BJ's Wholesale Club Holdings Inc. Second Quarter Revenue and Comparable Store Sales Fall Short of Expectations

On Friday, shares of membership warehouse retailer BJ's Wholesale Club Holdings Inc. (BJ) dropped 8% after the company reported an unexpected decline in second-quarter comparable store sales.

The Marlborough, Massachusetts-based company reported adjusted earnings per share of $1.14 and revenue growth of 3.4% year-over-year to $5.38 billion. Analysts surveyed by Visible Alpha had previously expected earnings per share of $1.09 and revenue of $5.49 billion.

BJ's Wholesale Club Holdings Inc. stated that its comparable store sales declined 0.3% "due to the impact of declining retail fuel prices." Analysts had previously expected this metric to grow approximately 2.4%. Excluding the impact of gasoline operations, comparable store sales increased 2.3%, but still fell below broad market expectations.

The company's membership base grew to a record 8 million members, with membership fee revenue increasing 9% to $123.3 million.

BJ's Wholesale Club Holdings Inc. Raises and Narrows Full-Year Adjusted EPS Guidance

BJ's Wholesale Club Holdings Inc. raised and narrowed its fiscal 2025 adjusted earnings per share guidance range from the previous $4.10 to $4.30, to $4.20 to $4.35. The company's Chief Financial Officer Laura Felice stated: "We are pleased with our business performance year-to-date and are confident in our outlook for the second half of the year."

Despite Friday's stock decline, BJ's Wholesale Club Holdings Inc. shares have still gained nearly 10% year-to-date.