Costco Beats Q4 Estimates as E-commerce Sales Surge Nearly 20%

Costco Wholesale Corporation (NASDAQ: COST) reported fourth-quarter financial results that exceeded analyst forecasts, capping its 2026 fiscal year with robust sales growth and a significant expansion of its e-commerce business. The company's shares saw a modest 0.3% increase in after-hours trading following the announcement.

Fourth-Quarter Performance

For the 16-week quarter ending August 30, 2026, Costco posted earnings per share (EPS) of $6.75, beating the consensus estimate of $6.55. Total revenue for the period reached $95.7 billion, surpassing analyst expectations of $94.85 billion.

Key financial highlights from the company's report include:

• Net Sales: Increased 11.2% year-over-year to $93.9 billion, up from $84.4 billion in the same period last year.
• Net Income: Rose to $2.998 billion, compared to $2.610 billion in the fourth quarter of the prior fiscal year.
• Adjusted EPS: The reported EPS of $6.75 included a non-recurring benefit of $0.15 per share from IEEPA tariff refunds, according to the company.

Comparable Sales and Digital Growth

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A key driver of the strong results was a notable increase in comparable sales, which grew 9.4% on a reported basis. When excluding the impacts of gasoline prices and foreign exchange fluctuations, adjusted comparable sales rose 6.7%, ahead of the 6.44% anticipated by analysts.

The company's digitally-enabled sales were a standout, growing 19.8% on an adjusted basis. Adjusted comparable sales in the U.S. increased by 7.2%, while Canada and other international markets saw gains of 4.6% and 6.2%, respectively.

Full-Year Results

For the full 2026 fiscal year, Costco's net sales grew 10.1% to $297.2 billion. Full-year net income was reported at $9.226 billion, or $20.76 per diluted share, a significant increase from the $8.099 billion, or $18.21 per diluted share, recorded in the previous fiscal year. The results underscore the retailer's continued ability to attract and retain members while expanding its sales channels.