Costco's merchandise costs rose to $69.588 billion for the quarter, up from $69.219 billion a year earlier. Also, selling, general, and administrative (SG&A) expenses climbed to $7.067 billion from $6.939 billion.

Nonfood had the highest comparable sales in Q4, with Costco’s fresh department posting single-digit year-over-year growth. An expanded and elevated health and beauty category also performed well while pharmacy experienced double-digit growth.

Costco Wholesale (NASDAQ:COST) is set to report fourth quarter results on Thursday. Wall Street expects the retailer to post EPS of $5.08, while revenue is expected to rise 1.4% to $80.03 billion during the quarter.