Costco Wholesale Corporation Reports December Sales Results

Rhea-AI Summary

Costco (COST) reported strong December 2024 performance with net sales of $27.52 billion, marking a 9.9% increase from $25.03 billion in the previous year. The company's first eighteen weeks saw net sales reach $94.04 billion, up 8.0% year-over-year.

Comparable sales showed robust growth across regions, with the U.S. leading at 9.3% for the 5-week period. Notably, e-commerce sales surged by 34.4%, benefiting from a 15 percentage point boost due to the timing shift of Thanksgiving/Black Friday/Cyber Monday sales.

Excluding gasoline prices and foreign exchange impacts, total company comparable sales grew 9.9% for the 5-week period and 7.7% for the 18-week period. Costco currently operates 897 warehouses globally, with e-commerce presence in eight countries.

Positive

• Net sales increased 9.9% to $27.52 billion in December
• E-commerce sales grew 34.4% in December
• Total company comparable sales up 7.4% for 5-week period
• Strong U.S. market performance with 9.3% comparable sales growth
• 18-week net sales increased 8.0% to $94.04 billion

Negative

• International comparable sales growth slower at 1.0% for 5-week period
• Canada showing moderate growth at 4.3% compared to U.S. performance

Insights

Financial Analyst

Costco's December performance showcases remarkable strength with $27.52 billion in net sales, marking a robust 9.9% year-over-year growth. The e-commerce surge of 34.4% is particularly noteworthy, though partially inflated by the shifted holiday calendar. Stripping out gasoline price impacts and forex fluctuations, the core business demonstrated solid fundamentals with 9.9% comparable sales growth.

The U.S. market remains the powerhouse, delivering 9.8% comparable sales growth excluding gas and forex. International markets show varying momentum, with Canada posting strong 10.3% comparable growth while other international markets achieved 9.8%. The $94.04 billion in 18-week sales represents steady expansion at 8.0% year-over-year, indicating sustained business momentum.

The membership warehouse model continues to demonstrate resilience and growth potential, with 897 locations globally providing a robust physical presence complemented by accelerating digital capabilities. The e-commerce growth, even accounting for calendar shifts, signals successful digital transformation efforts.

Market Research Analyst

The December results reveal Costco's masterful execution during the important holiday season. The 35.7% e-commerce growth (excluding impacts) reflects successful digital adaptation and changing consumer behaviors. Even adjusting for the 15-point calendar impact, the online performance remains impressive.

Geographic diversification is paying off, with strong performances across markets. The warehouse expansion continues strategically, with presence in 13 countries providing buffer against regional economic fluctuations. The stable growth in mature markets (U.S. and Canada) combined with development in emerging markets (particularly China) positions Costco well for sustained expansion.

For retail investors, these results demonstrate Costco's operational excellence and market leadership. The company's ability to maintain robust growth rates despite its massive scale ($410 billion market cap) showcases the durability of its business model and potential for continued market share gains.

ISSAQUAH, Wash., Jan. 08, 2025 (GLOBE NEWSWIRE) -- Costco Wholesale Corporation (“Costco” or the “Company”) (Nasdaq: COST) today reported net sales of $27.52 billion for the retail month of December, the five weeks ended January 5, 2025, an increase of 9.9 percent from $25.03 billion last year.

Net sales for the first eighteen weeks were $94.04 billion, an increase of 8.0 percent from $87.07 billion last year.

Comparable sales were as follows:

	5 Weeks		18 Weeks
U.S.	9.3%		6.0%
Canada	4.3%		5.3%
Other International	1.0%		4.3%
Total Company	7.4%		5.7%
E-commerce	34.4%		17.1%

Comparable sales excluding the impacts from changes in gasoline prices and foreign exchange were as follows:

	5 Weeks		18 Weeks
U.S.	9.8%		7.5%
Canada	10.3%		7.8%
Other International	9.8%		8.9%
Total Company	9.9%		7.7%
E-commerce	35.7%		17.7%

E-commerce sales in December were positively impacted by an estimated 15 percentage points, due to Thanksgiving / Black Friday / Cyber Monday occurring a week later this year versus last year. Total and comparable sales were positively impacted by approximately one and one-half percent as a result of the shift in E-commerce sales.

Additional discussion of these results is available in a pre-recorded message. It can be accessed by visiting investor.costco.com (click on “Events & Presentations”). This message will be available through 4:00 p.m. (PT) on Wednesday, January 15, 2025.         

Costco currently operates 897 warehouses, including 617 in the United States and Puerto Rico, 109 in Canada, 41 in Mexico, 36 in Japan, 29 in the United Kingdom, 19 in Korea, 15 in Australia, 14 in Taiwan, seven in China, five in Spain, two in France, and one each in Iceland, New Zealand and Sweden. Costco also operates e-commerce sites in the U.S., Canada, the U.K., Mexico, Korea, Taiwan, Japan and Australia.

Certain statements contained in this document and the pre-recorded message constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For these purposes, forward-looking statements are statements that address activities, events, conditions or developments that the Company expects or anticipates may occur in the future. In some cases forward-looking statements can be identified because they contain words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “likely,” “may,” “might,” “plan,” “potential,” “predict,” “project,” “seek,” “should,” “target,” “will,” “would,” or similar expressions and the negatives of those terms. Such forward-looking statements involve risks and uncertainties that may cause actual events, results or performance to differ materially from those indicated by such statements. These risks and uncertainties include, but are not limited to, domestic and international economic conditions, including exchange rates, inflation or deflation, the effects of competition and regulation, uncertainties in the financial markets, consumer and small business spending patterns and debt levels, breaches of security or privacy of member or business information, conditions affecting the acquisition, development, ownership or use of real estate, capital spending, actions of vendors, rising costs associated with employees (generally including health-care costs and wages), workforce interruptions, energy and certain commodities, geopolitical conditions (including tariffs), the ability to maintain effective internal control over financial reporting, regulatory and other impacts related to environmental and social matters, public-health related factors, and other risks identified from time to time in the Company’s public statements and reports filed with the Securities and Exchange Commission. Forward-looking statements speak only as of the date they are made, and the Company does not undertake to update these statements, except as required by law. Comparable sales and comparable sales excluding impacts from changes in gasoline prices and foreign exchange are intended as supplemental information and are not a substitute for net sales presented in accordance with U.S. GAAP.      

CONTACTS:

Costco Wholesale Corporation David Sherwood, 425/313-8239 Josh Dahmen, 425/313-8254 Andrew Yoon, 425/313-6305

COST-Sales

FAQ

What was Costco's (COST) total sales growth in December 2024?

Costco's net sales grew 9.9% to $27.52 billion in December 2024 compared to $25.03 billion in the previous year.

How much did Costco's (COST) e-commerce sales grow in December 2024?

Costco's e-commerce sales increased by 34.4% in December 2024, with an additional 15 percentage point boost from the timing of holiday sales events.

What were Costco's (COST) comparable sales in the U.S. for December 2024?

Costco's U.S. comparable sales increased by 9.3% for the five-week period ending January 5, 2025.

How many warehouses does Costco (COST) operate globally as of January 2025?

Costco operates 897 warehouses globally, including 617 in the United States and Puerto Rico, and locations across 13 other countries.

What was Costco's (COST) 18-week sales performance through January 2025?

Costco's net sales for the first eighteen weeks were $94.04 billion, representing an 8.0% increase from $87.07 billion in the previous year.