BJ’s Wholesale Club Reports Record Year with Strong Membership Growth

Bj’s Wholesale Club Holdings ( (BJ) ) has released its Q4 earnings. Here is a breakdown of the information Bj’s Wholesale Club Holdings presented to its investors.

BJ’s Wholesale Club Holdings, Inc., a prominent membership warehouse club operator, offers a diverse range of products including fresh foods, household essentials, and gasoline across its locations in the United States. The company recently reported its financial results for the fourth quarter and full fiscal year 2024, highlighting a strong performance with record membership results and significant growth in digital sales.

In the fourth quarter of fiscal 2024, BJ’s Wholesale Club experienced a 4.0% increase in comparable club sales year-over-year, with a notable 4.6% rise when excluding gasoline sales. Membership fee income saw a robust 7.9% growth, reaching $117.0 million, while digitally enabled sales surged by 26.0%. Despite these gains, the company’s net sales slightly declined by 1.7% compared to the previous year, attributed to the absence of an extra week in fiscal 2023.

For the full fiscal year 2024, BJ’s reported a 2.5% increase in net sales, totaling $20.05 billion, and a 2.7% rise in total revenues. Operating income and net income showed modest growth, with adjusted EBITDA increasing by 0.8% to $1.09 billion. The company also expanded its share repurchase program, authorizing up to $1.0 billion in buybacks, reflecting confidence in its financial position.

Looking ahead to fiscal 2025, BJ’s Wholesale Club remains cautiously optimistic, expecting comparable club sales to grow between 2.0% and 3.5%, excluding gasoline sales. The company plans to invest approximately $800 million in capital expenditures to support its expansion efforts, including new club openings and a new distribution center, aiming to continue delivering value to its members.