Costco Wholesale Corporation Earnings Soar, Thanks to Strong Sales

Following a sales slowdown that lasted for most of 2016, Costco Wholesale (NASDAQ: COST) has come roaring back this year. Comp-sales growth has been accelerating in recent months, culminating in a double-digit gain during November.

Some of this comp-sales growth stems from relatively inconsequential factors, such as higher gasoline prices and a slightly weaker U.S. dollar. However, customer traffic has also improved significantly in recent months. Last week, Costco reported that it successfully capitalized on this organic sales growth to deliver a strong double-digit increase in EPS in the first quarter of fiscal 2018.

Costco is one of the few retailers that still reports its sales every month. As a result, investors have known for a while that the discount warehouse giant knocked it out of the park last quarter.

Source: Fool.com