Costco's Record-Breaking Quarter: Gas Volumes Soar as Company Focuses on Member Value
Costco Wholesale Corporation has reported a record-breaking quarter, with gas volumes reaching unprecedented levels amidst ongoing macro uncertainty. The company's third-quarter 2026 earnings call revealed that all three four-week fiscal periods set successive all-time company volume sales records, with the final five weeks of the quarter becoming its top-five volume weeks ever.
"The focus on providing quality goods and services at the lowest possible price continues to resonate strongly with our members," said Ron Vachris, President of Costco. "Our gas team performed exceptionally well to manage this unprecedented demand, which requires multiple daily gas deliveries to many locations."
The high consumer price sensitivity that fueled these record volumes also drove many members to use Costco's gas stations for the first time in the third quarter. The company believes this will drive even greater loyalty with these members in the future, as members who use their gas stations typically spend more with them in the warehouse.
Costco's buyers continue to demonstrate their ability to adapt and are using their significant experience and expertise to try to reduce the impacts on prices for its members. The company's goal is to be the first to lower prices and the last to raise them, and Gary Millerchip, Chief Financial Officer, shared some examples later in the call where they lowered prices this quarter.
In addition to its gas business, Costco also brought greater value to its members through many exciting new Kirkland Signature items in the third quarter. The company has started submitting its refund claims for the IEEPA tariffs and plans to return to its members in some form the portion of tariffs that were passed on to them.
Costco's real estate and operations team continue to focus on increasing their pipeline of new warehouses, both domestically and internationally, as they target 30+ net new openings per year in the coming years. In the quarter, the company opened four net new warehouses, including three in the U.S. and one additional Canadian business center.
"We're closely monitoring the longer-term inflationary impacts of higher oil prices, as well as the future impacts of tariffs," said Vachris. "Our team is working hard to mitigate these effects and ensure that our members continue to receive the best value possible."
Costco's third-quarter results demonstrate its commitment to providing quality goods and services at the lowest possible price, even in times of uncertainty.
