Costco, the largest warehouse-club chain in the U.S., reported first-quarter earnings that missed analysts’ estimates after sales slowed.
Net income fell 3.2 per cent to $480 million, or $1.09 a share, the Issaquah, Washington-based company said on Tuesday in a statement. Analysts estimated $1.17 a share on average, according to data compiled by Bloomberg.
The disappointing results come at a shaky time for the U.S. retail industry. Consumer spending at brick-and-mortar stores fell 10 per cent to $20.4 billion over the four-day Thanksgiving weekend, according to ShopperTrak. That has raised concerns about the critical holiday season.
Revenue rose 1.3 per cent to $26.6 billion in the period, which ended 22 November. That missed the $27.7 billion estimated by analysts. Excluding the effects of gas prices and foreign- exchange changes, same-store sales grew 6 per cent last quarter.
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