comparable traffic growth across all segments
- E-commerce comparable sales growth of 20.9% (22.2% adjusted for FX)
- Strong membership metrics with 90.5% worldwide renewal rate
- Gross margin improvement of 5 basis points to 10.85%
- SG&A expense improvement of 8 basis points to 9.06%
- Executive membership penetration at 73.8% of sales
- Membership fee income growth of 7.4% (9.4% ex-FX)
Forward Guidance & Outlook
Costco estimates opening approximately 18 new warehouses in the remainder of fiscal 2025, bringing the total to an estimated 915 warehouses by fiscal year-end. The company continues to invest in lowering everyday low prices across key Kirkland Signature products and expanding its e-commerce and logistics capabilities.
COST YoY Financials
COST Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.