PriceSmart Surges on Q3 Revenue Exceeding Expectations

by MarketNewsData

PriceSmart (NASDAQ: PSMT) shares rose 5.6% to $108.44 after the company reported Q3 FY2025 earnings on July 10. Investors responded positively to the revenue beat and ongoing store expansion, despite the modest EPS miss.

Key Results vs. Analyst Expectations

  • Revenue:
    • Actual: $1.317 billion
    • Estimate: $1.310 billion
    • Result: Beat by $7 million
  • Non-GAAP EPS:
    • Actual: $1.14
    • Estimate: $1.16 (latest) / $1.12 (FMP average)
    • Result: Miss vs. latest consensus, slight beat vs. average

Year-over-Year Growth

  • Revenue: +8.0% YoY (from $1.217B)
  • EPS: +2.7% YoY (from $1.11)

No Updated Guidance

  • Management did not issue formal guidance for the next quarter or fiscal year in the 8-K.
  • FY2025 consensus estimates: Revenue $5.27B–$5.28B; EPS $4.87–$4.88

Operational Highlights

  • Continued growth in comparable store sales.
  • New club openings in Latin America contributed to top-line performance.
  • FX volatility and inflation weighed on margin expansion.
  • No major business updates or corporate actions disclosed.

Risks & Disclosures

  • FX headwinds and regional economic uncertainty continue to affect operations.
  • No changes in dividend policy, share repurchases, or legal proceedings.

Peer Context

PSMT’s 8% YoY revenue growth contrasts with slower growth from warehouse peers in emerging markets. However, its EPS lag suggests margin pressures remain an issue. Unlike Costco ($COST), PriceSmart operates almost entirely in Latin America, exposing it more to FX and local inflation swings.

Final Note
Strong top-line execution and steady expansion offset cost pressures and lack of guidance. But margin trends warrant monitoring going forward.

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