Costco CFO Says Membership Prices Won't Increase

[{"selector":"#anim-981dbf22-d6a6-4371-a2d6-96409eede3a1","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-cabf2100-187a-4085-a067-3ae7741ad381","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-619f70b3-81ed-4894-8ed4-e963eb6661c6","keyframes":{"opacity":[0,1]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ccb23f9d-89a5-4997-81f0-134c9f5fcad2","keyframes":{"transform":["translate3d(-104.58221%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Costco has been hinting at a membership fee increase for almost a year, but customers will have to wait to find out when. Learn More Arrow

[{"selector":"#anim-3b97e5ad-1804-4e33-ae3a-85c6f73a8f10","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-8f448172-cde6-464a-a5b4-a51a23a5aba3","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-d5224dda-a1a6-4b9d-9bbd-c3454483a326","keyframes":{"opacity":[0,1]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-bb471c88-ee87-4819-8c60-320d50783911","keyframes":{"transform":["translate3d(-104.58221%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] In Costco's latest quarterly earnings call on Dec. 14, an investor asked CFO Richard Galanti about membership cost increases. Learn More Arrow

[{"selector":"#anim-9d61f2ee-2b3a-462c-9ae1-9cb81310a998","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-6ddd9096-c198-474c-84e2-9c8e6ba949ca","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-9de34c85-25cc-4543-9194-0df8ba22073d","keyframes":{"opacity":[0,1]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-26bdc714-a3d7-490d-b2d2-ab1a74b3e50b","keyframes":{"transform":["translate3d(-104.58221%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Galanti has repeated that statement multiple times in the past year as investors and members speculate about the warehouse club's next fee increase. Learn More Arrow

[{"selector":"#anim-d877fa60-6a73-4d51-92a0-b57228cd5752","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-247131ae-7b72-40a7-a631-c828de6dbc98","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-15798ea6-30bb-44bf-a7b6-9529988f1849","keyframes":{"opacity":[0,1]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-a4cf021e-b9cf-46da-bff6-3e6d6fa8d88a","keyframes":{"transform":["translate3d(-104.58221%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Historically, Costco membership fees should rise. The corporation has raised costs every five years and seven months. The most recent fee hike was in June 2017, Learn More Arrow

[{"selector":"#anim-f741ee80-8f6c-472b-9abc-3ab93401dc2d","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-fd57bd8e-f141-418a-8611-faed29ea2f30","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-599c2563-cdc5-422b-ad99-0391d18a08c9","keyframes":{"opacity":[0,1]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-956fc015-27a5-45c1-bf9c-98a263b035fa","keyframes":{"transform":["translate3d(-104.58221%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] when Costco raised the Gold Star Membership from $55 to $60 and the Executive Membership from $110 to $120. Learn More Arrow

[{"selector":"#anim-516716c2-ab32-456c-9504-2e95f85bdc18","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-a79a007a-c3f6-4f8f-b17b-983e3b537d28","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-33b78b9d-715a-45a1-8cb0-1104f1b16738","keyframes":{"opacity":[0,1]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-08f5e275-20f7-49ea-8974-9d1fd00edb44","keyframes":{"transform":["translate3d(-104.58221%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Galanti said on this week's earnings call that Costco had waited longer than typical for a charge rise but "haven't needed to do it" yet. Learn More Arrow

[{"selector":"#anim-158e0c6e-674f-42c9-a43f-c149daba2b04","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-79d3fe4f-cf6c-4dfd-981f-588fc6efc053","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-eb6e8298-92d6-4f62-ad2a-1b4b7bfb65d3","keyframes":{"opacity":[0,1]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-4ba55daf-5a4c-4c61-8eee-c8755986d958","keyframes":{"transform":["translate3d(-104.58221%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] He noted that cost increase delays are helping members get more "value" from their memberships. Learn More Arrow

[{"selector":"#anim-96f11268-9019-43a8-bdd9-3e0ef3ceae3b","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-45bae975-c7b8-48c5-9626-09e54180f672","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-952b6c1b-b72c-4d94-a3d6-9df8f0f925d7","keyframes":{"opacity":[0,1]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-4fd45ee8-c62e-4a0d-a76a-98b263c4cc1d","keyframes":{"transform":["translate3d(-104.58221%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] "We like offering great value. We feel we've added value to the membership despite taking longer than typical to raise rates." Learn More Arrow

[{"selector":"#anim-9621c794-7dd4-44bc-b62b-fcf2b5cd8f0d","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-070f08e6-745e-4f23-af4b-b27e517b6ab9","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-7ea7e1a7-8504-42e2-9a1c-591684329d4c","keyframes":{"opacity":[0,1]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-3ba85518-45fe-440e-b286-07e0f831975b","keyframes":{"transform":["translate3d(-104.58221%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Since Costco had a good quarter, it makes natural that it is not rushing to raise fees. Costco exceeded quarterly sales and profit projections and saw US same-store sales rise 2.6%. Learn More Arrow

[{"selector":"#anim-07d5d151-75ad-4a88-9ad8-c0adb904f69e","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-bf183ac3-9f83-425f-a4c4-3432456e5ed3","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e7642c5d-afbb-4dcd-ad17-0ad7a76d1655","keyframes":{"opacity":[0,1]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-6a5ca20c-4394-4f97-8bae-35703727a359","keyframes":{"transform":["translate3d(-104.58221%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":600,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Galanti said renewal rates, new signups, and member loyalty are "strong." Costco completed the quarter with 72 million paid household members, 7.6% higher than a year earlier. Learn More Arrow

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[{"selector":"#anim-a826124a-7799-49fb-bc2f-9cf99509397b","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-9c0ef9d3-64fd-4d20-997f-0f6a0439d5d6","keyframes":{"transform":["translate3d(259.40593%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-625e0217-f1dc-4949-8b8b-63f2011d4313","keyframes":{"opacity":[0,1]},"delay":300,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-97d7fd82-328e-4128-be8e-764b1bf7514d","keyframes":{"transform":["translate3d(42.07921%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":300,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-5f55bd52-d442-418f-863b-10fe4f415a1f","keyframes":{"opacity":[0,1]},"delay":500,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2a0b0686-24a8-4e89-bb38-2d75be12616e","keyframes":{"transform":["translate3d(-44.55445%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":500,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-318f25de-a596-4f86-8ec4-5b7c2add254f","keyframes":{"opacity":[0,1]},"delay":300,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-868cc78d-6750-4a90-8371-0240ccc7eb57","keyframes":{"transform":["translate3d(-260.89109%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":300,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-8c002f0b-77f1-4d66-aef3-687d8f5e3e07","keyframes":{"opacity":[0,1]},"delay":200,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-f52909d4-d5c3-417c-b1a2-8f44189db3a0","keyframes":{"transform":["translate3d(151.50000%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":200,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2fcb7922-cabc-4945-9804-d4bc3723e26b","keyframes":{"opacity":[0,1]},"delay":600,"duration":1600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-405883ba-ce51-450f-9521-a2406c0def2a","keyframes":{"opacity":[0,1]},"delay":400,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-a92c6215-598c-491a-a3f3-ce5c781f43dd","keyframes":{"transform":["translate3d(-154.5%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":400,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-03e08a96-f446-4824-b59b-d1c45383e023","keyframes":{"opacity":[0,1]},"delay":600,"duration":1600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] Learn more

Costco CFO Says Membership Prices Won't Increase

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