Costco Net Rises 19.1 Percent; Home Provides a Boost
May 25, 2012,
[caption id="attachment_9016" align="alignleft" width="225"] [/caption]
ISSAQUAH, Wash.-Sales of home products helped Costco improve its third-quarter performance, with net income jumping 19.1 percent to $386 million.
Net sales rose 8.2 percent to $21.8 billion in the quarter, which ended on May 6. This included an overall same-club sales gain of 5 percent, which in itself included a high single-digit same-club increase in softlines. Strong sales in small appliances and domestics were a factor in the softlines gain, according to Richard Galanti, Costco's executive vice president and chief financial officer, who commented on the third-quarter results in a conference call yesterday to financial analysts.
Galanti told the analysts that Costco has opened 10 new units thus far in its current fiscal year, bringing its worldwide count to 602 as of the end of the third quarter. The company plans to open a further six in the final quarter of the fiscal year, he said.
Other Articles By Author
Von Tobel Cites Brass Textures Among Top Trends
HFN's DIGITAL EDITION
2017 State of the Industry Report
Cautious Optimism, Mixed Results
Many expected 2016 would be a banner year, but the political and economic climate softened consumer confidence. It was also a year consumers spent more lavishly on home remodeling rather than decorating.
ALSO IN THIS ISSUE:
- Ikea’s Fluid Spaces - The retailer’s new intros reflect multifunctional rooms.
- N.Y. Home Fashions Market Preview - Textile textures get soft and cozy, colors warmer.