Costco Wholesale Corporation Reports Third Quarter and Year-To-Date Operating Results For Fiscal 2026

Costco (Nasdaq:COST) reported strong fiscal 2026 Q3 and year-to-date results for the period ended May 10, 2026.

Rhea-AI Summary

Costco (Nasdaq:COST) reported strong fiscal 2026 Q3 and year-to-date results for the period ended May 10, 2026.

Q3 net sales rose 11.6% to $69.15 billion and net income reached $2.19 billion, or $4.93 per diluted share. Year-to-date net sales were $203.37 billion, with net income of $6.23 billion, or $14.01 per diluted share.

Adjusted comparable sales grew 9.8% in Q3 and 7.9% year-to-date, while digitally-enabled sales increased over 21%. Membership fee revenue reached $1.37 billion in Q3 and $4.06 billion year-to-date. Operating cash flow for the first 36 weeks was $11.13 billion.

Positive

• Q3 net sales up 11.6% to $69.15 billion
• Year-to-date net sales up 9.6% to $203.37 billion
• Q3 net income increased to $2.19 billion, $4.93 diluted EPS
• Year-to-date net income rose to $6.23 billion, $14.01 diluted EPS
• Adjusted Q3 comparable sales grew 9.8% company-wide
• Digitally-enabled sales up 21.5% in Q3 and 21.6% year-to-date
• Q3 membership fees increased to $1.37 billion; $4.06 billion year-to-date
• Operating cash flow for 36 weeks rose to $11.13 billion
• Cash and cash equivalents increased to $18.95 billion from $14.16 billion

Negative

• Q3 merchandise costs increased to $61.52 billion from $54.99 billion
• Q3 selling, general and administrative expenses rose to $6.19 billion from $5.68 billion
• Net cash used in investing activities grew to $4.16 billion from $3.34 billion
• Total liabilities increased to $52.92 billion from $47.94 billion

Argus May 29 session

-3.91% close to close Open Argus

Details

News Market Reaction – COST

In the May 29 session, COST declined 3.91%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement highlighted solid Q3 2026 performance, with net sales of $69.154B, net income of $...

Analysis

This announcement highlighted solid Q3 2026 performance, with net sales of $69.154B, net income of $2.192B, and continued growth in digitally-enabled and comparable sales. Membership fee revenue and global warehouse count also increased, reinforcing Costco’s scale and cash generation. Investors may track future quarterly trends in comps, e-commerce growth, operating income, and capital allocation (dividends and buybacks) as key markers of ongoing execution.

Key Figures

Q3 net sales: $69.154B Q3 net sales prior year: $61.965B Q3 net income: $2.192B +5 more

Q3 net sales

$69.154B

12 weeks ended May 10, 2026

Q3 net sales prior year

$61.965B

12 weeks ended May 11, 2025

Q3 net income

$2.192B

12 weeks ended May 10, 2026

Q3 diluted EPS

$4.93

12 weeks ended May 10, 2026

Membership fees Q3

$1.373B

12 weeks ended May 10, 2026

Warehouses operated

931

Global warehouse count at May 10, 2026

Cash & equivalents

$18,946M

Balance sheet at May 10, 2026

Operating cash flow

$11,133M

Net cash from operating activities, 36 weeks 2026

Previous Earnings Reports

5 past events · Latest: Mar 05

Same Type 5 events

1. Mar 05

   Q2 2026 earnings

   24h Move

   +1.6%

   Q2 net sales and net income rose with broad-based comparable sales gains.

2. Dec 11

   Q1 2026 earnings

   24h Move

   +0.0%

   Q1 net sales, net income, membership fees, and cash balance all increased.

3. Sep 25

   FY 2025 results

   24h Move

   -2.9%

   Q4 and full-year 2025 net sales and net income showed solid growth.

4. May 29

   Q3 2025 earnings

   24h Move

   +3.1%

   Q3 2025 net sales, net income, and e-commerce grew strongly year-over-year.

5. Mar 06

   Q2 2025 earnings

   24h Move

   -6.1%

   Q2 2025 delivered higher net sales and net income with solid February sales.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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ISSAQUAH, Wash., May 28, 2026 (GLOBE NEWSWIRE) -- Costco Wholesale Corporation (“Costco” or the “Company”) (Nasdaq: COST) today announced its operating results for the third quarter (twelve weeks) and the first 36 weeks of fiscal 2026, ended May 10, 2026.

