Last mentioned: Mar 2, 2026
U.S. Market Penetration
Planned rollout of approximately 150 domestic locations to meet high suburban demand.
International Scaling
Significant investment in Canada and Mexico to balance global footprint and supply chain efficiency.
Strategic Expansion Goal
CFO Gary Millerchip announces the goal of 30+ new warehouse openings per year during the Q1 earnings call.
Costco Wholesale Corp. has unveiled an aggressive expansion strategy aiming to open 30 new warehouses per year over the next decade. The plan focuses on a balanced split between domestic and international growth while capitalizing on a significant shift in grocery preferences among younger consumers.
Costco has announced a strategic roadmap to open at least 30 new warehouses annually over the next decade, split evenly between domestic and international markets. This expansion is fueled by a significant demographic shift, with nearly 17% of younger consumers now utilizing the warehouse club as their primary grocery source.
Costco's fiscal Q1 2026 results highlight a unique business model where membership fees account for 64% of net income despite representing a fraction of total sales. With a 14% surge in fee income and accelerating Executive Membership upgrades, the retailer is solidifying its capital return strategy for shareholders.