COST FY 2009 Earnings Report — Costco Wholesale Corporation Revenue & Financial Results | Market Cap Arena

Costco Wholesale CorporationCOST

FY 2009 Earnings

Reported October 16, 2009

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2009	Prior Q	FY 2008	QoQ Change	YoY Change
Revenue	$71.4B	—	$72.5B	—	-1.5%
Op. Income	$1.8B	—	$2.0B	—	-9.7%
Gross Margin	12.7%	—	12.4%	—	0.3pp
Net Margin	1.5%	—	1.8%	—	-0.2pp
EPS (Diluted)	$2.47	—	$2.89	—	-14.5%
Free Cash Flow	$842M	—	$578M	—	45.8%

Revenue Flow

Item	Amount
REVENUE	$71.4B
Cost of Revenue	$62.3B
GROSS PROFIT	$9.1B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$7.3B
Other Expenses	$0
Operating Expenses	$7.3B
Cost & Expenses	$69.6B
OPERATING INCOME	$1.8B
Interest Income	$27M
Interest Expense	$108M
Other Income/Expenses	-$50M
INCOME BEFORE TAX	$1.7B
Income Tax Expense	$628M
Net Income from Continuing Ops	$1.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$1.1B
Net Income Deductions	$1M
BOTTOM LINE NET INCOME	$1.1B
D&A	$728M
EBIT	$1.8B
EBITDA	$2.6B
EPS	$3
EPS Diluted	$2

Income Statement

Item	Amount
REVENUE	$71.4B
Cost of Revenue	$62.3B
GROSS PROFIT	$9.1B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$7.3B
Other Expenses	$0
Operating Expenses	$7.3B
Cost & Expenses	$69.6B
OPERATING INCOME	$1.8B
Interest Income	$27M
Interest Expense	$108M
Other Income/Expenses	-$50M
INCOME BEFORE TAX	$1.7B
Income Tax Expense	$628M
Net Income from Continuing Ops	$1.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$1.1B
Net Income Deductions	$1M
BOTTOM LINE NET INCOME	$1.1B
D&A	$728M
EBIT	$1.8B
EBITDA	$2.6B
EPS	$3
EPS Diluted	$2

Cash Flow Statement

Item	Amount
Net Income	$1.1B
Depreciation & Amortization	$728M
Stock-Based Compensation	$181M
Deferred Income Tax	$70M
Other Non-Cash Items	$24M
Change in Working Capital	$3M
OPERATING CASH FLOW	$2.1B
Capital Expenditure	-$1.3B
Acquisitions (Net)	$7M
Purchases of Investments	-$1.8B
Sales/Maturities of Investments	$2.0B
Other Investing Activities	-$9M
NET CASH FROM INVESTING	-$1.1B
Net Debt Issuance	-$114M
Common Stock Repurchased	-$69M
Common Dividends Paid	-$296M
Other Financing Activities	$40M
NET CASH FROM FINANCING	-$439M
FREE CASH FLOW	$842M
Net Change in Cash	$538M

Balance Sheet

Item	Amount
Cash & Equivalents	$3.2B
Short-Term Investments	$570M
Net Receivables	$834M
Inventory	$5.4B
Other Current Assets	$371M
TOTAL CURRENT ASSETS	$10.3B
PP&E (Net)	$10.9B
Goodwill	$71M
Intangible Assets	$0
Long-Term Investments	$322M
Tax Assets	$0
Other Non-Current Assets	$349M
TOTAL NON-CURRENT ASSETS	$11.6B
TOTAL ASSETS	$22.0B
Account Payables	$5.5B
Short-Term Debt	$96M
Deferred Revenue	$65M
Other Current Liabilities	$1.8B
TOTAL CURRENT LIABILITIES	$9.3B
Long-Term Debt	$2.1B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$464M
Other Non-Current Liabilities	$0
TOTAL NON-CURRENT LIABILITIES	$2.6B
TOTAL LIABILITIES	$11.9B
Common Stock	$2M
Additional Paid-In Capital	$3.8B
Retained Earnings	$6.1B
Treasury Stock	$0
Accum. Other Comp. Income	$110M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$10.0B
Minority Interest	$80M
TOTAL EQUITY	$10.1B
TOTAL LIABILITIES & EQUITY	$22.0B
Total Debt	$2.2B
Net Debt	-$931M