Costco Wholesale Corp COST.O reported quarterly revenue on Thursday that missed analysts’ estimates, with consumers cutting back spending on discretionary items such as jewelry and electronics against the backdrop of decades-high inflation.
Retailers Target CorpTGT.N and Dollar Tree IncDLTR.O also said in November that surging inflation and changes in consumer spending were driving down demand for discretionary goods such as toys and electronics.
Costco’s total revenue for the first quarter was $54.44 billion, compared with estimates of $54.64 billion, according to Refinitiv IBES data.
- Renovations complete on 882 affordable housing units in Edmonton
- Calgary mayor says Stampede noise debate is over, despite premier’s demand
- Skijor no more: Banff says so long to skijoring events as popularity strains townsite
- Carney coming to Calgary Stampede, carrying message that separation is no magic wand
However, net income attributable to the membership-only retail chain rose to $1.36 billion, or $3.07 per share, in the quarter ended Nov. 20, from $1.32 billion, or $2.98 per share, a year earlier.
The company’s shares fell about 1% in extended trading.
(Reporting by Granth Vanaik in Bengaluru; Editing by Shounak Dasgupta)
Comments
Want to discuss? Please read our Commenting Policy first.