Introduction
Costco is one of the largest and most successful retailers in the world, and it looks like they’re not slowing down anytime soon. According to the company’s Chief Financial Officer, Richard Galanti, Costco is planning to open more than 20 new stores in 2022. This is great news for Costco fans, as it means more locations to shop for their favorite products. In this article, we’ll take a look at the details of the expansion, as well as what it means for customers. We’ll also discuss some of the benefits of shopping at Costco, so you can make the most of your next visit. So, if you’re a fan of Costco, read on to find out more about their upcoming expansion!
Costco Is Opening 20+ New Stores in 2022, CFO Says
Costco is expanding its reach in 2022, with plans to open more than 20 new stores across the United States and Canada. The news was announced by the company’s Chief Financial Officer, Richard Galanti, during the company’s fourth-quarter earnings call.
Galanti said that the new stores will be located in existing markets, as well as in new markets. He also said that the company is looking to open more stores in the future, but did not provide any specifics.
The news comes as Costco continues to experience strong growth in its sales and profits. The company reported a net income of $1.3 billion for the fourth quarter of 2020, up from $1.2 billion in the same period a year earlier.
Costco has been expanding its store base for years, and the new stores will help the company reach more customers. The company currently operates more than 800 stores in the United States and Canada, and is looking to expand its presence in other countries as well.
The new stores will also help the company meet the growing demand for its products. Costco has seen an increase in sales in recent years, as more people are turning to the retailer for their grocery needs.
Costco is also looking to expand its online presence, with plans to launch a new e-commerce platform in the near future. The company is also investing in its delivery capabilities, with plans to offer same-day delivery in some markets.
The new stores will be a welcome addition to the company’s portfolio, and will help it reach more customers and increase its sales. With the new stores, Costco is sure to continue its growth in the coming years.
Not all news was merry for Costco fans over the past 365 days, with the retailer battling ongoing shortages and discontinuing beloved products. But as 2021 comes to a close, we have something bright to share: The popular chain is growing, and a new warehouse may pop up in your neighborhood next year.
While discussing Costco’s finances in a Q1 earnings call with investors on Dec. 9, Chief Financial Officer Richard Galanti revealed that more Costco warehouses were slated to open their garage-sized doors in 2022.
If you recall, Galanti said back in September that the plan was to open at least 25 new locations in 2022—including stores in China, France, and New Zealand. Fast forward nearly three months, and two new international units have opened, as well as a handful of stateside ones. Currently, there are plans for 23 new warehouses, plus four relocations of existing stores.
Related: Costco Is Expanding This New Member Perk
“It’s been a busy past seven days,” Galanti said on the December call, noting that the company had “opened our second Costco in France last Saturday on Dec. 4, followed by our second building in China, which opened yesterday, as well as two buildings opening this morning—opening today, one in the U.S. in Florida and our fourth unit in Spain.”
Costco saw a net sales increase of more than 16% from Q4 (which ended on Aug. 29) to Q1 (which ended on Nov. 21), and it has weathered supply chain issues well in comparison to other retailers. While almost 80% of Costco’s containers on the Pacific Coast are delayed by an average of 51 days, Galanti said the warehouse chain was dealing with the issue “pretty well”.
The company previously charted three ocean vessels for the next year to transport thousands of additional containers to the U.S. Buyers for Costco are also ordering earlier “given the longer lead times,” according to Galanti.
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