Costco’s Q4 Earnings Up Slightly

Issaquah, WA, October 13, 2006–Costco in the fourth quarter reported revenue that increased 19 percent over the prior year, while earnings edged up slightly.

The company reported net income of $355.6 million on revenue of $19.8 billion for the 17-week period that ended Sept. 3. That compares to a net income of $354.6 million on revenue of $16.7 billion for the comparable period last year.

Earnings per share for the quarter were $0.75, compared to $0.73 for the fourth quarter of 2005.

The company credited the strong quarter to favorable tax circumstances, better-than-expected operating results, profitable gasoline sales and lower-than-expected workers’ compensation costs.

For the fiscal year, the company reported a net income of $1.1 billion on $60.1 billion in revenue. Costco finished last year with a net income of $1 billion on revenue of $52.9 billion.