EX-99.1 2 costex9918-k92624.htm EX-99.1 Document

Exhibit 99.1
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Press Release
COSTCO WHOLESALE CORPORATION REPORTS FOURTH QUARTER AND FISCAL
YEAR 2024 OPERATING RESULTS
ISSAQUAH, Wash., September 26, 2024 - Costco Wholesale Corporation (“Costco” or the “Company”) (Nasdaq: COST) today announced its operating results for the 16-week fourth quarter and the 52-week fiscal year ended September 1, 2024.
For the 16-week fourth quarter, the Company reported net sales of $78.2 billion, an increase of 1.0 percent compared to net sales of $77.4 billion in the 17-week fourth quarter of fiscal year 2023. For the 52-week fiscal year, the Company reported net sales of $249.6 billion, an increase of 5.0 percent from $237.7 billion reported in the 53-week fiscal year 2023.
The following comparable sales data reflect comparable locations year-over-year and comparable retail weeks.
Comparable sales were as follows:
16 Weeks16 Weeks52 Weeks52 Weeks
Adjusted*Adjusted*
U.S.5.3%6.3%4.5%5.0%
Canada5.5%7.9%7.0%8.1%
Other International5.7%9.3%8.1%8.4%
Total Company5.4%6.9%5.3%5.9%
E-commerce18.9%19.5%16.1%16.2%
*Excluding the impacts from changes in gasoline prices and foreign exchange.
Net income for the 16-week fourth quarter was $2.354 billion, $5.29 per diluted share, compared to $2.160 billion, $4.86 per diluted share, in the 17-week fourth quarter last year. This year's results included a net non-recurring tax benefit of $63 million, $0.14 per diluted share, related to a transfer pricing settlement, and true-ups of tax reserves.
Net income for the 52-week fiscal year was $7.367 billion, $16.56 per diluted share, compared to $6.292 billion, $14.16 per diluted share, in the 53-week prior year.
Costco currently operates 891 warehouses, including 614 in the United States and Puerto Rico, 108 in Canada, 40 in Mexico, 35 in Japan, 29 in the United Kingdom, 19 in Korea, 15 in Australia, 14 in Taiwan, seven in China, five in Spain, two in France, and one each in Iceland, New Zealand and Sweden. Costco also operates e-commerce sites in the U.S., Canada, the U.K., Mexico, Korea, Taiwan, Japan and Australia.
A conference call to discuss these results is scheduled for 2:00 p.m. (PT) today, September 26, 2024, and will be available via a webcast on investor.costco.com (click "Events & Presentations”).
Certain statements contained in this document and the pre-recorded message constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For these purposes, forward-looking statements are statements that address activities, events, conditions or developments that the Company expects or anticipates may occur in the future. In some cases forward-looking statements can be identified because they contain words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “likely,” “may,” “might,” “plan,” “potential,” “predict,” “project,” “seek,” “should,” “target,” “will,” “would,” or similar expressions and the negatives of those terms. Such forward-looking statements involve risks and uncertainties that may cause actual events, results or performance to differ materially from those indicated by such statements. These risks and


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uncertainties include, but are not limited to, domestic and international economic conditions, including exchange rates, inflation or deflation, the effects of competition and regulation, uncertainties in the financial markets, consumer and small business spending patterns and debt levels, breaches of security or privacy of member or business information, conditions affecting the acquisition, development, ownership or use of real estate, capital spending, actions of vendors, rising costs associated with employees (generally including health-care costs and wages), energy and certain commodities, geopolitical conditions (including tariffs), the ability to maintain effective internal control over financial reporting, regulatory and other impacts related to climate change, public-health related factors, and other risks identified from time to time in the Company’s public statements and reports filed with the Securities and Exchange Commission. Forward-looking statements speak only as of the date they are made, and the Company does not undertake to update these statements, except as required by law. Comparable sales and comparable sales excluding impacts from changes in gasoline prices and foreign exchange are intended as supplemental information and are not a substitute for net sales presented in accordance with U.S. GAAP.

