Costco Tops Sales Estimates on Surging Gas Station Demand
Costco Wholesale reported a 12% rise in quarterly revenue to $70.53 billion as consumers sought lower-priced fuel amid rising energy costs. The company saw U.S. comparable sales jump 9.4% while maintaining competitive pricing on beef to support budget-conscious shoppers.
COSTCO WHOLESALE CORP beat third-quarter sales expectations as record fuel volumes and budget-conscious shopping offset rising logistics costs. Comparable sales in the United States rose 9.4%, outperforming the 7% growth projected by LSEG analysts. The results signal that membership-based models are capturing market share as inflation-weary consumers consolidate trips and seek lower fuel prices.
### Fuel Demand Drives Warehouse Traffic Gasoline prices exceeding $4 per gallon pushed Costco to its highest-ever sales volume during the final five weeks of the quarter. CEO Ron Vachris said on a Thursday evening earnings call that many members used Costco's gas stations for the first time during this period. The surge in fuel traffic often translates to higher indoor spending, as members who refuel typically purchase more goods inside the warehouse.
