- Costco Wholesale Corp on Thursday reported a bigger-than-expected 7 percent fall in July same-store sales hurt mainly by a strong U.S. dollar.
Analysts, on average, were expecting a fall of 6.7 percent in the same-store sales, according to Thomson Reuters data.
The stronger U.S. dollar versus international currencies compared to last year resulted in an overall detriment in our reported July comps of 2.25 percent, a company executive said on a pre-recorded telephone message.
Same-store sales at its U.S. locations decreased 8 percent, while international division sales fell 5 percent.
Excluding gasoline price deflation, the company said U.S. comparable sales would have been down 2 percent, while on a local currency basis international same-store sales increased 6 percent.
Customers pay an annual fee to shop at Costco's warehouses, which sell everything from laptop computers and bulk-sized packages of toilet paper to fresh fruit and frozen dumplings. Many of the clubs also operate gas stations.
Costco, the largest U.S. warehouse club, said net sales for July fell 5 percent to $5.41 billion.
(Reporting by Santosh Nadgir in Bangalore; Editing by Hans Peters)