Costco Revenue Rises 9.1% to $136.9B in First Half of Fiscal 2026

Costco Wholesale Corp (NASDAQ: COST) reported net revenue of $136.90 billion for the six months ending February 15, 2026, an increase of 9.1% from $125.87 billion in the same period a year earlier. Membership fee revenue climbed to $2.68 billion from $2.36 billion, a gain of 13.8%. Read more earnings reports.

Net income for the half-year period reached $4.04 billion, or $9.08 per diluted share, compared to $3.59 billion, or $8.06 per diluted share, in the first half of fiscal 2025. That represents a 12.5% increase in net earnings.

For the most recent quarter ending February 15, 2026, Costco posted net revenue of $69.60 billion, up 9.2% from $63.72 billion in the second quarter of fiscal 2025. Net income for the quarter was $2.04 billion, or $4.58 per diluted share, versus $1.79 billion, or $4.02 per diluted share, in the prior year.

Operating income rose to $5.07 billion for the six-month period from $4.51 billion a year earlier, a jump of 12.3%. The company's operating margin improved as selling, general, and administrative expenses totaled $12.61 billion, representing 9.2% of net revenue, compared to 9.1% in the prior-year period.

Segment Performance

U.S. operations generated $54.09 billion in net revenue for the first half, up from $50.17 billion. Canadian operations contributed $18.90 billion versus $17.05 billion in the prior year. Other international markets, which include operations outside the U.S. and Canada, recorded $24.63 billion in net revenue compared to $22.59 billion.

For the second quarter alone, U.S. revenue reached $27.15 billion, Canadian revenue hit $9.89 billion, and other international revenue totaled $12.05 billion.

Balance Sheet and Cash Flow

Total assets stood at $83.64 billion as of February 15, 2026, up from $77.10 billion at the end of fiscal 2025 on August 31, 2025. Inventory increased to $18.99 billion from $18.12 billion over the same period.

Cash and cash equivalents rose to $17.38 billion as of February 15 from $14.16 billion at the fiscal year-end. Cash from operations for the first half totaled $7.68 billion, compared to $6.01 billion in the prior-year period, an increase of 27.9%.

The company used $2.57 billion for investing activities and $1.90 billion for financing activities during the six-month period. Long-term debt remained relatively flat at $5.69 billion versus $5.71 billion at fiscal year-end.

Total stockholders' equity increased to $32.09 billion from $29.16 billion as of August 31, 2025. Retained earnings rose to $25.12 billion from $22.65 billion. Common shares outstanding totaled 443.69 million as of February 15, 2026.

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