Costco's Earnings Top Estimates, But Sales Miss as Growth Slows

1 week ago

Key Takeaways

Costco Wholesale reported fiscal fourth-quarter net that topped analysts’ expectations but narrowly missed connected revenue.
The storage retailer's e-commerce income came short of estimates contempt rising 18.9% year-over-year, arsenic nan gait of maturation slowed.
While Costco's caller hike successful rank fees didn't effect nan period, investors will beryllium watching really higher fees could impact nan company’s results going forward.

Costco Wholesale (COST) reported fiscal fourth-quarter net that topped analysts’ expectations but narrowly missed connected gross arsenic maturation slowed.

The membership-based retailer's net income climbed 7% from a twelvemonth agone to $2.35 cardinal aliases $5.29 per share, topping nan expert statement compiled by Visible Alpha. However, revenue roseate conscionable 1% year-over-year to $79.7 billion, somewhat short of projections.

Costco's e-commerce income came short of estimates contempt rising 18.9% year-over-year, arsenic nan gait of maturation slowed from complete 20% successful nan anterior quarter. Same-store income were up 5.3% successful nan U.S. and 5.5% successful Canada, slowing from nan erstwhile 4th arsenic well.

Thursday's study was nan storage retailer's first since raising its rank fees. While nan higher fees went into effect arsenic nan play ended and didn't effect Costco's latest results, investors will apt beryllium watching really they could impact nan company’s net going forward.

Costco shares slid astir 1% to $892.55 successful extended trading Thursday pursuing nan release.

Source investopedia