Costco profit rises 17% on same-store sales

[cal04]

Costco Wholesale Corp. reported its profit rose 17% in the November quarter, driven by strong growth in same-store sales and membership fees.

Costco, which sells groceries and other items in bulk, has been a standout of late among retailers, and it is one of the largest fuel retailers in the U.S. Lower gasoline prices are thought to actually help the company's results because its throughput is so high and it can quickly capture the benefit of falling prices on the gasoline it buys. Meanwhile, cheaper fuel prices also leave consumers with more disposable income to buy goods at its warehouses.

Costco said Wednesday that same-store sales rose 7% in its first quarter ended Nov. 23, excluding negative impacts from gasoline price deflation and foreign exchange. In the U.S., that metric increased 7%.

In all, the company said its profit for the quarter rose to $496 million, or $1.12 a share, from year-earlier earnings of $425 million, or 96 cents a share.
http://www.marketwatch.com/story/costco-profit-rises-17-on-same-store-sales-2014-12-10?link=MW_home_latest_news

[CurtEastPoint]

1. Amazing what happens when a co. treats its employees well. They treat customers well...

and so on and so on. Good for blue Costco!

[A Little Weird]

2. Good to hear

A Costco opened in the next town over so I am going to get a membership too. I would prefer to spend money in a place that treats people right.

[tridim]

3. It's so rare that something I like is also popular.

Far as I can tell Costco does everything right, so there is a very good reason for their success.

[nichomachus]

4. Little known Costco fact

There is no limit to the amount of free samples you can eat. No limit.

[rufus dog]

7. I have hit a limit

Not Costco driven, but try eating some chips, pita bread, trail mix, tri tip, energy drink, sausage, cheesecake, then go back for round two.

[hifiguy]

5. See, exploiting assholes,

it is perfectly possible to do well by doing good in terms of ethics and treatment of employees.

[Earth_First]

6. Costco opens in early 2015 in Rochester, NY

We look forward to being able to shift as much of our relevant retail needs to Costco when they begin operating here...

We are not alone in this either, many friends in our social circle are looking forward to doing the same.

Good business practices benefit everyone...

[DavidDvorkin]

8. Our membership is close to free every year

I upgraded to Executive (I think that's what it's called) a few years ago. I get some percentage back on my purchases each year -- 2%, I think. We buy so much of our stuff there, and occasionally a large item (tires, TV set), that the refund always either covers the cost of membership renewal or comes very close.

[winterwar]

9. Love me some Costco

I have many friends that work there, some for over ten years. They treat their employees very well. And they have great deals.