Costco reported strong third-quarter earnings, with net income rising to $1.9 billion and net sales increasing 8% to $61.96 billion compared to the same period last year. The Issaquah-based retailer attributed its performance to strategic inventory management, a streamlined product selection, and its ability to adapt to shifting global trade dynamics.
CEO Ron Vachris emphasized the company’s flexibility in adjusting supply chains, including rerouting products with high tariff exposure to international markets. This approach has allowed Costco to maintain competitive pricing while fulfilling commitments to long-term suppliers.
Chief Financial Officer Gary Millerchip noted that while it’s uncertain how vendors will respond if tariffs are reduced, the focus remains on responsiveness and value for members. He also highlighted recent price reductions on essential items like eggs, butter, and olive oil.
Costco’s investment in its fuel business has also paid off, with expanded gas station hours and lower fuel prices contributing to record-setting sales weeks in the U.S. The company continues to leverage its global presence and operational efficiency to manage costs and deliver value in a volatile economic landscape.
