Costco membership jumps and so does 3Q profit
Tuesday, May 24, 2011
ISSAQUAH, Wash. (AP) -- Costco says its third-quarter net income rose 6 percent with growing membership numbers pushing sales both at home and abroad.
The nation's biggest wholesale club has been among the top performers during the down economy and now, with more discretionary income in the pockets of shoppers, Costco is capitalizing on additional free spending.
Costco posted earns $324 million Wednesday, or 73 cents per share. That's up from $306 million, or 68 cents per share, a year ago.
The current quarter's results included a LIFO charge of 7 cents per share.
Analysts, who typically exclude one-time charges, expected 77 cents per share.
Revenue climbed 16 percent to $20.62 billion, just edging out Wall Street expectations.
Costco Wholesale Corp. is based in Issaquah, Wash.