Costco's revenue and profit in Q3 exceeded expectations! Official announcement: Membership fees will not increase for now!

It is learned that Costco announced its Q3 financial report ending May 8, with revenue increasing by 16% year-on-year to US$52.596 billion, exceeding Wall Street's general expectation of US$51.55 billion. Profits reached US$1.353 billion, while profits in Q3 2021 were US$1.22 billion, with earnings per share of US$3.04, higher than earnings per share of US$2.75 in the same period last year.

In the third quarter, Costco's membership renewal volume reached an all-time high, with membership renewal rates in the U.S. and Canadian markets exceeding 92%. Membership renewal fees increased by 9.2% year-on-year to US$984 million, with membership renewals in the U.S., Canada and international markets increasing by 16.6%, 15.2% and 5.7% respectively.

Excluding the impact of foreign exchange fluctuations and gasoline prices, Costco's sales in the third quarter increased by 10.8%, with sales in the United States, Canada and international markets increasing by 10.7%, 12.8% and 9.1% respectively. E-commerce sales increased by 7.4% year-on-year, and 7.9% year-on-year excluding the impact of gasoline prices and foreign exchange.

It is learned that Amazon raised the price of Prime membership at the beginning of this year, the first time since 2018. There have been many reports about Costco's membership price increase. On May 19, Costco executives said that now is not the best time to increase Costco membership fees. It is reported that the last time Costco raised membership fees was in June 2017. Currently, Costco has two types of membership: Gold Star with an annual fee of $60 and Executive with an annual fee of $120.

Editor ✎Estella/

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