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Costco Q4 Sales Hit $84.4B: What's Fueling the 8% Revenue Growth?
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Key Takeaways
Costco's Q4 net sales rose 8% to $84.4B, driven by broad comparable sales growth.
E-commerce comparable sales jumped 13.6% in Q4, with August up an even stronger 18.4%.
Costco closed fiscal 2025 with $269.9B in sales, up 8.1% despite economic headwinds.
Costco Wholesale Corporation (COST - Free Report) reported a robust financial performance for its fourth quarter of fiscal 2025 with net sales reaching $84.4 billion, an 8% increase from $78.2 billion last year. This growth was supported by strong comparable sales gains across multiple regions and a notable contribution from e-commerce channels.
Comparable sales for the quarter rose 5.7%, reflecting a 5.1% gain in the United States, a 6.3% increase in Canada and a solid 8.6% rise in other international markets. When excluding the impacts of changes in gasoline prices and foreign exchange, total comparable sales rose 6.4%. Canada led with an 8.3% increase, followed by 7.2% growth in other international markets and 6% jump in the U.S market. This highlights Costco’s ability to deliver consistent gains despite currency headwinds and uneven macroeconomic conditions.
E-commerce continued to stand out with comparable sales climbing 13.6% for the quarter, or 13.5% after adjusting for fuel and currency impacts. Momentum was even stronger in August, when the metric surged 18.4%. For the fiscal year, e-commerce comparable sales climbed 15.6%, reinforcing the importance of the company’s investments in omnichannel capabilities.
At quarter-end, Costco operated 914 warehouses globally, including 629 in the United States and Puerto Rico and 110 in Canada, along with a growing presence in markets such as Mexico, Japan and the United Kingdom.
A blend of steady traffic at physical locations, solid international growth and accelerating e-commerce sales powered Costco’s fourth-quarter revenue gains. These factors combined to deliver an 8.1% increase in net sales of $269.9 billion for the fiscal year despite a challenging economic environment.
Walmart and Target’s Trends Offer Industry Context
Walmart Inc. (WMT - Free Report) continued to deliver steady traffic gains with U.S. comparable sales rising 4.6% in the second quarter of fiscal 2026, supported by strength in grocery, health & wellness, and improving trends in general merchandise. E-commerce momentum remained strong as U.S. e-commerce sales advanced 26%, powered by nearly 50% growth in store-fulfilled delivery orders, with roughly one-third completed within three hours.
Target Corporation (TGT - Free Report) showed early signs of stabilization following a challenging first quarter of fiscal 2025. While second-quarter sales dipped 0.9% year over year, in-store traffic trends improved significantly. Digital performance was also a bright spot, with comparable digital sales growing 4.3%, driven by robust same-day delivery offerings and expanding Drive Up services.
What the Latest Metrics Say About Costco
Costco stock has risen 7.5% over the past year, outpacing the industry’s growth of 6.9%.
Image Source: Zacks Investment Research
From a valuation standpoint, Costco's forward 12-month price-to-earnings ratio stands at 48.45, higher than the industry’s ratio of 30.80. COST carries a Value Score of D.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Costco’s current financial-year sales and earnings per share implies year-over-year growth of 8.1% and 11.6%, respectively.
Image: Bigstock
Costco Q4 Sales Hit $84.4B: What's Fueling the 8% Revenue Growth?
Key Takeaways
Costco Wholesale Corporation (COST - Free Report) reported a robust financial performance for its fourth quarter of fiscal 2025 with net sales reaching $84.4 billion, an 8% increase from $78.2 billion last year. This growth was supported by strong comparable sales gains across multiple regions and a notable contribution from e-commerce channels.
Comparable sales for the quarter rose 5.7%, reflecting a 5.1% gain in the United States, a 6.3% increase in Canada and a solid 8.6% rise in other international markets. When excluding the impacts of changes in gasoline prices and foreign exchange, total comparable sales rose 6.4%. Canada led with an 8.3% increase, followed by 7.2% growth in other international markets and 6% jump in the U.S market. This highlights Costco’s ability to deliver consistent gains despite currency headwinds and uneven macroeconomic conditions.
E-commerce continued to stand out with comparable sales climbing 13.6% for the quarter, or 13.5% after adjusting for fuel and currency impacts. Momentum was even stronger in August, when the metric surged 18.4%. For the fiscal year, e-commerce comparable sales climbed 15.6%, reinforcing the importance of the company’s investments in omnichannel capabilities.
At quarter-end, Costco operated 914 warehouses globally, including 629 in the United States and Puerto Rico and 110 in Canada, along with a growing presence in markets such as Mexico, Japan and the United Kingdom.
A blend of steady traffic at physical locations, solid international growth and accelerating e-commerce sales powered Costco’s fourth-quarter revenue gains. These factors combined to deliver an 8.1% increase in net sales of $269.9 billion for the fiscal year despite a challenging economic environment.
Walmart and Target’s Trends Offer Industry Context
Walmart Inc. (WMT - Free Report) continued to deliver steady traffic gains with U.S. comparable sales rising 4.6% in the second quarter of fiscal 2026, supported by strength in grocery, health & wellness, and improving trends in general merchandise. E-commerce momentum remained strong as U.S. e-commerce sales advanced 26%, powered by nearly 50% growth in store-fulfilled delivery orders, with roughly one-third completed within three hours.
Target Corporation (TGT - Free Report) showed early signs of stabilization following a challenging first quarter of fiscal 2025. While second-quarter sales dipped 0.9% year over year, in-store traffic trends improved significantly. Digital performance was also a bright spot, with comparable digital sales growing 4.3%, driven by robust same-day delivery offerings and expanding Drive Up services.
What the Latest Metrics Say About Costco
Costco stock has risen 7.5% over the past year, outpacing the industry’s growth of 6.9%.
Image Source: Zacks Investment Research
From a valuation standpoint, Costco's forward 12-month price-to-earnings ratio stands at 48.45, higher than the industry’s ratio of 30.80. COST carries a Value Score of D.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Costco’s current financial-year sales and earnings per share implies year-over-year growth of 8.1% and 11.6%, respectively.
Image Source: Zacks Investment Research
Costco currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.