Costco 2013 Annual Report Download - page 29

Download and view the complete annual report

Please find page 29 of the 2013 Costco annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 80

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80

27
RESULTS OF OPERATIONS
Net Sales
2013 2012 2011
Net Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $102,870 $97,062 $87,048
Increases in net sales:
U.S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5% 11% 9%
International . . . . . . . . . . . . . . . . . . . . . . . . . . . 8% 14% 31% (2)
Total Company . . . . . . . . . . . . . . . . . . . . . . . . . 6% 12% 14% (2)
Increases in comparable warehouse sales(1):
U.S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6% 7% 7%
International . . . . . . . . . . . . . . . . . . . . . . . . . . . 6% 6% 16%
Total Company . . . . . . . . . . . . . . . . . . . . . . . . . 6% 7% 10%
Increases in comparable warehouse sales
excluding the impact of gasoline price inflation
and foreign currencies(1):
U.S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6% 6% 5%
International . . . . . . . . . . . . . . . . . . . . . . . . . . . 6% 8% 10%
Total Company . . . . . . . . . . . . . . . . . . . . . . . . . 6% 6% 6%
_______________
(1) For 2013 and 2012, the prior year includes the comparable 52 weeks and 53 weeks, respectively.
(2) The percentage increase in net sales for 2011 was positively impacted by the initial consolidation of Mexico beginning in
fiscal 2011. Excluding Mexico, the International and Total Company increases in net sales would have been 18% and 11%,
respectively.
2013 vs. 2012
Net Sales
Net sales increased $5,808 or 6% during 2013 compared to 2012. This increase was attributable to a 6%
increase in comparable warehouse sales and sales at warehouses opened in 2012 and 2013, partially offset
by the impact of one additional week of sales in 2012.
Changes in foreign currencies relative to the U.S. dollar negatively impacted net sales by approximately
$208, or 21 basis points during 2013. The negative impact was primarily due to the Japanese yen of
approximately $354, partially offset by a positive impact of the Mexican peso of approximately $127. Changes
in gasoline prices were immaterial to the change in net sales.
Comparable Sales
Comparable sales increased 6% during 2013 and were positively impacted by increases in both shopping
frequency and the average amount spent by our members. Changes in foreign currencies relative to the
U.S. dollar and gasoline prices were immaterial to the change in comparable sales. The increase in
comparable sales includes the negative impact of cannibalization (established warehouses losing sales to
our newly opened locations).
2012 vs. 2011
Net Sales
Net sales increased $10,014 or 12% during 2012 compared to 2011. This increase was attributable to a 7%
increase in comparable warehouse sales, sales at warehouses opened in 2011 and 2012, and the benefit
of one additional week of sales in 2012.