Costco's Q1 results beat expectations, up nearly 2% at the opening

Costco (COST.US) opened lower on Friday but quickly rebounded, rising nearly 2% to retrace above $1,000, at $1,000.15. On the news front, the company reported its first-quarter 2025 fiscal year results after the market closed on Thursday. The company's profit exceeded market expectations, indicating that the large retailer was not affected by the tightening consumer spending. The data showed that the company's Q1 revenue was $62.15 billion, up 7.5% YoY, better than market expectations; EPS was $4.04, higher than market expectations. The company said that the results included a $100 million tax benefit related to stock compensation. The company reported that its membership increased in the first quarter, with about 90% of existing members renewing their services. On a same-store basis, traffic increased, but transaction volume remained flat. The result solidified the company's unique position among U.S. retailers, as its affluent customer base is willing to pay annual membership fees, which helps the company maintain robust performance.