PriceSmart, Inc.

Third-quarter net merchandise sales were almost $1.5 billion, up 12.5% year over year, or 8.5% in constant currency. Comparable net merchandise sales rose 10.7% year over year, or 6.9% in constant currency. Total revenue was almost $1.5 billion, and total revenue for the first nine months was almost $4.4 billion; net merchandise sales for the first nine months were almost $4.3 billion. Gross margin was 16.0% of net merchandise sales, up 20 basis points, and total revenue margin was 17.7%, up 30 basis points. Operating income increased 16.7% to $65.6 million, and net income was $39.7 million, or $1.28 per diluted share, versus $35.2 million, or $1.14, last year. Adjusted EBITDA was $90.4 million, up from $79.0 million. For the first nine months, operating income was $204 million, net income was $128.9 million, or $4.18 per diluted share, and adjusted EBITDA was $277 million. For the current fourth quarter, comparable net merchandise sales for the four weeks ended June 28, 2026 were up 11.2%, or 6.5% in constant currency. Management did not provide full-year EPS or revenue guidance on the call.

David Price said the quarter reflected the strength of PriceSmart’s offering, member loyalty, and employee execution despite global uncertainty, currency volatility, and trade-policy pressure. He emphasized continued momentum into Q4, highlighted leadership additions and organization changes, and framed Chile, new club openings, distribution centers, and technology investments as the next phase of growth. His tone was upbeat but pragmatic, with repeated focus on disciplined execution and serving members.

Gualberto Hernandez focused on margin and cash performance. Gross margin improved to 16.0%, total revenue margin rose to 17.7%, operating income reached $65.6 million, and SG&A was 13.3% of total revenue, slightly above last year due mainly to warehouse and preopening costs tied to Chile. He noted cash equivalents and restricted cash of $254.6 million plus $113.7 million of short-term investments, operating cash flow of $192.2 million for the first nine months, and higher investing cash use due to increased CapEx and investment activity. He also said Colombia forward FX contracts were entered to manage USD inventory exposure, and that Chile preopening expenses hit SG&A by about 10 basis points in the quarter.

Analysts focused on Chile, Colombia profitability, and Trinidad currency conversion. Management said Chile is being approached carefully with local hiring, pricing discipline, and a mix of local and imported goods; memberships will start selling several months before opening, likely earlier than usual because it is a brand-new concept. On Colombia, management pointed to higher operating costs, warehouse expense mix, wage pressure, and a reduced allowable workweek from 44 to 42 hours. On Trinidad, they said USD access remains illiquid and transactional costs will continue to fluctuate quarter to quarter as the company sources dollars opportunistically.