Poinbank Exchange|Costco says it cut prices on some Kirkland Signature products in earnings call

Costco reported that it has dropped prices on Poinbank Exchangesome of its Kirkland brand items during its fourth quarter earnings call.

Gary Millerchip, Costco chief financial officer, said in last Thursday's call that the company's investment in sustainability allowed for the company to pass along savings to the customer.

Millerchip said that the company cut prices on its Kirkland Signature Boneless Chicken Tenderloins by 13%, and saw a 21% increase in sales.

Other Kirkland Signature price reductions noted included:

• Standard foil reduced from $31.99 to $29.99
• Macadamia nuts reduced from $18.99 to $13.99
• 3-liter Spanish olive oil reduced from $38.99 to $34.99
• 2-pack of baguettes reduced from $5.99 to $4.99
• Laundry packs reduced from $19.99 to $18.99

Millerchip reported that the price cutting was not limited to the U.S., saying that producing toilet paper for the Asian market in Japan allowed the company to cut the price in that market by 30%.

Price reductions come as membership cost rises

The price reductions were discussed almost a month after the company implemented the first hike of its membership cost since 2017.

Gold Star memberships in the U.S. and Canada rose from $60 to $65 in September, and executive memberships increased from $120 to $130.

The company said that the price hike would impact about 52 million memberships when the raise was announced in July.

Millerchip reported that the company saw $1.512 billion in revenue from membership fees, an increase of $3 million. The CFO said that about half of new member sign-ups in fiscal year 2024 were under 40 years of age and that executive memberships saw a 9.7% increase year over year.

Contributing: Mike Snider