Total Revenue

Up 7% ( " , " )

Total Revenue increased from $1,229.4 million to $1,317.3 million, driven by strong growth in net merchandise sales and revenue gains in Central America, Caribbean, and Colombia (with regional YoY increases of approximately 7–10%), which helped offset significant declines in the U.S. and Export segments. " " " "

Net Merchandise Sales

Nearly unchanged in relative size at $1,290.0 million ( " , " )

Net Merchandise Sales accounted for nearly all of the revenue, reflecting sustained performance in core merchandise categories; its strong contribution was key to the overall revenue increase despite other segment challenges. " "

Export Sales

Declined >90% (from $11.586 million down to $1.0 million) ( " , " )

Export Sales dropped sharply by over 90% YoY, indicating a substantial contraction in this segment compared to the prior period, which significantly impacted the geographic revenue mix. " "

Membership Income

Up 13% (from $19.279 million to $21.9 million) ( " , " )

Membership Income grew by roughly 13% as a result of continued membership fee increases and expansion of the membership base—including a boost in the Platinum Membership program—which contributed positively to overall revenue. " "

U.S. Revenue

Fell 91% (from $11.587 million to $0.99 million) ( " , " )

U.S. revenue experienced a dramatic decline of approximately 91% YoY, reflecting either a strategic divestiture or reallocation away from the U.S. segment, which marks a fundamental shift in the company's revenue geography. " "

Central America, Caribbean, Colombia Revenue

Grew approximately 7–10% YoY ( " , " )

Revenues in these regions increased by about 7–10% YoY, driven by organic growth in net merchandise sales and favorable regional performance, which helped bolster total revenue despite declines in other geographic segments. " "

Reconciling Items

New adjustment of –$501.77 million in Q3 2025 (vs. none in Q3 2024) ( " , " )

A new reconciling adjustment of –$501.77 million was recorded in Q3 2025 compared to no adjustment in Q3 2024; this reflects changes in the elimination of intersegment transactions and significantly impacts the consolidated revenue mix. " "

Guidance Metrics Summary

Q2 2025 (no specific period)

Effective Tax Rate: 27%–29% " Real Estate & Store Openings: 7th warehouse club in Guatemala (total 56 clubs) and up to six locations in due diligence " " Distribution Centers: Opening centers in Guatemala, Trinidad, and the Dominican Republic " " Technology Investments: Relax platform operational by fiscal 2025 " Pharmacy Expansion: Pharmacies expected in nearly all clubs in Costa Rica, Panama, and Guatemala by end of fiscal 2025 "

No specific guidance provided "

no current guidance

Currency and FX Management

Consistently discussed conversion costs, unrealized FX losses, cash balances in local currencies, and challenges from currency depreciation in Q2 ( " " ), Q1 ( " " " " ) and Q4 ( " " " ).

Emphasizes new financing arrangements in Trinidad, ongoing challenges in converting local currencies, higher unrealized FX losses, and active strategic FX management ( " " " " ).

Focus intensifies with added strategic financing tools and refined management measures, even as conversion challenges and cost volatility persist.

International Expansion and Export Strategy

Addressed new club openings in Costa Rica and Guatemala, export initiatives including reconsolidation in free trade zones, and discontinuation of certain export lines (Philippines) in Q1 ( " " ), Q2 ( " " " ), and Q4 ( " " ).

Continues with new warehouses in Costa Rica and Guatemala, introduces new land acquisition for a club in the Dominican Republic, and begins exploring Chile as a potential market ( " " " ).

Consistent expansion efforts with an evolving geographic focus as new markets (e.g., Chile) and additional infrastructure investments emerge.

Retail Expansion and New Club Openings

Highlighted new and upcoming clubs in Costa Rica and Guatemala, remodeling of existing clubs, and improvements in distribution infrastructure in Q1 ( " ), Q2 ( " " ), and Q4 ( " ).

Reaffirms openings in Costa Rica and Guatemala, adds a club in the Dominican Republic expected to open in fiscal 2026, and projects a higher total club count (57 clubs) ( " ).

Steady growth continues with incremental market additions and enhanced retail footprint, reflecting a sustained commitment to physical expansion.

Operational Efficiency and Technology Investments

Addressed investments in new point‐of-sale systems, back‐office technology upgrades, and distribution center enhancements in Q1 ( " ), Q2 ( " " " ), and Q4 ( " " ).

Introduces migration to the ReLex platform, continued investment in digital channels, and further distribution and logistics enhancements, including testing consolidation in China and deploying a dedicated fleet ( " " " ).

Continuous technology investments drive operational efficiencies, with the current period incorporating advanced platform adoption alongside traditional infrastructure improvements.

Supply Chain Optimization and Tariff Management

Discussed supply chain consolidation, improved distribution centers, and use of free trade zones in Q2 ( " " ) and distribution enhancements in Q4 ( " ); Q1 provided limited specific detail.

Emphasizes supply chain diversification, expanded use of free trade zones, direct shipments from Asia, and the introduction of its own fleet to better manage tariff-related cost pressures ( " " ).

An increasing emphasis on integrating tariff management with overall supply chain optimization, reflecting a response to evolving international trade challenges and cost pressures.

Tax Optimization Strategies

Focused on lowering effective tax rates through initiatives implemented at the close of fiscal 2024, noted in Q1 ( " ), Q2 ( " ), and Q4 ( " " " ) with rates trending downward.

Reports effective tax rates of 28.4% (quarterly) and 27.3% (year-to-date), attributing continued lower rates to tax optimization initiatives from the prior period ( " ).

Consistent application of tax optimization strategies is yielding progressively lower effective tax rates, maintaining stability across periods.

Pricing and Margin Pressures

Addressed margin pressures from currency impacts, SG&A expense increases due to technology investments, and variable gross margin percentages across Q1 ( " " " ), Q2 ( " " " ) and Q4 ( " " ).

Reports slight improvement in gross and revenue margins in Q3 with increased margins (gross margin up 20 basis points) but still notes challenges from FX-related costs and increased SG&A expenses ( " " " ).

Mixed signals persist—while margins show modest improvements, cost pressures from foreign exchange and technology investments remain key concerns, driving ongoing adjustments in pricing strategies.

Declining Focus on Private Label Growth

Across Q1 ( " ), Q2 ( " ) and Q4 ( " " ), private label brands like Member’s Selection were highlighted as key growth drivers with steadily increasing sales percentages.

Q3 emphasizes private label importance with Member’s Selection representing 27.7% of total merchandise sales, reinforcing its role in the value proposition ( " ).

No decline observed; the focus on private label growth remains strong or is even expanding, consistently representing a significant portion of sales and strategic emphasis across periods.