BJ’s Wholesale Club on Friday reported comparable-club sales during the third quarter remained approximately flat year over year.
Excluding the impact of gasoline sales, comparable-club sales for the period ended Oct. 28 decreased 0.1% compared to the same period in fiscal 2022. However, the membership-based warehouse retailer reported digitally enabled comparable sales growth was 16% year over year, while membership fee income increased by 6.6% year over year to $106.1 million.
Profits were also up for the third quarter compared to prior year as BJ’s reported net income of $130.5 million compared to $129.9 million. Adjusted EBITDA increased by 1% to $274.9 million during Q3 compared to $272.3 million in the third quarter of fiscal 2022.
With same-store sales flat, BJ’s lowered its outlook for fiscal 2023.
“As we look ahead to the rest of the year, we remain confident in our ability to maintain the momentum in our traffic and market share gains due to our unrelenting focus on value,” said EVP and CFO Laura Felice in a statement. “We also continue to navigate shifts in consumer behavior driven by the broader macroeconomic environment. As a result, we are refining our sales outlook for the rest of the year.”
Felice said BJ’s expects “our comparable club sales, excluding the impact of gasoline sales, to range from a 2% decrease to 1% increase year over year in the fourth quarter fiscal 2023, and to increase by 1% to 1.8% year over year for the full year fiscal 2023.”
The warehouse club expects full-year earnings in the range of $3.80 to $3.92 per share.