Q: What is Costco(COST) 2025 Earnings Summary?
**Bullish Points:**
1. Net sales for the first quarter of 2025 increased by 8% to $60,985 million, driven by an increase in comparable sales and sales at 26 net new warehouses.
2. Membership fee revenue increased by 8% to $1,166 million, driven by new member sign-ups and upgrades to Executive Membership.
3. Gross margin percentage increased by 24 basis points to 11.28%, positively impacted by sales mix and the co-branded credit card program.
4. Net income for the first quarter of 2025 was $1,798 million, or $4.04 per diluted share, compared to $1,589 million, or $3.58 per diluted share, in the first quarter of 2024.
5. Cash and cash equivalents and short-term investments totaled $11,827 million at the end of the first quarter of 2025.
6. The company declared a quarterly cash dividend of $1.16 per share on October 16, 2024, and paid it on November 15, 2024.
7. The company repurchased 230,000 shares of common stock at an average price of $899.23 per share, totaling approximately $206 million during the first quarter of 2025.
**Bearish Points:**
1. SG&A expenses as a percentage of net sales increased by 14 basis points to 9.59%, primarily due to higher warehouse operations and central operating costs.
2. Long-term debt, excluding the current portion, was $5,745 million at the end of the first quarter of 2025.
**Summary:**
Costco (COST) has shown strong financial performance in the first quarter of 2025, with significant increases in net sales, membership fee revenue, and net income. The company also maintains a robust cash position and continues to return value to shareholders through dividends and share repurchases. However, the increase in SG&A expenses and the substantial long-term debt are points to monitor. Overall, the financial outlook appears positive with some areas requiring attention.
For more information, you can read the original text of Costco's financial report.
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