UNITED STATES−According a September 24, press release, COSTCO Wholesale Corp. cleared $4 billion in earnings for the fourth quarter.
According to MoneyWatch, the rise in profits for the first time this fiscal year have been attributed to shoppers who stocked up during the COVID-19 pandemic.
COSTCO COST, -1.27 percent. Thursday’s reports reveal a net increase of 12.5 percent in the fourth quarter for the fiscal year, which is reportedly the best gain in three years. The same-store sales are growing at their quickest pace of this millennium.
In comparison from the same time one year ago;
Total Comp. Store sales rose 14.1 percent while eCommerce sales soared to 91.3 percent.
COSTCO reported fiscal fourth-quarter earnings of $1.39 billion or $3.13 a share, on sales of $53.4 billion, up 12.5 percent from $47.5 billion a year ago.
Analyst reportedly expected adjusted earnings of $2.80 a share or sales of $52.1 billion, with sales.
Same-Store sales for Costco grew by 11.4 percent in the fourth quarter which is the largest year-over-year gain in FactSet records since the year 2000. Numbers have more than doubled that of the last quarter.
Same-store sales grew 9.2 percent for the full year which is the highest growth since 2004.
COSTCO relays that they have seen a steady growth of customers in the last few months who have become more comfortable shopping with masks and COVID restrictions.
While Costco does not choose to do pick-up sales, other retailers are and numbers show they are doing just as well. Sam’s Wholesale reports efforts in extra cleanliness, sneeze guards at check-outs, and free masks gloves available.
According to an August report, Walmart crushed expectations as well. Walmart (ticker: WMT), says it earned $6.48 billion or $2.27 per share up from $1.26 per share a year prior. Adjusted earnings per share were $1.56 surpassing the consensus estimate of $1.25 and eCommerce sales rose to 97 percent.
Revenue of $137.74 billion was also above the $135.57 billion analysts say they were expecting. Sam’s Club reports a sales club increase of 12 percent and e-commerce grew by 40 percent.
Planting, outdoor projects, and home improvements have gone viral for those in quarantine. Home Depot home improvement stores sales and earnings soar as well.
An August 18, 2020 report shows Home Depot earned $4.33 billion, or $4.02 a share up from $3.17 a share one year ago.
Revenue rose 23.4 percent to $38.05 billion. HD reports that the Analyst was expecting EPS of $3.68 and revenue of $34.53 billion.
Same-store sales rose 23.4 percent in the quarter, nearly doubling the 12.2 consensus estimate.