Hello and thank you for calling Costco Wholesale Corporation. I'm David Sherwood, AVP of Finance and Investor Relations, and I will review our sales results for the 5 week retail month of June, which started on Monday, June 3 and ended on Sunday, July 7. This period is compared to the 5 weeks beginning on Monday, June 4 and ending on Sunday, July 8, 2018. This call will include forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties that may cause actual events, results and or performance to differ materially from those indicated by such statements.
The risks and uncertainties include, but are not limited to, those outlined in today's call as well as other risks identified from time to time in the company's public statements and reports filed with the SEC. Forward looking statements speak only as of the date they are made, and the company does not undertake to update them except as required by law. Now with regards to sales, as reported in our release, net sales for the 5 week month of June came in at $14,570,000,000 an increase of 7.5 percent from $13,550,000,000 last year. For the 44 weeks ended July 7, net sales came in at $126,130,000,000 an increase of 8.0 percent from $116,810,000,000 last year. Comparable sales were as follows: In the U.
S, the 5 weeks was a 6.3%, 44 weeks, 8.0% Canada, the 5 weeks was a 2.8%, 44 weeks, 1.1 percent Other International, 5 weeks was a 3.1%, 44 weeks, 2.1%. Total company, 5 weeks, 5.4%, 44 weeks, 6.2%. For e commerce, the 5 weeks was at 15.7% and the 14 sorry, 44 weeks was 23.2%. Comparable sales excluding the impacts from changes in gasoline prices, foreign exchange and revenue recognition were as follows. In the U.
S, the 5 weeks was a 5.3%, 44 weeks 6.5% Canada, 5 weeks 4.3%, 44 weeks, 5.2 percent other international, 5 weeks, 5.5 percent 44 weeks, 5.7 percent and total company, 5 weeks, 5.1 percent and the 44 weeks 6.2 percent. For e commerce 5 weeks 20.8% and the 4 to 4 weeks 23.2%. The difference in the 2 5 week e comm figures was primarily due to revenue recognition The and total company benefited approximately 120 basis points. In terms of regional and merchandising categories, the general highlights were as follows. U.
S. Regions with the strongest results were the Midwest, Bay Area and San Diego. Other international and local currencies, we saw the strongest results in Taiwan, Mexico and Japan. Foreign currencies year over year relative to the U. S.
Dollar hurt June comp sales as follows: Canada by approximately 70 basis points other international by approximately 200 basis points and total company by approximately 30 basis points. The negative impact of cannibalization was approximately 50 basis points in the U. S, 130 basis points in Canada, 190 basis points in other international and 80 basis points for the total company. Moving to merchandise highlights, the following comparable sales results by category for the month exclude the impact of foreign exchange. Food and sundries were positive mid single digits.
Departments with the strongest results were candy, liquor and tobacco. Hardlines were positive mid single digits. Better performing departments were toys and seasonal, automotive and HAVA. Softlines up mid single digits, better performing departments including apparel, housewares and domestics. And finally, Fresh Foods were also up mid single digits.
Better performing departments included service deli and meat. Within the ancillary businesses, hearing aids, optical and pharmacy had the best comp sales increases. Gasoline price deflation negatively impacted total reported comp sales by approximately 60 basis points. The average selling price was lower year over year at $2.94 per gallon this year compared to $3.07 a year earlier. Our comp traffic or frequency for June was up 3.7% worldwide and 3.4% in the U.
S. The average transaction was up 1.7% for the month, which includes the negative impacts from foreign exchange and gasoline deflation and the positive impact from revenue recognition. Looking ahead, the July reporting period will include 4 weeks beginning July 8 and ending August 4 compared to the 4 weeks beginning July 9, ending August 5, 2018. July sales will be released at 1:15 p. M.
Pacific Time on August 7. Costco currently operates 7 76 warehouses, including 539 in the United States and Puerto Rico, 100 in Canada, 39 in Mexico, 28 in the United Kingdom, 26 in Japan, 16 in Korea, 13 in Taiwan, 11 in Australia, 2 in Spain and 1 each in Iceland and France. Costco also operates e commerce websites in the U. S, Canada, U. K, Mexico, Korea and Taiwan.
If you have any questions regarding our June sales results or other or any other Investor Relations questions, please do not hesitate to call Bob Nelson at 425-313-8255, Josh Damon at 425-313 8254 or myself, David Sherwood at 425-313-8239. This recording will be available until 5 pm Pacific Time, Wednesday, July 17th. Thanks for calling Costco, and have a great day.