Costco on Thursday said it generated $45.28 billion in revenue for its quarter that ended May 9, up almost 22% from the same period last year. Analysts had predicted the club-store chain would report $43.65 billion in revenue.
Consumer spending has climbed this spring, with demand supported by households that saved funds during pandemic-related lockdowns and consumers who received stimulus checks from the federal government.
Domestic spending at shops, restaurants and online rose almost 11% to roughly $620 billion in March from February, and stayed at that level last month, according to the Commerce Department. Some retailers have faced challenges keeping in-demand items on store shelves amid elevated demand and snarls across global supply chains. Costco earlier said it has faced issues getting products like televisions and computers amid a global shortfall in semiconductors.
Costco’s comparable sales, or those from warehouse stores or websites operating for more than one year, were up 15% in the latest quarter after excluding changes in gasoline prices and currency fluctuations.
The Issaquah, Wash.-based company reported a profit of $1.22 billion for the quarter. That was up from $838 million during the year-earlier quarter and beat the $1.01 billion in net income that analysts were looking for, according to FactSet. Earnings rose to $2.75 a share from $1.89 a share.
Earlier this month, Costco executives said that vaccinated shoppers and employees would no longer need to wear masks, though the company recommended that workers continue to do so.
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