Costco’s sales increased 5.9% from USD11.02 billion to USD11.67 billion for the four-week period ended June 2, 2019.
Comparable club sales (comps) increased 5.7% in the U.S., decreased 0.3% in Canada, and increased 0.9% in other international markets for a total company increase of 4.2%. Excluding the effects of gasoline price changes and foreign exchange, comps increased 4.4% in the U.S., 3.9% in Canada, and 4.8% in other international markets for a total company increase of 4.3%.
- Average transaction increased 1.5% year over year.
- Comp traffic frequency increased 2.7% globally and 2.3% in the U.S.
- Cannibalization’s negative impact was approximately 0.5% in the U.S., 0.8% in Canada, 1.7% in other international markets, and 0.75% for the total company.
- eCommerce comp sales were up 20.2% for the period.
- The strongest-performing regions were the Midwest, San Diego and Los Angeles. Internationally, Mexico, Spain, and Taiwan saw the strongest results. Foreign currency changes impacted May comp sales negatively by 1.1% for the total company, 4.5% for Canada, and 3.8% for other international markets.
On a department basis, Costco reported the following comp results, excluding the effect of foreign exchange.
- Foods and sundries comps were positive mid-single-digits. The strongest-performing departments were candy, sundries, and liquor.
- Hardlines comps were positive low to mid-single-digits. Toys, seasonal, and majors were the better-performing departments.
- Softlines comps were up mid-single-digits. Special order kiosks, home furnishing, and domestics were among the better performing departments.
- Fresh foods comps were up low to mid-single-digits with strong growth across service deli and meat.
- Ancillary exhibited the strongest performance in gasoline, hearing aid, and optical. Gasoline price inflation had a positive impact on total comps sales by 0.1%. The average price per gallon of fuel was USD3.16 compared to USD3.13 last year.
As of June 5, 2019, Costco operated 773 clubs: 536 in the United States and Puerto Rico, 100 in Canada, 39 in Mexico, 28 in the United Kingdom, 26 in Japan, 16 in South Korea, 13 in Taiwan, 11 in Australia, two in Spain, one in Iceland, and one in France. Costco also operates eCommerce websites in the U.S., Canada, the United Kingdom, Mexico, South Korea, and Taiwan.
Source: Costco Investor Relations