Costco Q3 Net Sales Rise 11.6% on Record Gas and 21.5% Digital Growth
COST•Costco reported fiscal Q3 net sales of $69.15 billion, up 11.6% year-over-year, and total revenue of $70.53 billion including membership fees. Net income rose to $2.19 billion ($4.93 per share) as domestic comparable-store sales climbed 9.4%, driven by record gasoline volumes and a 21.5% increase in digitally enabled sales.
1. Q3 Financial Results
Costco reported fiscal third-quarter net sales of $69.15 billion, an 11.6% increase from last year, and total revenue including membership fees reached $70.53 billion versus $69.81 billion expected. Net income climbed to $2.19 billion, or $4.93 per diluted share, compared with $1.90 billion, or $4.28 per share, a year earlier.
2. Gasoline Sales and Fuel Strategy
Gasoline volumes hit unprecedented levels, driving domestic comparable-store sales up 9.4% when factoring fuel prices, outperforming roughly 7% forecasts. The company further reduced its fuel pricing advantage to attract more pump traffic, aiming to boost warehouse spending from new gas-station users.
3. E-commerce Growth
Online and app visits surged 37%, while digitally enabled sales rose 21.5%. The membership base expanded by 4.1% year-over-year, with a renewal rate of 89.7% for the quarter.
4. Tariff Refunds Initiative
Costco is actively filing for refunds on tariffs overturned by the Supreme Court, expecting payments in coming months. Any recovered funds will be passed along to members, reinforcing the company’s commitment to low prices.
