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Costco Plans $7.5B Expansion, Adding 33 New Warehouses
25 Sep
Summary
- Costco to spend $7.5 billion in fiscal 2027 on expansion.
- Company plans to open 33 new warehouses in the upcoming fiscal year.
- Fourth quarter net sales reached $93.87 billion, a 9.4% increase.
Costco Wholesale is gearing up for a substantial expansion, planning to allocate about $7.5 billion in fiscal 2027 for new warehouse openings. The company intends to launch 33 new locations, including five relocations, as part of a strategy to add approximately 30 net new warehouses each year.
This aggressive growth strategy follows a successful fiscal 2026, which concluded with 939 warehouses and $6.4 billion invested in capital projects. The expansion is supported by strong core business performance, as evidenced by fourth-quarter net sales reaching $93.87 billion, a 9.4% increase year-over-year on a comparable sales basis.
Membership remains a key driver, with 42.3 million paid executive members and a high renewal rate of 92.3% in the U.S. and Canada. Costco is also broadening its reach through partnerships with Uber Eats and DoorDash, reporting these delivery channels as incremental to warehouse sales. The company is monitoring AI search traffic, seeing triple-digit growth, though agentic commerce is still in its nascent stages.
