Costco profits miss mark despite growth

ISSAQUAH, Wash. — Costco saw its Q4 net sales rise 1% to $34.99 billion, while net sales for the fiscal year increased by 3% to $113.67 billion. A strong greenback and a decline in fuel prices hampered projected revenues of $36.21 billion. A $57 million tax benefit boosted net income, which rose from $697 million the same time last year, to $767 million. Revenues from membership fees climbed 2.2% to $785 million, while gross margin grew from 10.7% to 11.1%.