Costco profit and revenue beat estimates

The company reported first-quarter net income of $1.32 billion, or $2.98 a share, compared with $1.17 billion, or $2.62 a share, in the year-ago period. Revenue increased to $50.36 billion from $42.35 billion in the year-ago quarter. Comparable-store sales rose 15% overall in the quarter, lower than analysts’ expectation of 15.1%.

Analysts surveyed by FactSet had forecast earnings of $1.15 billion, or $2.62 a share, on revenue of $49.65 billion.

Costco shares COST, -1.09% bounced between slight losses and gains in after-hours trading immediately after the report was released. They had declined about 1% in the regular session to close at $524.33.  The company’s stock has risen about 40% so far this year, compared with the S&P 500 index’s SPX, -0.72% 25% increase in the same period.