Citi Comments On Costco Results

According to Citi, Costco Wholesale (NASDAQ: COST) reported May SSS of +13%, at the high-end of the 11 to 13% estimate range, above consensus of +10.9%, and vs. +9.0% last year.

Citi said that SSS at domestic clubs were up +11%, while comps at the international clubs increased +21%. “Gasoline inflation positively impacted total comps by a little under +400 bps, and foreign exchange rates benefited total comps by +240 bps (both higher than in recent months). Traffic rose approx. +4.0% in May, and the average transaction size increased over +8.5% (incld. gas and FX). There was no calendar shift during the month.”

Costco Wholesale closed yesterday at $80.21.