Net sales for the quarter increased 11.6 percent, to $69.15 billion, from $61.96 billion last year. Net sales for the first 36 weeks increased 9.6 percent, to $203.37 billion, from $185.48 billion last year.

Comparable sales for the third quarter and first 36 weeks of fiscal 2026 were as follows:

	12 Weeks		12 Weeks		36 Weeks		36 Weeks
			Adjusted*				Adjusted*
U.S.	9.4%		6.8%		7.1%		6.4%
Canada	10.7%		6.2%		9.1%		7.6%
Other International	11.2%		5.9%		11.0%		6.6%
Total Company	9.8%		6.6%		7.9%		6.6%
Digitally-Enabled	21.5%		20.8%		21.6%		21.1%

*Excluding the impacts from changes in gasoline prices and foreign exchange.

Net income for the quarter was $2.19 billion, $4.93 per diluted share, compared to $1.90 billion, $4.28 per diluted share, last year. Net income for the first 36 weeks was $6.23 billion, $14.01 per diluted share, compared to $5.49 billion, $12.34 per diluted share, last year.

Costco currently operates 931 warehouses, including 639 in the United States and Puerto Rico, 115 in Canada, 43 in Mexico, 37 in Japan, 29 in the United Kingdom, 20 in Korea, 15 in Australia, 14 in Taiwan, seven in China, five in Spain, three in France, two in Sweden, and one each in Iceland, and New Zealand. Costco also operates e-commerce sites in the U.S., Canada, the U.K., Mexico, Korea, Taiwan, Japan, Australia, and China.

A conference call to discuss these results is scheduled for 2:00 p.m. (PT) today, May 28, 2026, and is available via a webcast on investor.costco.com (click on “Events & Presentations”).

Certain statements contained in this document 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 and global conflicts), 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
	Josh Dahmen, 425/313-8254
	Andrew Yoon, 425/313-6305
	Bryan Starnes, 425/427-7403

COST-Earn

COSTCO WHOLESALE CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF INCOME  (dollars in millions, except per share data) (unaudited)
	12 Weeks Ended								36 Weeks Ended
	May 10, 2026				May 11, 2025				May 10, 2026				May 11, 2025
REVENUE
Net sales	$	69,154			$	61,965			$	203,374			$	185,480
Membership fees		1,373				1,240				4,057				3,599
Total revenue		70,527				63,205				207,431				189,079
OPERATING EXPENSES
Merchandise costs		61,519				54,996				180,748				164,849
Selling, general and administrative		6,193				5,679				18,799				17,188
Operating income		2,815				2,530				7,884				7,042
OTHER INCOME (EXPENSE)
Interest expense		(32	)			(35	)			(100	)			(108	)
Interest income and other, net		155				85				458				374
INCOME BEFORE INCOME TAXES		2,938				2,580				8,242				7,308
Provision for income taxes		746				677				2,014				1,819
NET INCOME	$	2,192			$	1,903			$	6,228			$	5,489
NET INCOME PER COMMON SHARE:
Basic	$	4.94			$	4.29			$	14.03			$	12.36
Diluted	$	4.93			$	4.28			$	14.01			$	12.34
Shares used in calculation (000s):
Basic		443,923				443,958				443,943				443,976
Diluted		444,430				444,762				444,455				444,846

COSTCO WHOLESALE CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (amounts in millions, except par value and share data) (unaudited)
Subject to Reclassification
			May 10, 2026				August 31, 2025
ASSETS
CURRENT ASSETS
Cash and cash equivalents			$	18,946			$	14,161
Short-term investments				1,050				1,123
Receivables, net				3,750				3,203
Merchandise inventories				19,418				18,116
Other current assets				2,013				1,777
Total current assets				45,177				38,380
OTHER ASSETS
Property and equipment, net				34,293				31,909
Operating lease right-of-use assets				2,747				2,725
Other long-term assets				4,213				4,085
TOTAL ASSETS			$	86,430			$	77,099
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payable			$	22,363			$	19,783
Accrued salaries and benefits				5,218				5,205
Accrued member rewards				2,948				2,677
Deferred membership fees				3,157				2,854
Other current liabilities				8,439				6,589
Total current liabilities				42,125				37,108
OTHER LIABILITIES
Long-term debt, excluding current portion				5,670				5,713
Long-term operating lease liabilities				2,466				2,460
Other long-term liabilities				2,660				2,654
TOTAL LIABILITIES				52,921				47,935
COMMITMENTS AND CONTINGENCIES
EQUITY
Preferred stock $0.005 par value; 100,000,000 shares authorized; no shares issued and outstanding				—				—
Common stock $0.005 par value; 900,000,000 shares authorized; 443,514,000 and 443,237,000 shares issued and outstanding				2				2
Additional paid-in capital				8,683				8,282
Accumulated other comprehensive loss				(1,658	)			(1,770	)
Retained earnings				26,482				22,650
TOTAL EQUITY				33,509				29,164
TOTAL LIABILITIES AND EQUITY			$	86,430			$	77,099

