US wholesaler Costco today (7 October) booked falling annual sales and earnings after revenue and profits dipped in the fourth quarter of its fiscal year.
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The company posted annual net income of US$374m for the 12 months to the end of August – compared to $398m a year earlier. Net sales stood at $69.89bn, 2% down on the year.
On a comparable-store basis, sales in the US and internationally were hit by falling fuel prices and weak international currencies against the US dollar.
Taking the lower cost of fuel and the strength of the US dollar into account, Costco’s US sales were down 2% over the full year. International sales fell 8%, equating to a 4% drop across the group.
Excluding fuel and foreign exchange, US comparable-store sales grew 1%, while Costco’s overseas revenues were up 7%. Group-wide comparable-store sales were up 3%.
Costco shares, however, were up 2.8% at $59.55 at 11:29 ET this afternoon.
