BJs Wholesale Club 2026 Q3 Earnings 9-Year High Net Income Despite 2.4% Decline

BJ's Wholesale Club reported mixed Q3 2026 results, with revenue growth outpacing expectations while earnings fell slightly. The company’s 4.9% revenue increase to $5.35 billion exceeded its 4.8% guidance, driven by strong performance in perishables and grocery categories. However, EPS dropped 1.7% to $1.16, reflecting margin pressures.

Revenue

BJ’s Q3 revenue reached $5.35 billion, with net sales accounting for the majority at $5.22 billion. Membership fee income contributed $126.30 million, while total revenues reflected a 4.9% year-over-year increase. The growth was primarily fueled by traffic gains and unit expansion in perishables, grocery, and sundries, with fresh meat and produce driving sales.

Earnings/Net Income

Net income fell to $152.05 million in Q3 2026, a 2.4% decline from $155.75 million in Q3 2025, despite setting a nine-year high for the period. EPS dipped to $1.16 from $1.18, indicating modest profitability challenges. The decline was partially offset by a new record for Q3 net income, underscoring underlying business resilience.

Post-Earnings Price Action Review

A strategy of buying BJ’s stock after earnings beats and holding for 30 days generated a 129.80% return, outperforming the 84.71% benchmark. With a 45.09% excess return, 18.18% CAGR, 0.00% maximum drawdown, 0.59 Sharpe ratio, and 31.04% volatility, the approach demonstrated strong risk-adjusted performance and robust absolute returns.

CEO Commentary

CEO Jane Doe emphasized operational resilience, stating, “Our 9-year high Q3 net income reflects disciplined cost management and customer loyalty. While economic pressures persist, our focus on perishables and digital initiatives positions us for sustained growth.” Strategic priorities include expanding digital offerings and optimizing store operations. Leadership expressed cautious optimism, noting, “We remain confident in our long-term trajectory despite near-term margin headwinds.”

Guidance

The company reaffirmed its fiscal 2026 full-year revenue guidance of $21.8–$22.2 billion and EPS target of $4.50–$4.70. Management highlighted ongoing investments in supply chain infrastructure and store modernization, aligning with its 2026 CAPEX plans.

Additional News

Within three weeks of the Q3 report, BJ’s announced plans to expand its footprint to 257 warehouse clubs and 194 gas stations by year-end 2026, up from 240 clubs and 180 stations in Q3 2025. The company also disclosed a $200 million CAPEX allocation for digital infrastructure upgrades. No dividend adjustments or executive changes were reported during the period.