Costco Wholesale Corporation (COST) Q1 2026 Financial Results Summary
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Costco Wholesale Corporation (COST) Q1 2026 Financial Results Summary
Issaquah, Wash., December 11, 2025 – Costco Wholesale Corporation (“Costco”) (Nasdaq: COST) today announced its operating results for the first quarter of fiscal 2026 (twelve weeks), ended November 23, 2025.
Key Financial Highlights
- Net Sales: Increased by 8.2%, totaling $65.98 billion, compared to $60.99 billion in Q1 2025.
- Comparable Sales Growth (excluding impacts from gasoline prices and foreign exchange):
- U.S.: 5.9%
- Canada: 6.5% (Adjusted: 9.0%)
- Other International: 8.8% (Adjusted: 6.8%)
- Total Company: 6.4%
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Digitally-Enabled Sales: 20.5%
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Net Income: Reported at $2,001 million, or $4.50 per diluted share, compared to $1,798 million, or $4.04 per diluted share in the prior year.
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Tax Benefit: Included a tax benefit of $72 million this year ($0.16 per diluted share), versus $100 million ($0.22 per diluted share) last year.
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Revenue Breakdown:
- Membership Fees: Increased to $1,329 million from $1,166 million.
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Total Revenue: Reached $67,307 million, compared to $62,151 million in the previous year.
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Operating Income: Improved to $2,463 million, up from $2,196 million year-over-year.
- Operating Expenses:
- Merchandise costs were $58,510 million vs. $54,109 million last year.
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Selling, General and Administrative (SGA) expenses rose to $6,334 million from $5,846 million.
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Cash Flow: Net cash provided by operating activities was $4,688 million, an increase from $3,260 million last year.
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Warehouses: As of November 23, 2025, Costco operates 923 warehouses:
- 633 in the U.S. and Puerto Rico
- 114 in Canada
- Global distribution includes locations in Mexico, Japan, the U.K., Korea, Australia, and several other countries.
Shareholder Returns
- Costco announced cash dividend payments of $577 million in Q1 2026, a rise from $515 million in the same quarter last year.
- The company also engaged in common stock repurchases, totaling $210 million compared to $207 million in Q1 2025.
Earnings Per Share Data
- Basic Earnings Per Share: Increased to $4.51 from $4.05 in Q1 2025.
- Diluted Earnings Per Share: Increased to $4.50, compared to $4.04 in the previous year.
Balance Sheet Metrics
- Total Current Assets: Rose to $43,411 million from $38,380 million at the end of the previous quarter.
- Cash and Cash Equivalents: Reported at $16,217 million, up from $14,161 million in the previous quarter.
- Total Assets: Increased to $82,790 million from $77,099 million at the end of the prior quarter.
- Total Liabilities: Increased to $52,487 million, from $47,935 million in the previous quarter.
Future Outlook
- A conference call discussing these financial results is scheduled for December 11, 2025, at 2:00 p.m. (PT), and will be available via a webcast on investor.costco.com.
This summary contains key financial metrics for Costco’s first quarter of fiscal 2026, reflecting strong growth in sales and income compared to the same period a year prior. The company continues to focus on shareholder returns and maintaining its expansive warehouse network globally.
| 12 Weeks Ended | 12 Weeks Ended | |
|---|---|---|
| November 23, 2025 | November 24, 2024 | |
| REVENUE | ||
| Net sales | $65,978 | $60,985 |
| Membership fees | $1,329 | $1,166 |
| Total revenue | $67,307 | $62,151 |
| OPERATING EXPENSES | ||
| Merchandise costs | $58,510 | $54,109 |
| Selling, general and administrative | $6,334 | $5,846 |
| Operating income | $2,463 | $2,196 |
| OTHER INCOME (EXPENSE) | ||
| Interest expense | $-35 | $-37 |
| Interest income and other, net | $155 | $147 |
| INCOME BEFORE INCOME TAXES | $2,583 | $2,306 |
| Provision for income taxes | $582 | $508 |
| NET INCOME | $2,001 | $1,798 |
| NET INCOME PER COMMON SHARE: | ||
| Basic | $4.51 | $4.05 |
| Diluted | $4.50 | $4.04 |
| Shares used in calculation (000’s): | ||
| Basic | 443,961 | 443,988 |
| Diluted | 444,515 | 444,891 |
| November 23, 2025 | August 31, 2025 | |
|---|---|---|
| ASSETS | ||
| CURRENT ASSETS | ||
| Cash and cash equivalents | $16,217 | $14,161 |
| Short-term investments | $966 | $1,123 |
| Receivables, net | $3,231 | $3,203 |
| Merchandise inventories | $21,141 | $18,116 |
| Other current assets | $1,856 | $1,777 |
| Total current assets | $43,411 | $38,380 |
| OTHER ASSETS | ||
| Property and equipment, net | $32,616 | $31,909 |
| Operating lease right-of-use assets | $2,730 | $2,725 |
| Other long-term assets | $4,033 | $4,085 |
| TOTAL ASSETS | $82,790 | $77,099 |
| LIABILITIES AND EQUITY | ||
| CURRENT LIABILITIES | ||
| Accounts payable | $23,513 | $19,783 |
| Accrued salaries and benefits | $5,172 | $5,205 |
| Accrued member rewards | $2,712 | $2,677 |
| Deferred membership fees | $2,990 | $2,854 |
| Other current liabilities | $7,418 | $6,589 |
| Total current liabilities | $41,805 | $37,108 |
| OTHER LIABILITIES | ||
| Long-term debt, excluding current | $5,666 | $5,713 |
| portion | ||
| Long-term operating lease liabilities | $2,436 | $2,460 |
| Other long-term liabilities | $2,580 | $2,654 |
| TOTAL LIABILITIES | $52,487 | $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; | $2 | $2 |
| 443,919,000 and 443,237,000 shares issued and outstanding | ||
| Additional paid-in capital | $8,408 | $8,282 |
| Accumulated other comprehensive loss | $-1,976 | $-1,770 |
| Retained earnings | $23,869 | $22,650 |
| TOTAL EQUITY | $30,303 | $29,164 |
| TOTAL LIABILITIES AND EQUITY | $82,790 | $77,099 |