Loading...
•
Feb 15
Costco Q2 2026 Earnings Report
Costco Wholesale Corporation reported its financial results for the second quarter of fiscal 2026, ending February 15, 2026.
Key Takeaways
Costco delivered strong second-quarter results with net sales growing 9.1% to $68.2 billion and net income rising 13.8% to $2.04 billion. The performance was driven by robust membership growth, a 22.6% surge in digitally-enabled sales, and improved gross margins, despite ongoing global economic fluctuations.
Net sales increased 9.1% year-over-year to $68.2 billion, supported by a 7.4% total company comparable sales growth.
Membership income grew by 13.6% (12.2% ex-FX), with worldwide renewal rates holding strong at 89.7%.
Digitally-enabled comparable sales rose 22.6%, fueled by high demand in categories like jewelry, toys, and small electronics.
Warehouse expansion continues on track with 3 new openings in Q2 and an estimated 18 more planned for the remainder of the fiscal year.
Forward Guidance
Costco expects to continue its warehouse expansion strategy and digital enhancements through the remainder of fiscal 2026.
Positive Outlook
- Planned opening of 18 additional warehouses in the second half of FY26.
- Continued expansion of personalized digital marketing and app enhancements.
- Strong momentum in executive membership penetration (75.8% of sales).
- Ongoing price reductions on Kirkland Signature private label items to drive value.
- Robust digital traffic growth with app visits up 63%.
Challenges Ahead
- Potential volatility from gasoline prices affecting reported margins.
- Foreign exchange rate fluctuations impacting international results.
- Geopolitical conditions and potential tariffs.
- Rising costs associated with employee wages and healthcare.
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...