Costco Net Jumps 30 Percent in Q1
ISSAQUAH, Wash.-Increased sales and a watchful eye on expenses helped boost Costco's bottom line by 30 percent in its fiscal first quarter, to $416 million.
Net sales in the quarter, which ended on Nov. 25, rose 9.6 percent to $23.2 billion. The sales pickup included a gain in same-club sales of 7 percent, which included a 7 percent increase for its U.S. clubs and a 9 percent rise for its international locations.
Selling, general and administrative expenses, while rising 8.8 percent in dollars, shed seven basis points as a percentage of sales to 10.1 percent. Gross margin rose six basis points to finish the quarter at 10.7 percent.
In its statement on the first-quarter results, Costco said it plans to open one more club before the end of calendar 2012, in Gwangmyeong, South Korea. The company's club count currently stands at 621.