Costco Wholesale Corporation stock research
FY2024 Q2
Costco Wholesale (COST) Gross Margin — Quarter Ended Feb 18, 2024
Revenue increased compared to the prior quarter and the same quarter last year. Gross profit was unchanged from the prior quarter but higher than a year ago, while gross margin weakened slightly from the prior quarter and improved slightly from a year ago.
Gross margin takeaway
Quarter ended Feb 18, 2024 · FY2024 Q2
Revenue increased compared to the prior quarter and the same quarter last year. Gross profit was unchanged from the prior quarter but higher than a year ago, while gross margin weakened slightly from the prior quarter and improved slightly from a year ago.
- The relationship between cost of revenue and revenue drove the margin changes. The cost of revenue increased more than revenue sequentially, leading to a lower margin, but increased less than revenue year over year, resulting in a higher margin.
- Compared to the immediately preceding quarter, gross margin was lower. Compared to the same quarter one year earlier, gross margin was higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
12.5%
Gross profit
$7.3B
Revenue
$58.4B
Cost of revenue
$51.1B
Quarter-over-quarter change
-0.2 pts
Year-over-year change
+0.1 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Feb 12, 2023 | $55.3B | $6.8B | $48.4B | 12.4% |
| May 7, 2023 | $53.6B | $6.5B | $47.2B | 12.1% |
| Nov 26, 2023 | $57.8B | $7.3B | $50.5B | 12.7% |
| Feb 18, 2024 | $58.4B | $7.3B | $51.1B | 12.5% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Nov 26, 2023
-0.2 pts
Year-over-year change
Feb 12, 2023
+0.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The relationship between cost of revenue and revenue drove the margin changes. The cost of revenue increased more than revenue sequentially, leading to a lower margin, but increased less than revenue year over year, resulting in a higher margin.
Compared to the immediately preceding quarter, gross margin was lower. Compared to the same quarter one year earlier, gross margin was higher.
Monitor the trend of cost of revenue relative to revenue, as it directly impacts gross margin.