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Costco Wholesale (COST) EBIT : $9,248 Mil (TTM As of Feb. 2024)


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What is Costco Wholesale EBIT?

Costco Wholesale's earnings before interest and taxes (EBIT) for the three months ended in Feb. 2024 was $2,278 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Feb. 2024 was $9,248 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Costco Wholesale's annualized ROC % for the quarter that ended in Feb. 2024 was 14.66%. Costco Wholesale's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2024 was 30.28%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Costco Wholesale's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Feb. 2024 was 2.89%.


Costco Wholesale EBIT Historical Data

The historical data trend for Costco Wholesale's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Costco Wholesale EBIT Chart

Costco Wholesale Annual Data
Trend Aug14 Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4,915.00 5,531.00 6,851.00 7,998.00 8,647.00

Costco Wholesale Quarterly Data
May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2,017.00 1,807.00 3,019.00 2,144.00 2,278.00

Competitive Comparison of Costco Wholesale's EBIT

For the Discount Stores subindustry, Costco Wholesale's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Costco Wholesale's EV-to-EBIT Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Costco Wholesale's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Costco Wholesale's EV-to-EBIT falls into.



Costco Wholesale EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Feb. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $9,248 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Costco Wholesale  (NAS:COST) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Costco Wholesale's annualized ROC % for the quarter that ended in Feb. 2024 is calculated as:

ROC % (Q: Feb. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Nov. 2023 ) + Invested Capital (Q: Feb. 2024 ))/ count )
=8248 * ( 1 - 22.08% )/( (43373 + 44302)/ 2 )
=6426.8416/43837.5
=14.66 %

where

Note: The Operating Income data used here is four times the quarterly (Feb. 2024) data.

2. Joel Greenblatt's definition of Return on Capital:

Costco Wholesale's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Feb. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Nov. 2023  Q: Feb. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=9112/( ( (29840 + max(-13472, 0)) + (30341 + max(-11783, 0)) )/ 2 )
=9112/( ( 29840 + 30341 )/ 2 )
=9112/30090.5
=30.28 %

where Working Capital is:

Working Capital(Q: Nov. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(2542 + 18001 + 1673) - (27038 + 2462 + 6188)
=-13472

Working Capital(Q: Feb. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(2779 + 17075 + 1971) - (24563 + 2541 + 6504)
=-11783

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Feb. 2024) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Costco Wholesale's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Feb. 2024 )
=9248/320293.188
=2.89 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Costco Wholesale EBIT Related Terms

Thank you for viewing the detailed overview of Costco Wholesale's EBIT provided by GuruFocus.com. Please click on the following links to see related term pages.


Costco Wholesale (COST) Business Description

Address
999 Lake Drive, Issaquah, WA, USA, 98027
Costco operates a membership-based, no-frills retail model, predicated on offering a select product assortment in bulk quantities at bargain prices. The firm avoids maintaining costly product displays by keeping inventory on pallets and limits distribution expenses by storing its inventory at point of sale in the warehouse. Given Costco's frugal cost structure, the firm is able to price its merchandise below competing retailers, driving high sales volume per warehouse and allowing the retailer to generate strong profits on thin margins. Costco operates nearly 600 warehouses in the United States and boasts over 60% market share in the domestic warehouse club industry. Internationally, Costco operates another 270 warehouses, primarily in markets such as Canada, Mexico, Japan, and the U.K.
Executives
W Craig Jelinek officer: Executive VP 999 LAKE DRIVE, ISSAQUAH WA 98027
Yoram Rubananko officer: Executive VP 999 LAKE DRIVE, ISSAQUAH WA 98027
Caton Frates officer: Executive Vice President 999 LAKE DRIVE, ISSAQUAH WA 98027
Daniel M. Hines other: Principal Acctg Officer 999 LAKE DRIVE, ISSAQUAH WA 98027
Richard A Galanti director, officer: Executive VP and CFO 999 LAKE DRIVE, ISSAQUAH WA 98027
Pierre Riel officer: EVP 999 LAKE DRIVE, ISSAQUAH WA 98027
Russell D Miller officer: Executive Vice President 999 LAKE DRIVE, ISSAQUAH WA 98027
Claudine Adamo officer: Executive Vice President 999 LAKE DRIVE, ISSAQUAH WA 98027
James C Klauer officer: Executive Vice President 999 LAKE DRIVE, ISSAQUAH WA 98027
Patrick J Callans officer: Executive VP 999 LAKE DRIVE, ISSAQUAH WA 98027
Helena Foulkes director ONE CVS DRIVE, WOONSOCKET RI 02895
Susan L Decker director C/O YAHOO INC, 701 FIRST AVE, SUNNYVALE CA 94089
Roland Michael Vachris officer: Executive VP 999 LAKE DRIVE, ISSAQUAH WA 98027
James P. Murphy officer: Executive VP 999 LAKE DRIVE, ISSAQUAH WA 98027
Kenneth D Denman director