PriceSmart (PSMT) Q3 2025 earnings summary

Executive summary

• Net merchandise sales grew 8.0% year-over-year to $1.29 billion in Q3 FY2025, with total revenues up 7.1% to $1.32 billion and comparable sales up 7.0%.

• Net income for Q3 was $35.2 million ($1.14 per diluted share), up 8.2% year-over-year; adjusted EBITDA reached $79.0 million.

• Membership income grew 13.4% in Q3, with platinum memberships at 16.1% of the base and a trailing 12-month renewal rate of 88.0%.

• Operates 55 warehouse clubs in 12 countries and one U.S. territory, with two new clubs announced and nearly 2 million members as of May 31, 2025.

• Leadership transitions: David Price to become CEO on September 1, 2025, and Gualberto Hernandez as CFO on June 1, 2025.

Financial highlights

• Q3 net merchandise sales: $1.29B (+8.0% YoY); total revenue: $1.32B (+7.1% YoY); Q3 net income: $35.2M ($1.14/share); adjusted EBITDA: $79.0M.

• Nine months net merchandise sales: $3.85B (+7.2% YoY); total revenue: $3.94B (+6.8% YoY); net income: $116.3M ($3.80/share); adjusted EBITDA: $245.1M.

• Q3 gross margin: 15.8% (+0.2pp YoY); total revenue margin: 17.3–17.4%; operating margin: 4.3–4.4%.

• Membership income grew 13.4% in Q3 and 13.3% YTD; platinum membership CAGR 32%.

• Q3 SG&A expenses at 13.2% of revenue, up from 13% prior year, mainly due to tech investments.

Outlook and guidance

• Two new warehouse clubs to open by spring 2026 in Guatemala and the Dominican Republic, bringing total to 57; Chile under evaluation for entry.

• Ongoing investment in omni-channel capabilities, digital platforms, logistics, and member wellness.

• Annualized effective tax rate expected at 27–29% going forward.