Costco Reports Q2 Earnings Beat as Sales and Membership Growth Continue

Core Insights - Costco Wholesale Corporation reported second-quarter results that exceeded analyst expectations, with adjusted earnings per share of $4.58, beating the consensus estimate of $4.55 by $0.03 [2] - Despite strong financial performance, shares slipped nearly 1% in pre-market trading following the announcement [1] Financial Performance - Revenue totaled $69.6 billion, surpassing the estimate of $69.25 billion and rising 9.1% from $62.53 billion in the same quarter last year [2] - Net income for the quarter was $2.04 billion, an increase from $1.79 billion in the year-earlier period [4] - For the first 24 weeks of fiscal 2026, net income reached $4.04 billion, or $9.08 per diluted share, compared to $3.59 billion, or $8.06 per diluted share, in the prior year [4] Sales Performance - Comparable sales increased by 7.4% during the quarter, or 6.7% when adjusted for gasoline price fluctuations and foreign exchange effects [3] - U.S. comparable sales grew by 5.9%, while Canada and Other International markets posted stronger gains of 10.1% and 13.0%, respectively [3] - Digital sales surged by 22.6% over the same period [3] - February sales were reported at $21.69 billion, representing a 9.5% increase from $19.81 billion a year earlier, with comparable sales for February rising by 7.9% [5] Operational Overview - Costco operates 924 warehouses worldwide, including 634 locations in the United States and Puerto Rico, 114 in Canada, and 176 across other international markets [6] - The retailer also operates e-commerce platforms in eight countries [6]