COSTCO WHOLESALE CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS  (amounts in millions) (unaudited)
Subject to Reclassification
	36 Weeks Ended
	May 10, 2026				May 11, 2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$	6,228			$	5,489
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		1,791				1,652
Non-cash lease expense		221				208
Stock-based compensation		771				720
Other non-cash operating activities, net		36				(15	)
Changes in working capital		2,086				1,414
Net cash provided by operating activities		11,133				9,468
CASH FLOWS FROM INVESTING ACTIVITIES
Additions to property and equipment		(4,228	)			(3,532	)
Purchases of short-term investments		(480	)			(573	)
Maturities of short-term investments		544				786
Other investing activities, net		4				(24	)
Net cash used in investing activities		(4,160	)			(3,343	)
CASH FLOWS FROM FINANCING ACTIVITIES
Repayments of short-term borrowings		(390	)			(635	)
Proceeds from short-term borrowings		459				616
Repayments of long-term debt		(69	)			—
Tax withholdings on stock-based awards		(361	)			(392	)
Repurchases of common stock		(603	)			(623	)
Cash dividend payments		(1,154	)			(1,030	)
Financing lease payments and other financing activities, net		(57	)			(118	)
Net cash used in financing activities		(2,175	)			(2,182	)
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS		(13	)			(13	)
Net change in cash and cash equivalents		4,785				3,930
CASH AND CASH EQUIVALENTS BEGINNING OF YEAR		14,161				9,906
CASH AND CASH EQUIVALENTS END OF PERIOD	$	18,946			$	13,836

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How did Costco (COST) perform in Q3 fiscal 2026?

Costco delivered higher revenue and earnings in Q3 fiscal 2026. According to Costco, Q3 net sales rose 11.6% to $69.15 billion and net income reached $2.19 billion, or $4.93 per diluted share, compared with $1.90 billion, or $4.28, a year earlier.

What were Costco (COST) year-to-date fiscal 2026 results as of May 10, 2026?

Costco reported higher year-to-date sales and earnings for fiscal 2026. According to Costco, net sales for the first 36 weeks were $203.37 billion, up from $185.48 billion, with net income of $6.23 billion, or $14.01 per diluted share, versus $5.49 billion, or $12.34.

How fast did Costco (COST) comparable sales grow in Q3 fiscal 2026?

Costco saw broad-based comparable sales growth in Q3 fiscal 2026. According to Costco, adjusted comparable sales rose 9.8% company-wide, including 9.4% in the U.S., 10.7% in Canada, 11.2% in Other International markets, and 21.5% growth in digitally-enabled sales for the 12-week quarter.

What were Costco (COST) membership fee revenues in Q3 and year-to-date 2026?

Costco’s membership fee income increased in both Q3 and year-to-date 2026. According to Costco, Q3 membership fees were $1.37 billion versus $1.24 billion, while year-to-date membership fees reached $4.06 billion compared with $3.60 billion in the prior-year 36-week period.

How strong was Costco (COST) cash flow in fiscal 2026 year-to-date?

Costco generated higher operating cash flow year-to-date in fiscal 2026. According to Costco, net cash provided by operating activities for the first 36 weeks was $11.13 billion, up from $9.47 billion, helping lift cash and cash equivalents to $18.95 billion at period end.

What does Costco’s (COST) fiscal 2026 balance sheet show about its financial position?

Costco reported higher assets, liabilities, and equity as of May 10, 2026. According to Costco, total assets were $86.43 billion and total liabilities $52.92 billion, with total equity of $33.51 billion, compared with $77.10 billion in assets and $29.16 billion in equity at August 31, 2025.

How many warehouses and e-commerce markets does Costco (COST) operate as of Q3 2026?

Costco continued expanding its global footprint by Q3 2026. According to Costco, the company operates 931 warehouses worldwide, including 639 in the U.S. and Puerto Rico, plus e-commerce sites in nine markets such as the U.S., Canada, U.K., Mexico, Korea, Taiwan, Japan, Australia, and China.