Costco financial analysis

 For each of the categories that show a difference between the 3 years, determine what factors could have caused the differences. 

Nonoperating Income, Operating Income, and Book Value 

Sheet1

21

2020 2019

,

9

1

0

76 55 86

0

92

95

REVENUE

Total revenue

REVENUE

0 0 0

Total revenue

4 4 4

514

2021 2020 2019

,832

18%

9%

2% $0

9%

2.4% 6%

0% 0.00

Operating Income $195,929 $166,761 $152,703 17% $29,168 9% $14,058

7%

7%

$28

Before Taxes

13%

Net Income

9%

25%

24% 24%

9%

COSTCO WHOLESALE CORPORATION

2021 2020 2019 Change % in 2021 Change in amount 2021 Change % in 2020 Change in amount in 2022

0.66

1.00

																																																																																																																																														Consolidated Statements Of Income – USD ($) shares in Thousands, $ in Millions	COSTCO Wholesales Corporation	Consolidated Balance Sheets – USD ($) $ in Millions		2				0				2020				2019
	2021	CURRENT ASSETS
		REVENUE	Cash and cash equivalents	$ 11,258	$ 12,277	$ 8,38 Save Time On Research and Writing Hire a Pro to Write You a 100% Plagiarism-Free Paper. Get My Paper			4
		Total revenue	$ 1	95	92	$ 166,	76	$ 152,703	Short-term investments	917	1,028	$ 1,060
OPERATING EXPENSES	Receivables, net	1,803	1,	55	$ 1,535
Merchandise costs	170,684	144,939	132,8	86	Merchandise inventories	14,215	12,242	$ 11,395
Selling, general and administrative	18,461	16,332	14,994	Other current assets	1,312	1,023	$ 1,111
Preopening expenses	Total current assets	29,505	28,120	$ 23,485
	Operating Income	6,708	5,435	4,737	OTHER ASSETS
OTHER INCOME (EXPENSE)	Property and Equipment, net	23,492	21,807	20,890
Interest expense	(171)	(160)	(150)	Operating lease right-of-use assets	2,890	2,788
Interest income and other, net	143	178	Other long-term assets	3,381	2,841	1,025
INCOME BEFORE INCOME TAXES	6,680	5,367	4,765	TOTAL ASSETS	59,268	55,556	45,400
Income Tax Expense	1,601	1,308	1,061	CURRENT LIABILITIES
Net income including noncontrolling interests	5,079	4,059	3,704	Accounts payable	16,278	14,172	11,679
Net income attributable to noncontrolling interests	(72)	(57)	(45)	Accrued salaries and benefits	4,090	3,605	3,176
NET INCOME ATTRIBUTABLE TO COSTCO	$ 5,007	$ 4,002	$ 3,659	Accrued member rewards	1,671	1,393	1,180
NET INCOME PER COMMON SHARE ATTRIBUTABLE TO COSTCO:	Deferred membership fees	2,042	1,851	1,711
Basic (in dollars per share)	$ 11.30	$ 9.05	$ 8.32	Current portion of long-term debt	799	1,699
Diluted (in dollars per share)	$ 11.27	$ 9.02	$ 8.26	Other current liabilities	4,561	3,728	3,792
Weighted Average Number of Shares Outstanding, Diluted [Abstract]	Total current liabilities	29,441	24,844	23,237
Basic (shares)	443,089	442,297	439,755	OTHER LIABILITIES
Diluted (shares)	444,346	443,901	442,923	Long-term debt, excluding current portion	6,692	7,	514	5,124
Net sales	Long-term operating lease liabilities	2,642	2,558
Other long-term liabilities	2,415	1,935	1455
$ 192,052	$ 163,220	$ 149,351	Total liabilities	41,190	36,851	29,816
Membership fees	EQUITY
Preferred stock
$ 3,877	$ 3,541	$ 3,352	Common Stock
Additional paid-in capital	7,031	6,698	6,417
Accumulated other comprehensive loss	(1,137)	(1,297)	(1,436)
Retained earnings	11,666	12,879	10,258
Total Costco stockholders’ equity	17,564	18,284	15,243
Noncontrolling interests	421	341
Total equity	18,078	18,705	15,584
TOTAL LIABILITIES AND EQUITY	$ 59,268	$ 55,556	$ 45,400
	COSTCO WHOLESALE CORPORATION
DATA FROM STATEMENTS OF INCOME ( in million )
	Change % in 2021		Change in amount 2021		Change % in 2020		Change in amount in 2022
Net Sales	$192,052	$163,220	$149,351		18%		$28						9%	$13,869
Less merchandise costs	$170,684	$144,939	$132,886	$25,745	$12,053
Gross Profit	$21,368	$18,281	$16,465
Gross Profit Margin	11.	13%	11.2	0%	11.0	2%	-1%	–	$0
Total Revenue		$195,929		$166,761		$152,703		1		7%		$29,168		$14,058
Net Profit Margin	2.	6%		2.4%		0.00
Interest Expenses	-$171	-$160	-$150	-$11	-$10
Interest Income and other	$143	$92	$178	55%	$51	-48%	-$86
Non operating Income	-$28	-$68	-59%	$40	-343%	-$96
	Net Income	$6,680	$5,367	$4,765			24%	$1,313	$602
$5,007	$4,002	$3,659		25%	$1,005	$343
Earing per Share	$11.27	$9.05	$8.26	$2.22	10%	$0.79
Income tax rate	22%	-2%	0.09	0.02
DATA FROM BALANCE SHEETS ( in million )
Current Assets	$29,505	$28,120	$23,485	4.9%	$1,385	19.7%	$4,635
Total Assets	$59,268	$55,556	$45,400	6.7%	$3,712	22.4%	$10,156
Current Liabilities	$29,441	$24,844	$23,237	18.5%	$4,597	6.9%	$1,607
Total Liabilities	$41,190	$36,851	$29,816	11.8%	$4,339	23.6%	$7,035
Debt to Total Assets Ratio	0.69		0.66	4.8%	0.03	1.0%	0.01
Book Value	$18,078	$18,705	$15,584	-3.4%	-$627.00	20.0%	$3,12	1.00
Current Ratio	1.13	1.01	-11.5%	-0.13	12.0%	$0.12