By Jeremy C. Owens
Costco Wholesale Corp. brought in $1 billion more than expected in revenue in its latest quarter, keeping the retailer on track for its first $200 billion year.
Costco /zigman2/quotes/201191698/composite COST +0.90% reported third-quarter earnings of $1.35 billion, or $3.04 a share, on sales of $52.6 billion, up from profit of $2.75 a share on revenue of $45.28 billion a year ago. Analysts on average expected earnings of $3.04 a share on sales of $51.56 billion, according to FactSet.
Through nine months of its fiscal year, Costco has reaped sales of $151.97 billion, with analysts projecting annual revenue of $223.38 billion. Costco finished last year just short of the $200 billion mark, producing revenue of $195.93 billion.
The company’s sales increase at stores open at least a year came up short of analysts’ average estimate, however. Same-store sales increased 10.8%, while analysts on average were projecting 11.8%, according to FactSet.
Costco shares declined 2% in after-hours trading following the release of the results. The stock has declined 18.1% so far this year, while the S&P 500 index /zigman2/quotes/210599714/realtime SPX +0.36% has fallen 16.5%.