12 Weeks
---------
U.S. 1%
International 13%
Total Company 3%
=========
The strengthening of foreign currencies relative to the U.S. dollar and
deflation in the selling price of gasoline had offsetting impacts on
comparable sales. Comparable sales excluding these effects were as follows:
12 Weeks
---------
U.S. 2%
International 8%
Total Company 3%
=========
Net income for the first quarter of fiscal 2010 was $266 million, or $.60
per diluted share, compared to $263 million, or $.60 per diluted share,
during the first quarter of fiscal 2009.
Costco currently operates 566 warehouses, including 413 in the United
States and Puerto Rico, 77 in Canada, 21 in the United Kingdom, seven in
Korea, six in Taiwan, nine in Japan, one in Australia and 32 in Mexico.
The Company also operates Costco Online, an electronic commerce web site,
at www.costco.com and at www.costco.ca in Canada.
A conference call to discuss these fiscal 2010 first quarter results is
scheduled for 8:00 a.m. (PT) today, December 10, 2009, and is available via
a webcast on www.costco.com (click on Investor Relations and "Play
Webcast").
Certain statements contained in this document constitute forward-looking
statements within the meaning of the Private Securities Litigation Reform
Act of 1995. For these purposes, forward-looking statements are statements
that address activities, events, conditions or developments that the
Company expects or anticipates may occur in the future. Such
forward-looking statements involve risks and uncertainties that may cause
actual events, results or performance to differ materially from those
indicated by such statements. These risks and uncertainties include, but
are not limited to, domestic and international economic conditions,
including exchange rates, the effects of competition and regulation,
uncertainties in the financial markets, consumer and small business
spending patterns and debt levels, conditions affecting the acquisition,
development, ownership or use of real estate, actions of vendors, rising
costs associated with employees (including health care costs), geopolitical
conditions and other risks identified from time to time in the Company's
public statements and reports filed with the Securities and Exchange
Commission.
COSTCO WHOLESALE CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(dollars in millions, except per share data)
(unaudited)
12 Weeks Ended
------------------------
November 22, November 23,
2009 2008
----------- -----------
REVENUE
Net sales $ 16,922 $ 16,036
Membership fees 377 359
----------- -----------
Total revenue 17,299 16,395
OPERATING EXPENSES
Merchandise costs 15,081 14,276
Selling, general and administrative 1,777 1,677
Preopening expenses 11 13
Provision for impaired assets and closing costs,
net 2 7
----------- -----------
Operating income 428 422
OTHER INCOME (EXPENSE)
Interest expense (24) (25)
Interest income and other 18 21
----------- -----------
INCOME BEFORE INCOME TAXES 422 418
Provision for income taxes 152 152
----------- -----------
NET INCOME BEFORE NONCONTROLLING INTERESTS 270 266
Net income attributable to noncontrolling
interests (4) (3)
----------- -----------
NET INCOME ATTRIBUTABLE TO COSTCO $ 266 $ 263
=========== ===========
NET INCOME PER COMMON SHARE ATTRIBUTABLE TO
COSTCO:
Basic $ 0.61 $ 0.61
=========== ===========
Diluted $ 0.60 $ 0.60
=========== ===========
Shares used in calculation (000's)
Basic 437,173 432,451
Diluted 444,849 440,533
Dividends per share $ 0.180 $ 0.160
Contact Information: CONTACTS: Costco Wholesale Corporation Richard Galanti 425/313-8203 Bob Nelson 425/313-8255 Jeff Elliott 425/313-8264