Costco accelerated its warehouse footprint in fiscal 2025 by opening 25 new locations in key markets and repurposing three underutilized retail sites into high-volume bulk-goods outlets. The company has reduced the average ramp-up time for new warehouses by 20% compared with the prior three-year cycle, achieving positive same-store sales within six months of opening. In addition, Costco’s flexible site-reuse program converted former department-store and grocery locations into warehouses, cutting build-out costs by an estimated 15% and shortening construction timelines by up to eight weeks. This strategy underpins management’s projection of adding 150 to 200 warehouses over the next five years, supporting long-term sales growth targets in the high single digits.

An investment of $1,000 in Costco stock two decades ago would now be worth approximately $27,600, including dividends reinvested, compared with about $7,900 from an equivalent investment in the S&P 500 over the same period. Despite a 6% decline in 2025, Costco maintained high-single-digit sales growth—8.2% in its 2026 fiscal first quarter ended November 23, 2025—and continued to add new members while upgrading a significant portion to executive status. Executive members represent higher loyalty and generate greater per-capita spend, driving margin expansion. Management reiterates that the core wholesale model remains unchanged, with robust long-term growth opportunities supported by disciplined cost control and steady membership fee income.

Costco quietly increased the cash-back rate on fuel purchases at its on-site pumps from 4% to 5% for holders of the Costco Anywhere Visa Card, issued by Citi. The enhanced rate applies to the first $7,000 in annual gas purchases at Costco locations, raising the maximum potential cash back to $350 from $280. Purchases of gas outside Costco locations and electric vehicle charging continue to earn 4% cash back up to the same spending cap, then 1% thereafter. Other card benefits remain unchanged, including 3% cash back on restaurants and eligible travel, 2% on in-warehouse purchases and 1% on all other transactions. By boosting fuel rewards, Costco aims to drive higher credit-card adoption among its 80 million paid members and further elevate its near 90% renewal rate.