Costco Announces Expansion with Six New Stores Opening in Early 2025
Costco Wholesale is gearing up for significant growth with the announcement of six new store locations set to open in early 2025. With these additions, the global membership warehouse retailer will surpass 900 locations worldwide, marking another milestone in its expansion.
Record-Breaking Openings in California
Two of the new locations will be in California, adding to the state’s already strong Costco presence. This follows the opening of the company’s 897th store in Pleasanton, California, on November 27, 2024, which set a new U.S. record for first-day sales at $2.9 million. CEO Ron Vachris shared the milestone during a December 12 call with investment analysts.
New Locations and Opening Dates
Here’s a list of the six upcoming Costco warehouses and their expected opening dates:
- Brentwood, California
- Genesee County, Michigan
- Highland, California
- Prosper, Texas (March 14, 2025)
- Sharon, Massachusetts (March 1, 2025)
- Weatherford, Texas (March 15, 2025)
Costco plans to open a total of 29 new locations during its 2025 fiscal year, which ends on August 31, 2025. This includes 26 new builds and three relocations, with ten of the openings slated to occur outside the United States.
Growth in Fiscal Year 2025
In the first quarter of its 2025 fiscal year, which ended on November 24, 2024, Costco opened seven new warehouses, including four international locations. One of these was a relocation from an existing site.
Membership Updates and Revenue Growth
Costco recently increased membership fees for the first time since 2017. As of September 2024, the annual fee for a Gold Star membership in the U.S. and Canada rose from $60 to $65, while Executive memberships increased from $120 to $130. The maximum annual 2% reward for Executive members also increased from $1,000 to $1,250.
This adjustment contributed to a 7.6% rise in membership fee revenue during the first quarter, totaling $1.17 billion, up from $1.08 billion the previous year. Costco now boasts 77.4 million paid memberships, with nearly half (47%) being Executive memberships.
New Store Features and Operational Changes
Costco continues to evolve its operations. This year, it introduced membership card scanners at some warehouses, requiring customers to scan their cards upon entry. Additionally, the company is expected to phase out book sales in most stores after the holiday shopping season.
Costco’s continued expansion and strategic adjustments position the retailer for sustained success in the ever-competitive retail landscape.
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