Pricesmart Stock Earnings Reports

PriceSmart reported a strong start to FY2026 with net merchandise sales and total revenue near $1.4 billion. Net merchandise sales rose 10.6% (9.5% constant currency) and comps grew 8.0% (6.9% CC). Memberships increased 6.7% to over 2.0 million with Platinum penetration rising to 19.3% (from 14%), boosting membership income as a percent of revenue. Digital sales reached $89.8 million (up 29.4%), now 6.6% of merchandise sales. Gross margin held at 15.9% of net merchandise sales; total revenue margin improved to 17.7%. Adjusted EBITDA grew ~9.8% to $86.9 million and net income was $40.2 million ($1.29 diluted EPS). The company is investing in real estate (four new clubs to bring the network to 60 clubs and initial steps toward entry into Chile), supply chain (new DCs in Guatemala, Panama, Trinidad, Colombia and Dominican Republic; China consolidation; RELEX and e2open rollouts), and technology (native mobile app migration, POS rollout, Workday). Cash + short-term investments totaled roughly $363.8 million, though ~$80.2 million is held in local currency in Trinidad with limited convertibility. Management flagged transitory December disruptions (Honduras elections, Panama rains, some out-of-stocks) but characterized overall trends as solid, with Colombia notably strong. Key risks noted include currency/FX exposure, regional political events (e.g., Venezuela), and trade/ remittance environment monitoring.