COST Earnings Prediction
The chart below shows how COST performed 10 days before and after its earnings report, based on data from the past quarters. Typically, COST sees a +1.19% change in stock price 10 days leading up to the earnings, and a +0.21% change 10 days following the report. On the earnings day itself, the stock moves by -0.05%. This data can give you a slight idea of what to expect for the next quarter's release.
COST Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
62.15B
7.53%
-22.02%
Gross Margin
12.94%
1.89%
2.05%
Operating Margin
3.53%
2.92%
-7.59%
Net Margin
2.89%
5.09%
-2.03%
EPS
4.04
12.85%
-23.63%
No Data Available
COST Earnings Analysis
Costco Wholesale Corp Corporation (COST.O) Earnings Conference Call
Positive
Net Income Increase: Net income for the first quarter came in at $1.798 billion or $4.04 per diluted share, up from $1.589 billion or $3.58 per diluted share in the first quarter last year.
Net Sales Increase: Net sales for the first quarter were $60.99 billion, an increase of 7.5% from $56.72 billion in the first quarter last year.
Comparable Sales Increase: U.S. comparable sales were up 5.2% or 7.2% excluding gas deflation.
Pharmacy Prescription Growth: Our U.S. pharmacy business has prescription growth exceeding 19% for the first quarter, setting new volume records for that business.
Paid Household Membership Growth: We ended Q1 with 77.4 million paid household members, up 7.6% versus last year.
Negative
Net Income Increase: Net income for the first quarter came in at $1.798 billion or $4.04 per diluted share, up from $1.589 billion or $3.58 per diluted share in the first quarter last year, indicating a significant increase in earnings but also highlighting the impact of tax benefits that may not be sustainable going forward.
Adjusted Net Income Growth: Excluding these discrete tax items, net income and earnings per diluted share grew 9.9% and 9.8%, respectively, suggesting that the underlying growth may not be as strong as it appears when accounting for these benefits.
Net Sales Increase Analysis: Net sales for the first quarter were $60.99 billion, an increase of 7.5% from $56.72 billion in the first quarter last year, but this growth may not be indicative of future performance due to external economic pressures.
Sales Growth Analysis: U.S. comparable sales were up 5.2% or 7.2% excluding gas deflation, which may not be sustainable as gas prices fluctuate and could negatively impact future sales growth.
Rising SG&A Rate: The reported SG&A rate in the first quarter was higher year over year by 14 basis points, coming in at 9.59% compared to last year's 9.45%, indicating rising operational costs that could pressure margins.
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COST Earning Call Sentiment
Costco Wholesale Corporation (COST) Q1 2025 Earnings Call Transcript
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COST.O
0.25%Positive
The earnings call summary indicates strong financial performance with increased memberships and improved gross margins. The Q&A section highlights positive sentiment from analysts, with management providing reassuring answers on inventory, market share, and growth opportunities. However, some uncertainties remain, such as the impact of tariffs and the lack of clarity on specific technologies like Scan & Go. The positive aspects, including strong membership growth and international expansion, outweigh these concerns, leading to an overall positive sentiment.