Costco Wholesale’s
same-store sales rose at a slower pace in October, dampened by slower growth in the U.S.
Same-store sales rose by 3% in October from a year ago,
Costco
(ticker: COST) said. That is lower than September’s 4.5% growth and August’s 3.4% gain.
The U.S. was the company’s weakest market once again, with same-store sales up 1.1%. Canada and other international markets saw same-store sales jump by 8.5% and 8.2%, respectively. E-commerce same-store sales were up 3.7%.
Lower gas prices may have had something to do with it. Gas price deflation negatively impacted the company’s results by one percentage point, said Josh Dahmen, Costco’s assistant vice president of financial planning and investor relations. The average worldwide price per gallon was down about 7% compared with last year, he added.
In recent months, higher gas prices have given Costco’s monthly results a boost. But gasoline prices fell sharply throughout October. As of Wednesday, the average gallon of gas was $3.46 nationwide. A month ago, it was $3.82, according to AAA.
The worldwide average transaction fell 1% in October, Dahmen said, including impacts from gas deflation and foreign exchange rates.
Still, Costco’s net sales grew by 4.5% year over year to $18.5 billion last month.
Shares of Costco were up 0.1% in after-hours trading. The stock has gained 22% this year.
Write to Sabrina Escobar at [email protected]
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