On 2/2/22, Costco Wholesale reported sales results for January 2022. The reported results of $15.76 Billion was an increase of 15.5% compared to the $13.64 Billion during January of 2021. Like previous months, we will see January remained a solid sales month for Costco both domestically, and abroad once all things have been considered. January comps look strong year over year compared with the January 2021 numbers.
January comps for e-commerce were up by 9.0%. As mentioned over the past few months, the comps have finally caught up to the strong growth experienced in e-commerce from last year. For instance, last January, e-commerce was up over 100%+. To recap, Costco’s e-commerce segment performance includes US, Canada, United Kingdom, Mexico, Korea, Taiwan, Japan, and Australia.
January Sales Numbers:
Comparable sales in the United States were up 14.1%. Canada was up 17.8%, while other international sales were up by 11.8%. Overall, total company comparable sales increased by 14.2%. Overall, these figures suggest healthy customer traffic and spending.
Comparable Sales (Jan ‘22)
Other International 11.8%
Total Company 14.2%
The same as previous reports, we will look at comparable sales excluding gasoline price deflation and foreign exchange impacts. This view of the sales gives us a clearer view of comparable sales growth (or decline) if all other factors remained the same.
Comparable Sales (ex-Gasoline Price & Foreign Exchange - Jan ‘22)
Other International 14.6%
Total Company 10.8%
As restrictions continue to relax across the United States, Costco appears to be benefitting from greater traffic and spending. With the COVID Omicron variant becoming more of an afterthought, we will continue to watch performance in the upcoming months.
Approximately 69% of Costco’s 828 warehouses are located within the United States. This leaves roughly a third of Costco’s warehouses exposed to potential positive or negative impacts from fluctuations in the US Dollar as well as food and gasoline prices.
Link to Press Release(s):
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Disclosure: May own shares of some, or all of the companies mentioned in this post. (http://tinyurl.com/HM-Disclosure)