Costco Wholesale Corporation — Fourth Quarter and Fiscal Year 2026 Earnings Summary

Financial Performance

• Net sales for the 16-week fourth quarter increased 11.2% year-over-year to $93.9 billion, compared to $84.4 billion in the prior year.
• Net sales for the 52-week fiscal year increased 10.1% year-over-year to $297.2 billion, compared to $269.9 billion in the prior year.
• Total revenue for the fourth quarter was $95.7 billion, up from $86.2 billion last year, driven by net sales of $93.9 billion and membership fees of $1.9 billion.
• Total revenue for the fiscal year was $303.2 billion, up from $275.2 billion last year, driven by net sales of $297.2 billion and membership fees of $5.9 billion.
• Net income for the fourth quarter was $3.0 billion ($6.75 per diluted share), compared to $2.6 billion ($5.87 per diluted share) last year.
• Net income for the fiscal year was $9.2 billion ($20.76 per diluted share), compared to $8.1 billion ($18.21 per diluted share) last year.
• Operating income for the fourth quarter was $3.8 billion, compared to $3.3 billion last year.
• Operating income for the fiscal year was $11.7 billion, compared to $10.4 billion last year.
• Merchandise costs for the fourth quarter were $83.5 billion, compared to $75.0 billion last year.
• Merchandise costs for the fiscal year were $264.3 billion, compared to $239.9 billion last year.
• Selling, general and administrative expenses for the fourth quarter were $8.4 billion, compared to $7.8 billion last year.
• Selling, general and administrative expenses for the fiscal year were $27.2 billion, compared to $25.0 billion last year.
• Cash and cash equivalents increased to $20.2 billion at the end of the fiscal year 2026, from $14.2 billion at the end of fiscal year 2025.
• Total assets increased to $89.0 billion at the end of fiscal year 2026, from $77.1 billion at the end of fiscal year 2025.
• Total liabilities increased to $53.2 billion at the end of fiscal year 2026, from $47.9 billion at the end of fiscal year 2025.
• Total equity increased to $35.8 billion at the end of fiscal year 2026, from $29.2 billion at the end of fiscal year 2025.
• Deferred membership fees increased to $3.0 billion at the end of fiscal year 2026, from $2.9 billion at the end of fiscal year 2025.
• Long-term debt decreased to $3.9 billion (excluding current portion) at the end of fiscal year 2026, from $5.7 billion at the end of fiscal year 2025.
• Net cash provided by operating activities for the fiscal year was $15.8 billion, compared to $13.3 billion last year.
• Net cash used in investing activities for the fiscal year was $6.4 billion, compared to $5.3 billion last year, primarily due to additions to property and equipment of $6.4 billion.
• Net cash used in financing activities for the fiscal year was $3.4 billion, compared to $3.8 billion last year.

Guidance and Future Outlook

• No specific forward guidance, future growth targets, or long-term goals were included in the provided press release text.

Business Segments and Product Lines

• Comparable sales for the fourth quarter increased 9.4% for the Total Company, 10.7% for the U.S., 5.0% for Canada, and 7.0% for Other International.
• Adjusted comparable sales (excluding gasoline prices and foreign exchange) for the fourth quarter increased 6.7% for the Total Company, 7.2% for the U.S., 4.6% for Canada, and 6.2% for Other International.
• Comparable sales for the fiscal year increased 8.4% for the Total Company, 8.2% for the U.S., 7.8% for Canada, and 9.8% for Other International.
• Adjusted comparable sales (excluding gasoline prices and foreign exchange) for the fiscal year increased 6.6% for the Total Company, 6.6% for the U.S., 6.7% for Canada, and 6.5% for Other International.
• Digitally-enabled comparable sales increased 19.5% for the fourth quarter and 20.9% for the fiscal year.
• Costco operates 939 warehouses globally: 647 in the U.S. and Puerto Rico, 115 in Canada, 43 in Mexico, 37 in Japan, 29 in the U.K., 20 in Korea, 15 in Australia, 14 in Taiwan, 7 in China, 5 in Spain, 3 in France, 2 in Sweden, and 1 each in Iceland and New Zealand.
• E-commerce sites are operated in the U.S., Canada, the U.K., Mexico, Korea, Taiwan, Japan, Australia, and China.

Market and Competitive Landscape

• No specific market share data, competitor names, or detailed market trend analysis was included in the provided press release text.

Risks and Challenges

• Forward-looking statements involve risks including domestic and international economic conditions, exchange rates, inflation or deflation, competition, regulation, consumer spending patterns, debt levels, security breaches, real estate conditions, capital spending, vendor actions, rising employee costs (wages and healthcare), workforce interruptions, energy and commodity costs, geopolitical conditions (including tariffs and global conflicts), internal control over financial reporting, environmental and social regulatory impacts, and public health factors.
• The fourth quarter net income was positively impacted by a non-recurring benefit of $0.15 per diluted share from IEEPA tariff refunds, partially offset by the reinvestment of those refunds into increased member values.

Management Commentary and Tone

• No direct management quotes or specific commentary tone analysis was included in the provided press release text.

Analyst Questions and Answers

• No analyst questions and answers were included in the provided press release text.

Other Key Points

• The fourth quarter net income included a non-recurring benefit of $0.15 per diluted share from IEEPA tariff refunds received during the quarter.
• The company announced a conference call scheduled for 2:00 p.m. (PT) on September 24, 2026, to discuss results, available via webcast at investor.costco.com.
• Cash dividend payments for the fiscal year were $2.5 billion, compared to $2.2 billion last year.
• Repurchases of common stock for the fiscal year were $848 million, compared to $903 million last year.
• Stock-based compensation for the fiscal year was $924 million, compared to $860 million last year.
• Depreciation and amortization for the fiscal year was $2.7 billion, compared to $2.4 billion last year.
• The company has 443,266,000 shares of common stock issued and outstanding as of August 30, 2026.