Companies /Consumer Defensive

Costco Wholesale Corp

NASDAQ: COST Discount Stores
$934.66
▼ $21.46 (−2.24%) today
Markets closed · 5:03am ET

Q1 2026 Earnings

Reported Dec 11, 2025, 4:22pm ET · SEC source
$4.50
Beat +5.19%
EPS · est. $4.28
$67.3B
Beat +0.29%
Revenue · est. $67.1B
+6.6%
Beating market
COST vs S&P since report
5 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−1.8%−1.2%−0.6%0Dec 11Dec 12report 4:22pm ETearnings−1.2%−0.0%
−1.8%−1.2%−0.6%0Dec 11Dec 12earnings−1.2%−0.0%
COST −0.0%S&P 500 −1.2%
−2.4%−1.6%−0.8%0Dec 11Dec 12report 4:22pm ETearnings−2.4%−0.0%
−2.4%−1.6%−0.8%0Dec 11Dec 12earnings−2.4%−0.0%
COST −0.0%NASDAQ −2.4%
−2%0Dec 10Dec 19report 4:22pm ETearnings−1.4%−2.4%
−2%0Dec 10Dec 19earnings−1.4%−2.4%
COST −2.4%S&P 500 −1.4%
−4%−2%0Dec 10Dec 19report 4:22pm ETearnings−1.7%−2.4%
−4%−2%0Dec 10Dec 19earnings−1.7%−2.4%
COST −2.4%NASDAQ −1.7%
+0.00%
Day of report
−2.70%
Next session
−3.26%
One week
+8.17%
30 days

S&P 500 over the same 30 days: +1.54%.

Did COST Beat Earnings? Q1 2026 Results

Costco Wholesale delivered a clean beat across the board in its <a href="https://247wallst.com/investing/2025/12/11/live-costco-cost-q1-earnings-coverage/">fiscal first quarter results</a>, posting earnings of $4.50 per diluted share against a Wall Street consensus of $4.28 — a 5.19% beat — while revenue climbed 8.3% year-over-year to $67.31 billion, edging past the $67.12 billion estimate. The standout driver behind the quarter's strength was membership fee income, which surged 14.0% to $1.33 billion as paid memberships rose 5.2% to 81.4 million, underpinned by last year's fee increase and an unwavering worldwide renewal rate of 89.7%. Comparable sales grew 6.4% globally, with digital channels particularly energized — ecommerce comparable sales jumped 20.5%, fueled by a 24% rise in site traffic. Gross margin ticked up 4 basis points to 11.32%, and operating cash flow strengthened meaningfully to $4.69 billion from $3.26 billion a year ago. Looking ahead, Costco plans to open roughly 21 additional warehouses for the remainder of fiscal 2026, targeting 942 total locations by year-end, signaling continued confidence in its long-term expansion trajectory.

Key Takeaways
  • Total comparable sales grew 6.4%, with 3.1% traffic growth and 3.2% ticket growth
  • Digitally-enabled comparable sales surged 20.5%, with ecommerce site traffic up 24% and average order value up 13%
  • Membership fee income grew 14.0% to $1.329 billion driven by fee increase and membership growth
  • Paid memberships grew 5.2% to 81.4 million; total cardholders grew 5.1% to 145.9 million
  • Executive memberships reached 39.7 million, representing 74.3% penetration of sales
  • Gross margin improved 4 bps to 11.32%, with core-on-core sales leverage of 30 bps
  • Working capital changes contributed significantly to operating cash flow improvement
  • Canada comparable traffic led all segments at 5.0%

Forward Guidance & Outlook

Costco plans to open approximately 21 additional warehouses during the remainder of fiscal year 2026, targeting a total of 942 locations by fiscal year-end, including an estimated 16 in the U.S., 3 in Canada, and 2 in Other International markets.

COST YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$20.0B$40.0B$60.0B$62.1B$67.3BRevenue$8.0B$7.5BGross Profit$2.2B$2.5BOperating Income$1.8B$2.0BNet Income
$0$20.0B$40.0B$60.0BRevenueGross ProfitOperating IncomeNet Income

COST Revenue by Segment

Net Sales$66.0B+8.2%
Membership Fees$1.3B+14.0%

Figures from SEC filings and company reports. Not investment advice.