Costco Wholesale Corp., the largest US warehouse-retail club, reported fiscal first-quarter net income rose 11 percent.
Earnings for the quarter ended Nov. 25 reached $262 million, or 59 cents a share, from $236.9 million, or 51 cents, in the year-earlier period.
Sales reached $15.47 billion from $13.85 billion. Total revenue at the Issaquah, Wash., chain, including membership fees, rose 12%, to $15.81 billion, MarketWatch reports.
Costco Wholesale Corporation began operations in 1983 in Seattle, Washington. In October 1993, Costco merged with The Price Company, which had pioneered the membership warehouse concept in 1976, to form Price/Costco, Inc., a Delaware corporation.
In January 1997, non-warehouse assets were spun off to Price Enterprises, Inc., and the company changed its name to Costco Companies, Inc. On 30th August, 1999, the Corporation re-incorporated from Delaware to Washington and changed its name to Costco Wholesale Corporation, which trades on the NASDAQ under the symbol 'COST'.
Costco operates a chain of cash and carry membership warehouses that sell high-quality, nationally branded and selected private-label merchandise at low prices to businesses purchasing for commercial use or resale, and also to individuals who are members of selected employment groups.
The Company's business is based upon achieving high sales volumes and rapid inventory turnover by offering a limited assortment of merchandise in a wide variety of product categories at low prices.