BJ's Wholesale Club Reports Q3 2025 Adjusted EPS of $1.16, Beats Analyst Estimates

BJ’s Wholesale Club (BJ.US) announced its financial results for the third quarter of fiscal year 2025, ended November 1, 2025, reporting adjusted earnings per diluted share of $1.16. This performance exceeded analyst estimates of $1.10. Total revenues for the quarter reached $5.35 billion, marking a 4.9% increase year-over-year. Net income for the period was $152.05 million, a 2.4% decrease from the prior year's quarter.

Key Business Drivers

The company experienced strong growth in comparable club sales, which increased by 1.1% year-over-year, and by 1.8% excluding gasoline sales. Membership fee income saw a significant rise of 9.8% year-over-year, reaching $126.3 million. This growth was primarily fueled by robust membership acquisition, retention, and higher-tier membership penetration across both new and existing clubs, alongside an increase in annual membership fees effective January 2025.

Digitally enabled comparable sales also showed strong momentum, growing by 30%, reflecting a two-year stacked comparable growth of 61%. Gross profit for the quarter increased to $1.01 billion, up from $975.5 million in the third quarter of fiscal 2024. However, selling, general and administrative expenses rose to $788.2 million, primarily due to increased labor, occupancy costs from new club and gas station openings, and higher advertising expenses.

Management Outlook

Management provided an updated outlook for fiscal 2025, narrowing the projection for merchandise comparable club sales while increasing the outlook for adjusted earnings per share. The company now expects comparable club sales, excluding gasoline sales, to increase between 2.0% and 3.0% year-over-year. Adjusted EPS is projected to range from $4.30 to $4.40 for the full fiscal year.

Laura Felice, Executive Vice President and Chief Financial Officer, stated that the business has delivered solid year-to-date results despite a volatile environment, underscoring the strength of their business model. The company is also on track to add seven new clubs in the fourth quarter, further expanding its footprint.