Wednesday, March 2, 2016

Shannon Pettypiece — Costco Profit Drops as Demand Wanes From Higher-Income Shoppers

Costco Wholesale Corp. posted second-quarter earnings that trailed analysts’ estimates as higher-income shoppers show signs of curtailing spending.….
“The abrupt and sharp deceleration in comp sales is of deep concern broadly and is likely a bad omen for staples retail generally,” said Scott Mushkin, an analyst with Wolfe Research, in a note to clients earlier this month after Costco said its January sales came in below expectations.
Bloomberg

1 comment:

Matt Franko said...

". Same-store sales in the U.S., a closely watched measure by investors, increased 4 percent excluding the negative impacts from gasoline price deflation and foreign exchange, "

Not too shabby...

Should be: Same-store sales in the U.S., a closely watched measure by investors, increased 4 percent INCLUDING the POSITIVE impacts from gasoline price deflation (SIC) and foreign exchange,"