Pricesmart Stock Earnings Reports

PriceSmart reported a strong Q2 FY2026 with broad-based growth across regions, higher membership engagement and continued margin improvement. Net merchandise sales for the quarter were nearly $1.5B, up 9.9% reported (7.8% constant currency); comparable net merchandise sales rose 7.6% (5.5% constant currency). Regional highlights: Colombia posted the strongest comp contribution (≈360 bps) with comps up ~31% (14.7% CC), Central America and the Caribbean also contributed positively. Membership accounts grew 7.9% year-over-year to ~2.1M with a record 12‑month renewal rate of 90.2% and Platinum penetration rising to 19.5% (from 14.5% a year ago). Gross margin expanded (+50 bps to 16.1% of NMS) driven by category mix and Asia consolidation savings; operating income rose 15.6% to $75.4M, net income rose 11.7% to $49.1M ($1.62 diluted EPS), and adjusted EBITDA increased to $99.7M (+14.6%). Company declared an annual cash dividend of $1.40 per share, an 11.1% increase versus prior year. Growth investments continue: five clubs expected to open that will bring the total to 61 clubs, distribution centers being added (Trinidad now operational; Colombia and Jamaica planned in FY2026; Dominican Republic FY2027), ongoing supply-chain and tech initiatives (forecasting/replenishment platform, ETA Open trade management, POS and Workday rollouts), and omnichannel expansion (digital sales $94.1M, +23.4% YoY; 6.4% of NMS). Key risks: currency volatility and foreign-exchange losses (notable revaluation loss in Costa Rica), potential transportation/fuel cost impacts from geopolitical events and tariffs (management says current U.S. tariff changes have not materially affected costs), and exposure to remittance trends in some markets (management has not observed meaningful impact to date). Overall, management emphasizes resilient, value-focused retailing, margin improvement from mix and supply-chain initiatives, disciplined real-estate expansion, and continued returns to shareholders.