A market report on Australia’s packaged food sector from market research consultancy Euromonitor predicts that ongoing economic uncertainty and weak consumer confidence could provide Australia’s packaged food retailers with enhanced opportunities to grow retail volume sales. Euromonitor’s ‘Packaged Food in Australia’ market report, released yesterday, says the packaged food industry displayed resilience against lowered consumer confidence following the global financial crisis of 2008 and... ...Read more »

The co-founder and current CEO of US wholesaler Costco Wholesale Corporation, Jim Sinegal, is to step down from the job at the end of the year. President and COO Craig Jelinek will replace Sinegal on 1 January 2012. Costco created an office of the president in February through which Sinegal and Jelinek have “worked hand in hand” on company matters, alongside chairman Jeff Brotman. Costco Wholesale Corporation is the largest membership warehouse club chain in the United States. The retail... ...Read more »

Costco, the US retail giant, has opened its first stores Sydney and Canberra. The openings herald a major shift in the Australian market, intensifying competition in an already challenging retail environment. Costco is a members-only retailer that provides business and private members with low-cost and bulk-packaged products from a range of categories including groceries, clothing and homewares. The retailer is known for selling bulk imported products and popular local supplier brands for at least... ...Read more »

US club store operator Costco has booked a jump in earnings for the first nine months of the year as strong sales gains boosted the group’s result. Net sales for the nine months to 8 May rose 13% to US$59.46bn, including sales from the group’s Mexican joint venture, which Costco began to consolidate into its financial results in fiscal 2011. Excluding this, comparable sales were up 9% in the period, the company said today (25 May). Costco also revealed that currency exchange and gas price... ...Read more »

Costco recorded a rise in second-quarter net income as the US warehouse club’s results were boosted by strong sales and higher gas prices. The chain said yesterday that net income rose 16% to reach US$348m for the quarter ended 13 February, while net sales rose 11.4% to $20.45bn. Excluding the impact of inflation in gas prices and stronger foreign currencies, comparable sales were up 4% on a consolidated basis. Sales were up 3% in the US and 8% in its international division. For the first half,... ...Read more »

As Woolworth’s foray into the hardware sector draws nearer, and US giant Costco’s second Australian store approaches, new battle lines are being drawn across the big box retailing sector, with business information analysts IBISWorld predicting we will have more than 300 retail superstores by 2015, generating $24 billion a year. The new generation of retail superstores span hardware, homewares, groceries, cosmetics, automotive goods, apparel and more, and with Woolworths’ big box... ...Read more »

As Costco prepares to open its Sydney store in 2011, the retailer, famous for its bulk products, has reported some initial success with its first Australian warehouse in Melbourne, opened in August 2009. The American members-only warehouse chain Costco generated sales of $9 million in its first two weeks, and Costco has reportedly now amassed over 75,000 members in Australia. Costco provides business and private members with bulk-packaged, low-priced goods from a range of product categories including... ...Read more »

US wholesaler Costco has booked an increase in profits, boosted by the reversal of a pre-tax charge implemented last year. For the first thirty-six weeks of fiscal 2010, net income increased to US$871m from $712m in the prior year. Net sales increased 10% to $52.66bn. Comparable sales for the period increased 7%. Operating profit amounted to $1.4bn, an increase on the $1.18bn recorded a year earlier. In the third quarter, net sales rose 12% to $17.39bn. Net income reached $306m from $210m in... ...Read more »

Club store operator Costco has unveiled plans to increase the pace of its store openings in the Australian market over the next three years. The company, which opened its first Australian store in Melbourne last summer, said that it will likely open between five and six new warehouse style outlets during the coming three years. Addressing analysts following the company’s recent results announcement, Costco chief financial officer Richard Galanti said that the group was focused on driving growth... ...Read more »

The opening of Costco, in Australia in August last year has contributed to the world’s ninth largest retailer 25% jump in quarterly profits, with sales gains driven by international expansion. The American-based retailer for the second quarter, ended 14 February, posted net profit of $330m (US$299m), up from $264m (US$239m) last year. Revenues gained 11%, climbing to $20.7bn (US$18.74bn) from $18.6bn ($16.84bn) last year. Sales at stores open at least a year rose 3% during the period, Costco... ...Read more »