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AI Earnings Analysis
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue | $67.31B | $62.15B | +8.30% |
Cost of Revenue | $58.51B | $54.11B | +8.13% |
Operating Income | $2.46B | $2.2B | +12.16% |
Net Income | $2B | $1.8B | +11.29% |
EPS (Basic) | $4.51 | $4.05 | +11.36% |
EPS (Diluted) | $4.50 | $4.04 | +11.39% |
SG&A Expense | $6.33B | $5.85B | +8.35% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $82.79B | $73.39B | +12.81% |
Current Assets | $43.41B | $37.52B | +15.69% |
Total Liabilities | $52.49B | $48.94B | +7.26% |
Current Liabilities | $41.8B | $38.29B | +9.18% |
Stockholders' Equity | $30.3B | $24.45B | +23.93% |
Cash & Equivalents | $16.22B | $10.91B | +48.68% |
Long-Term Debt | $5.67B | $5.75B | -1.38% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $4.69B | $3.26B | +43.80% |
Investing Cash Flow | $-1.4B | $-985M | -41.93% |
Financing Cash Flow | $-1.17B | $-1.19B | +2.18% |
Dividends Paid | $577M | $515M | +12.04% |
Share Buybacks | $210M | $207M | +1.45% |
D&A | $597M | $548M | +8.94% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Margin | 3.7% | 3.5% | +0.13% |
Net Margin | 3.0% | — | — |
ROE | 6.6% | — | — |
ROA | 2.4% | — | — |
Current Ratio | $1.038 | — | — |
Debt to Equity | $1.732 | — | — |
Costco delivered strong Q4 FY2025 results with revenue of $67.3B (+8.3% YoY), net income of $2.0B (+11.3% YoY), and operating cash flow surging 43.8% to $4.7B, reflecting continued membership-driven growth and disciplined cost management.
Total revenue grew 8.3% YoY to $67.3B, with cost of revenue rising a slightly lower 8.1% to $58.5B, suggesting modest improvement in merchandise margin efficiency. SG&A also grew 8.3% to $6.3B, keeping pace with revenue and indicating stable operating leverage.
Source: Source: 10-Q Income Statement (XBRL Financial Data)
Operating income increased 12.2% YoY to $2.46B, with operating margin expanding modestly from 3.53% to 3.66%. This outperformance relative to revenue growth suggests Costco is achieving incremental scale benefits and cost discipline across its warehouse operations.
Source: Source: 10-Q Income Statement (XBRL Financial Data)
Cash and equivalents surged 48.7% YoY to $16.2B, supported by operating cash flow of $4.7B (+43.8% YoY). This substantial liquidity build provides Costco with significant financial flexibility for capital allocation, including potential special dividends or accelerated investments.
Source: Source: 10-Q Balance Sheet & Cash Flow Statement (XBRL Financial Data)
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Upgrade to unlockCostco's operating margin stands at just 3.66%, meaning any unexpected cost increases — such as labor wage inflation, supply chain disruptions, or tariff-related merchandise cost increases — could disproportionately impact profitability. The company's low-price value proposition limits its ability to pass costs to members without risking membership attrition.
Source: Source: 10-Q Income Statement (XBRL Financial Data)
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