Costco May same-store sales rise 7 percent

NEW YORK (Reuters) - Costco Wholesale Corp. (COST.O) on Thursday reported a 7 percent increase in May sales at stores open at least a year as it benefited from strengthening foreign currency and higher gasoline prices.

Analysts on average were expecting a gain of 5.4 percent, according to a Reuters survey.

Costco, the largest U.S. warehouse club, said total sales in the four weeks ended June 3 rose 11 percent to $5.14 billion.

In May, U.S. sales were strongest in the Midwest, Northeast, Northwest and Texas. Internationally, the company had strongest sales in Korea and Taiwan, a spokesman said on a prerecorded call.

Gasoline sales increased from the year-earlier period, and electronic items like televisions, digital cameras and printers also sold well, he said. Tobacco sales were weak in both Canada and the United States.

The company operates 511 warehouses worldwide -- 377 in the United States and Puerto Rico, and 71 in Canada.