Costco Wholesale Corp reported a 6% decline in same-store sales in June. Same-store sales at its U.S. locations decreased 6%, while international division sales fell 3%. Excluding the negative impact from gasoline price deflation, it said U.S. comparable sales would have been down 1%, while on a local currency basis it said international same-store sales increased 8%.
Net sales declined 4% to $6.88 billion from $7.15 billion a year earlier.
“Comparable sales results for June in merchandizing are very similar for all of our categories compared to our mostly recently reported month – with stronger sales results in foods, sundries, fresh foods, and slightly softer sales results in the non-food more discretionary categories,” Bob Nelson, Vice President Financial Planning & Investor Relations, said in a pre-recorded telephone message.
Categories showing strength in food were in deli, candy, sundries and frozen foods, while demand for camera, navigation devices, cell phones, and air conditioners was weak. The softness in demand for air conditioners was due to cooler year-over-year weather, he added. TV units sales continue to be very strong, with unit sales up over 50% from last year.
Average transaction in June, including the negative effects of lower gasoline prices and a strong U.S. dollar, was down about 9.5% but traffic counts were up about 4.5% for the month.
