Costco Wholesale (COST) investor relations material

Executive summary

• Net sales for Q4 2026 rose 11.2% year-over-year to $93.9 billion, with full-year net sales at $297.2 billion; 12 warehouses opened in Q4, 28 for the year, totaling 939 globally, with plans for 33 new warehouses in FY27.

• Achieved over 10% top-line sales growth, expanded market share, and strong performance across all channels and departments; digitally enabled sales exceeded $33 billion, up 19.5% in Q4 and 20.9% for the year.

• Membership base under 40 grew nearly 60% since COVID, now over a quarter of total members; executive member penetration reached an all-time high, with executive memberships at 42.3 million.

• Digitally enabled comparable sales surged 19.5% in Q4, with partnerships expanding to Uber Eats and DoorDash, and digital enhancements in ecommerce.

• Received initial tariff refunds in Q4, reinvesting in member value through price reductions on key items.

Financial highlights

• Q4 net income: $2.998 billion ($6.75 per diluted share), including a $0.15/share non-recurring benefit from tariff refunds; excluding this, net income and EPS up 12.3% and 12.4% year-over-year.

• Net sales: $93.87 billion, up 11.2% from Q4 2025; full-year net sales: $297.2 billion.

• Comparable sales up 9.4% (6.7% adjusted for gas and FX); digitally enabled comparable sales up 19.5%.

• Membership fee income: $1.85 billion in Q4, up 7.3% year-over-year; total paid members: 84.1 million (+3.8%).

• Gross margin rate: 11.02% (down 11 bps YoY); excluding gas inflation, up 20 bps.

Outlook and guidance

• Plans to open 33 warehouses in FY27, with continued international expansion and a strong pipeline for FY28.

• Expectation of stable membership growth and increased spend per member, especially as executive penetration rises.

• Tariff refunds and reinvestments will continue to impact results in FY27, with ongoing transparency on net impact.

• Capital expenditure growth expected to slow after FY27.

• Forward-looking statements highlight risks from economic conditions, FX, inflation, competition, regulation, and global conflicts.