Costco will release its second-quarter earnings on Thursday, the final set under Richard Galanti before he leaves his post as the warehouse retailer’s CFO. It is a position he has held for nearly 40 years, since 1985.
Galanti will step down at the end of next week, handing the job over to former Kroger CFO Gary Millerchip and ending a decadeslong tenure as a financial fixture for the company’s shareholders that often included speaking on earnings calls.
COSTCO CFO RICHARD GALANTI TO STEP DOWN AFTER NEARLY 4 DECADES AS FINANCE CHIEF
On top of discussing details of Costco’s financial performance with analysts and investors on quarterly calls and fielding questions about when it could next hike its membership fees, Galanti has often offered up colorful tidbits about the retailer.
Here are some of the interesting pieces of color Galanti has given on calls.
In mid-December, Galanti said he had "gotten more than a few calls in the past few weeks as to how many pies we sold in the U.S. leading up to the Thanksgiving holiday."
Costco's customers in America bought over 4 million pies in that short timeframe, the longtime CFO reported. That total included 2.9 million pumpkin pies as well as 1.3 million apple and pecan pies.
Between September and December each year, the retailer sees sales of some 6 million pumpkin pies, Susan Schwartz, who authored "The Joy of Costco: A Treasure Hunt from A to Z" with husband David Schwartz, previously told FOX Business.
COSTCO IS SO BELOVED BY THIS COUPLE, THEY WROTE A BOOK ABOUT THE RETAILER
When asked during the same earnings call by an analyst about whether Costco had observed "any notable behavioral trends" during the holidays, Galanti quipped, "Some colleague in my room said they’re buying gold. But no, that’s actually online mostly."
The company has sold non-refundable 1-ounce gold bars from Rand Refinery and PAMP Suisse through its website, according to October reports. It instituted a two-bar limit for Costco members.
Costco saw quite a windfall from them in the first quarter, with Galanti reporting the retailer sold over $100 million worth in the three months.
He previously discussed the in-demand item selling out "within a few hours" in late September.
Galanti often pulls out the phrase "when, not if" when discussing the possibility of Costco increasing how much it charges for memberships.
The retailer has not hiked its membership fees since 2017 and has done so in the past on a cadence of roughly every five years and seven months. It reported having 129.5 million cardholders at the end of the first quarter.
"It’s a question of when, not if. But at this juncture, we feel pretty good about what we’re doing," he recently said, noting Costco "certainly [has] driven more value to the membership."
Costco famously charges just $1.50 for its hot dog and soda combo.
In September 2022, when inflation was much higher than it is today, Galanti told analysts and investors "there [were] some businesses that are doing well with margin like gas business in a smaller way, the travel business, those things help us be more aggressive in other areas, or as you mentioned, hold the price on the hot dog and the soda a little longer, forever."
WHY COSTCO HOT DOGS HAVE KEPT $1.50 PRICE TAG SINCE 1985
The hot dog and soda deal has come with that $1.50 price tag since the 1980s.
