Costco has reported a successful Q2 2025, with net sales up by 9% to $62.5 billion and comparable US sales increasing by 8%.
The company also achieved a net income of $1.78 billion compared to $1.74 billion in the year prior.
Additionally, Costco’s executive membership program grew by 9% while ecommerce comparable sales inched up by 20%, showing significant growth in its digital channels.
In particular, Q2 sales were driven by nonfood items, with inflationary pressures affecting the supply chain of fresh products in the meat and bakery sections, according to the company.
Gary Millerchip, EVP and chief financial officer, said: “Fresh was the most inflationary of our categories, driven by meat and bakery.
“The supply chain continues to be relatively stable, albeit shipping delivery dates are still less predictable than they were pre-COVID.
“In nonfood, our buying teams have been proactive in ordering higher levels of inventory over the past year, which has helped support our strong sales momentum, and overall, we are pleased with sell-through rates.”
Despite the strong earnings reported, the discount retailer expects tariffs and headwinds to impact business operations.
Ron Vachris, CEO and president, added: “As we look ahead to the remainder of this fiscal year, headwinds from foreign exchange look likely to continue.
“Given events over the last week, it is difficult to predict the impact of tariffs, but our team remains agile, and our goal will be to minimize the impact of related cost increases to our members.”
Moving forward, Costco plans to expand its footprint by opening 28 new warehouses in fiscal 2025.
The retailer currently operates 897 warehouses worldwide, with around 600 locations in the US.
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