Costco Wholesale Corporation · NASDAQ:COST
Costco Wholesale — Q3 2023 Earnings Presentation
20 slides from Costco Wholesale's earnings presentation, May 25, 2023
Slide 1: 3rd Quarter FY 2023
CosTco =——=WHOLESALE 3™¢ Quarter FY 2023
Slide 2: Forward-looking statements
Certain statements contained in this document constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For these purposes, forward-looking statements are statements that address activities, events, conditions or developments that the Company e
Slide 3: Pudong, CHN (E Shanghai)
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Slide 4: S London, ON (Relo)
S London, ON (Relo)
Slide 5: Kyle, TX
Kyle, TX
Slide 6: Gunma Meiwa, JP
Gunma Meiwa, JP
Slide 7: Longmont, CO
Longmont, CO
Slide 8: Costco Today
Costco Today Q3-end (May 7, 2023) • 3rd Largest Global retailer • 11th Largest in Fortune 500 • $222 Billion market cap
Slide 9: Costco Today
Costco Today Q3-end (May 7, 2023) • Sales $231B (LTM) • 125M Sq. Ft. (147K / whse.) • 304K employees worldwide
Slide 10: Costco Today: Warehouses Worldwide
Costco Today Q3-end (May 7, 2023) 852 Warehouses Worldwide 586 - U.S. 14 - Australia 107 - CN 4 - Spain 40 - Mexico 3 - China 32 - Japan 2 - France 29 - UK 1 - Iceland 18 - Korea 1 - New Zealand 14 - Taiwan 1 - Sweden
Slide 11: Costco Today: Members
Costco Today Members: • 69.1M households • 124.7M total cardholders • 92.6% renewal rate (U.S. & CN) • $4.4B in membership fees (LTM)
Slide 12: Fiscal Year (MM's)
Fiscal Year (MM’s) 2021 2022 Sales $192,052 $222,730 Gross Margin 11.13% 10.48% Membership 2.02% 1.90% SG&A 9.65% 8.88% Operating Inc. $6,708 $7,793 Net Income $5,007 $5,844 Diluted E.P.S. $11.27 $13.14
Slide 13: 3rd Quarter (MM's)
3 Quarter (MM’s) rd 2022 2023 Sales $51,612 $52,604 +2% Operating Income $1,791 $1,679 -6% Net Income $1,353 $1,302 -4% Diluted E.P.S. $3.04 $2.93 -4%
Slide 14: 3rd Quarter (MM's) comparable sales
3 Quarter (MM’s) rd US Canada INTL Total Comp Sales -0.1% -1.0% +4.1% +0.3% W/O Gas & FX +1.8% +7.4% +8.4% +3.5% Traffic +3.5% +8.2% +6.5% +4.8% Ticket* -3.5% -8.5% -2.3% -4.3% *Including the impacts from changes in gasoline prices and foreign exchange.
Slide 15: Financial Position (MM's)
Financial Position (MM’s) Q3, FY’23 Cash, Equiv, & STI $13,708 Property & Equipment (net) $25,931 L.T. Debt $6,497 Stockholders’ Equity $23,573
Slide 16: Dividends
Dividends • Initiated May 2004 at $0.40 • Currently at $4.08 annually • Compound Annual Growth Rate 13% • $1.8B Annually
Slide 17: Stock Repurchase & Capital Expenditure
Stock Repurchase & Capital Expenditure FY23 Q3 • $162M repurchased in Q3 • 330k shares repurchased • Capital Expenditure $819M in Q3
Slide 18: New Brands
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Slide 20: 3rd Quarter FY 2023
CosTco =——=WHOLESALE 3™¢ Quarter FY 2023