Costco Wholesale Corporation announced its Q1 results for the first quarter of fiscal 2025, recording a 7.5% growth in sales.
Net sales for Q1 were $60.99 billion, up from $56.72 billion last year.
Costco’s net income for the quarter rose to $1.80 billion from $1.59 billion
Digital growth played a major role in the sales increase, as the company reported in its earnings call; eCommerce sales rose 13% and average order value increased 4%.
2.9 million Costco apps were downloads in the U.S. for the quarter.
“We’re pleased with the growth we saw in digital,” CFO, Gary Millerchip told investors. “It’s outpacing our overall growth. We’re never satisfied and we believe there’s more work to do to improve the member experience. We know we are on a tech journey and the goal is to keep getting better and enhancing the member experience and in doing that work we can grow our digital experience.”
Millerchip stated that Costco’s sales of meat and produce indicate a growing trend of shoppers dining out less and cooking more at home. He noted “a gravitation towards those lower price per pound items across categories like poultry and cuts of beef and pork as well.”
“We’re feeling very good about the underlying membership metrics, and membership growth remains very strong,” Millerchip concluded.
By CEO NA Editorial Staff