CONTACTS:    Costco Wholesale Corporation
David Sherwood, 425/313-8239
Josh Dahmen, 425/313-8254
Andrew Yoon, 425/313-6305


COST-Earn


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Press Release

COSTCO WHOLESALE CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
 (dollars in millions, except per share data) (unaudited)

16 Weeks Ended17 Weeks Ended52 Weeks Ended53 Weeks Ended
September 1,
2024		September 3,
2023		September 1,
2024		September 3,
2023
REVENUE
Net sales$78,185 $77,430 $249,625 $237,710 
Membership fees1,512 1,509 4,828 4,580 
Total revenue79,697 78,939 254,453 242,290 
OPERATING EXPENSES
Merchandise costs69,588 69,219 222,358 212,586 
Selling, general and administrative7,067 6,939 22,810 21,590 
Operating income3,042 2,781 9,285 8,114 
OTHER INCOME (EXPENSE)
Interest expense(49)(56)(169)(160)
Interest income and other, net120 238 624 533 
INCOME BEFORE INCOME TAXES3,113 2,963 9,740 8,487 
Provision for income taxes759 803 2,373 2,195 
NET INCOME$2,354 $2,160 $7,367 $6,292 
NET INCOME PER COMMON SHARE:
Basic$5.30 $4.87 $16.59 $14.18 
Diluted$5.29 $4.86 $16.56 $14.16 
Shares used in calculation (000's):
Basic444,013 443,876 443,914 443,854 
Diluted444,977 444,445 444,759 444,452 



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COSTCO WHOLESALE CORPORATION
CONSOLIDATED BALANCE SHEETS
 (amounts in millions, except par value and share data) (unaudited)
Subject to Reclassification

September 1,
2024		September 3,
2023
ASSETS
CURRENT ASSETS
Cash and cash equivalents$9,906 $13,700 
Short-term investments1,238 1,534 
Receivables, net2,721 2,285 
Merchandise inventories18,647 16,651 
Other current assets1,734 1,709 
Total current assets34,246 35,879 
OTHER ASSETS
Property and equipment, net29,032 26,684 
Operating lease right-of-use assets2,617 2,713 
Other long-term assets3,936 3,718 
TOTAL ASSETS$69,831 $68,994 
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payable$19,421 $17,483 
Accrued salaries and benefits4,794 4,278 
Accrued member rewards2,435 2,150 
Deferred membership fees2,501 2,337 
Current portion of long-term debt103 1,081 
Other current liabilities6,210 6,254 
Total current liabilities35,464 33,583 
OTHER LIABILITIES
Long-term debt, excluding current portion5,794 5,377 
Long-term operating lease liabilities2,375 2,426 
Other long-term liabilities2,576 2,550 
TOTAL LIABILITIES46,209 43,936 
COMMITMENTS AND CONTINGENCIES
EQUITY
Preferred stock $0.005 par value; 100,000,000 shares authorized; no shares issued and outstanding— — 
Common stock $0.005 par value; 900,000,000 shares authorized; 443,126,000 and 442,793,000 shares issued and outstanding
2 2 
Additional paid-in capital7,829 7,340 
Accumulated other comprehensive loss(1,828)(1,805)
Retained earnings17,619 19,521 
TOTAL EQUITY23,622 25,058 
TOTAL LIABILITIES AND EQUITY$69,831 $68,994 


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COSTCO WHOLESALE CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
 (amounts in millions) (unaudited)
Subject to Reclassification

52 Weeks Ended53 Weeks Ended
September 1,
2024		September 3,
2023
CASH FLOWS FROM OPERATING ACTIVITIES
Net income$7,367 $6,292 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization2,237 2,077 
Non-cash lease expense315 412 
Stock-based compensation818 774 
Impairment of assets and other non-cash operating activities, net(9)495 
Changes in working capital
611 1,018 
Net cash provided by operating activities11,339 11,068 
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of short-term investments(1,470)(1,622)
Maturities and sales of short-term investments1,790 937 
Additions to property and equipment(4,710)(4,323)
Other investing activities, net(19)36 
Net cash used in investing activities(4,409)(4,972)
CASH FLOWS FROM FINANCING ACTIVITIES
Repayments of short-term borrowings(920)(935)
Proceeds from short-term borrowings928 917 
Repayments of long-term debt(1,077)(75)
Proceeds from issuance of long-term debt498 — 
Tax withholdings on stock-based awards(315)(303)
Repurchases of common stock(700)(676)
Cash dividend payments(9,041)(1,251)
Financing lease payments(136)(291)
Other financing activities, net(1)— 
Net cash used in financing activities(10,764)(2,614)
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS
40 15 
Net change in cash and cash equivalents(3,794)3,497 
CASH AND CASH EQUIVALENTS BEGINNING OF YEAR13,700 10,203 
CASH AND CASH EQUIVALENTS END OF YEAR$9,906 $13,700