ISSAQUAH, Wash. — Costco Wholesale reported a robust third quarter Thursday, posting an 11.6% increase in net sales and outpacing broader retail trends as shoppers continued to flock to the warehouse club model for value on everything from prescription drugs to gold bars.
Net sales for the twelve-week quarter ended May 10 rose to $69.15 billion from $61.96 billion in the same period a year ago. Net income climbed to $2.19 billion, or $4.93 per diluted share, compared with $1.90 billion, or $4.28 per diluted share, in the prior-year quarter — a gain of roughly 15% on a per-share basis.
For the first 36 weeks of fiscal 2026, net sales reached $203.37 billion, up 9.6% from $185.48 billion a year earlier, with year-to-date net income of $6.23 billion, or $14.01 per diluted share, versus $5.49 billion, or $12.34 per diluted share, through the same stretch last year.
Comps and Digital Strength
Comparable club sales for the quarter rose 9.8% companywide versus the prior-year period — a figure that reflects broad-based momentum across Costco's global warehouse network. The standout metric, however, was digitally-enabled comparable sales, which surged 21.5%, underscoring the growing role of e-commerce and app-driven purchasing within a retail format long associated with cavernous physical stores and bulk shopping carts.
The digital acceleration reflects investments Costco has made in its online platforms across multiple countries, where it now operates e-commerce sites in the U.S., Canada, the U.K., Mexico, Korea, Taiwan, Japan, Australia, and China.
Top-performing categories in the quarter included pharmacy, gold and jewelry, home furnishings, tires, and housewares. The continued strength in gold and jewelry is particularly noteworthy — Costco has emerged as a surprising force in precious metals retail in recent years, with its gold offerings routinely selling out and attracting attention well beyond its traditional membership base.
Steady Expansion
Costco opened four new warehouse locations during the quarter — three in the United States and one in Canada — bringing its total global footprint to 931 clubs. The company operates 639 locations in the United States and Puerto Rico, with the remaining 292 spread across 12 other countries, including Canada, Mexico, Japan, the United Kingdom, Korea, Australia, and China.
The measured pace of new club openings is characteristic of Costco's disciplined approach to growth: the company typically opens a relatively small number of new warehouses each year, prioritizing site selection and membership economics over rapid expansion. Each new club requires a critical mass of nearby members to justify the investment, a model that has historically produced strong, durable unit economics.
A Model for the Moment
Costco's results arrive against a backdrop of continued consumer caution toward discretionary spending, yet the membership-warehouse model has proven resilient — and, in some respects, advantaged — in that environment. The value proposition inherent in bulk purchasing, combined with the quality perception that Costco's Kirkland Signature brand has cultivated, tends to draw in members during periods of price sensitivity and keep them renewing.
Pharmacy sales leading category growth is also a telling signal. As prescription costs remain a concern for American households, Costco's ability to offer competitive drug pricing to its members represents a meaningful draw — and a reason for members to visit the warehouse more frequently.
With year-to-date revenue now comfortably past $200 billion and earnings running well ahead of the prior year, Costco heads into the final stretch of its fiscal year with momentum and, by the evidence of these numbers, a membership base that continues to see substantial value in what the warehouse giant provides.
