An operating lease is treated like a rental contract. Neither the leased asset nor the associated liability is reported on the lessee balance sheet, but the rights may be very similar to the rights of an owner. The lessee only records the lease payments as a rental expense in income statement.

Adjustments to Financial Statements for Operating Leases
Adjusted Financial Ratios for Operating Leases (Summary)
Adjusted Total Asset Turnover
Adjusted Debt to Equity
Adjusted Return on Assets (ROA)

Costco Wholesale Corp., Financial Data: Reported vs. Adjusted

Download chart

Costco Wholesale Corp., adjustments to financial statements

US$ in millions

	Aug 30, 2026	Aug 31, 2025	Sep 1, 2024	Sep 3, 2023	Aug 28, 2022	Aug 29, 2021
Adjustment to Total Assets
Total assets (as reported)	89,045)	77,099)	69,831)	68,994)	64,166)	59,268)
Add: Operating lease right-of-use asset (before adoption of FASB Topic 842)¹	—)	—)	—)	—)	—)	—)
Total assets (adjusted)	89,045)	77,099)	69,831)	68,994)	64,166)	59,268)
Adjustment to Total Debt
Total debt (as reported)	7,575)	7,267)	7,395)	7,890)	8,185)	8,543)
Add: Operating lease liability (before adoption of FASB Topic 842)²	—)	—)	—)	—)	—)	—)
Add: Current operating lease liabilities (included in Other current liabilities)	192)	208)	179)	220)	239)	222)
Add: Long-term operating lease liabilities	2,414)	2,460)	2,375)	2,426)	2,482)	2,642)
Total debt (adjusted)	10,181)	9,935)	9,949)	10,536)	10,906)	11,407)

Based on: 10-K (reporting date: 2026-08-30), 10-K (reporting date: 2025-08-31), 10-K (reporting date: 2024-09-01), 10-K (reporting date: 2023-09-03), 10-K (reporting date: 2022-08-28), 10-K (reporting date: 2021-08-29).

^{1, 2} Equal to total present value of future operating lease payments.

Costco Wholesale Corp., Financial Ratios: Reported vs. Adjusted

Download chart

Costco Wholesale Corp., adjusted financial ratios

	Aug 30, 2026	Aug 31, 2025	Sep 1, 2024	Sep 3, 2023	Aug 28, 2022	Aug 29, 2021
Total Asset Turnover¹
Reported total asset turnover	3.34	3.50	3.57	3.45	3.47	3.24
Adjusted total asset turnover	3.34	3.50	3.57	3.45	3.47	3.24
Debt to Equity²
Reported debt to equity	0.21	0.25	0.31	0.31	0.40	0.49
Adjusted debt to equity	0.28	0.34	0.42	0.42	0.53	0.65
Return on Assets³ (ROA)
Reported ROA	10.36%	10.50%	10.55%	9.12%	9.11%	8.45%
Adjusted ROA	10.36%	10.50%	10.55%	9.12%	9.11%	8.45%

Based on: 10-K (reporting date: 2026-08-30), 10-K (reporting date: 2025-08-31), 10-K (reporting date: 2024-09-01), 10-K (reporting date: 2023-09-03), 10-K (reporting date: 2022-08-28), 10-K (reporting date: 2021-08-29).

¹ See details »

² See details »

³ See details »

Financial ratio	Description	The company
Adjusted total asset turnover	An activity ratio calculated as total revenue divided by adjusted total assets.	Costco Wholesale Corp. adjusted total asset turnover ratio deteriorated from 2024 to 2025 and from 2025 to 2026.
Adjusted debt to equity	A solvency ratio calculated as adjusted total debt divided by total shareholders’ equity.	Costco Wholesale Corp. adjusted debt to equity ratio improved from 2024 to 2025 and from 2025 to 2026.
Adjusted ROA	A profitability ratio calculated as net income divided by adjusted total assets.	Costco Wholesale Corp. adjusted ROA deteriorated from 2024 to 2025 and from 2025 to 2026.

Download chart

	Aug 30, 2026	Aug 31, 2025	Sep 1, 2024	Sep 3, 2023	Aug 28, 2022	Aug 29, 2021
As Reported
Selected Financial Data (US$ in millions)
Net sales	297,247)	269,912)	249,625)	237,710)	222,730)	192,052)
Total assets	89,045)	77,099)	69,831)	68,994)	64,166)	59,268)
Activity Ratio
Total asset turnover¹	3.34	3.50	3.57	3.45	3.47	3.24
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Net sales	297,247)	269,912)	249,625)	237,710)	222,730)	192,052)
Adjusted total assets	89,045)	77,099)	69,831)	68,994)	64,166)	59,268)
Activity Ratio
Adjusted total asset turnover²	3.34	3.50	3.57	3.45	3.47	3.24

Based on: 10-K (reporting date: 2026-08-30), 10-K (reporting date: 2025-08-31), 10-K (reporting date: 2024-09-01), 10-K (reporting date: 2023-09-03), 10-K (reporting date: 2022-08-28), 10-K (reporting date: 2021-08-29).

2026 Calculations

¹ Total asset turnover = Net sales ÷ Total assets
= 297,247 ÷ 89,045 = 3.34

² Adjusted total asset turnover = Net sales ÷ Adjusted total assets
= 297,247 ÷ 89,045 = 3.34

Activity ratio	Description	The company
Adjusted total asset turnover	An activity ratio calculated as total revenue divided by adjusted total assets.	Costco Wholesale Corp. adjusted total asset turnover ratio deteriorated from 2024 to 2025 and from 2025 to 2026.

Download chart

	Aug 30, 2026	Aug 31, 2025	Sep 1, 2024	Sep 3, 2023	Aug 28, 2022	Aug 29, 2021
As Reported
Selected Financial Data (US$ in millions)
Total debt	7,575)	7,267)	7,395)	7,890)	8,185)	8,543)
Total Costco stockholders’ equity	35,803)	29,164)	23,622)	25,058)	20,642)	17,564)
Solvency Ratio
Debt to equity¹	0.21	0.25	0.31	0.31	0.40	0.49
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Adjusted total debt	10,181)	9,935)	9,949)	10,536)	10,906)	11,407)
Total Costco stockholders’ equity	35,803)	29,164)	23,622)	25,058)	20,642)	17,564)
Solvency Ratio
Adjusted debt to equity²	0.28	0.34	0.42	0.42	0.53	0.65

Based on: 10-K (reporting date: 2026-08-30), 10-K (reporting date: 2025-08-31), 10-K (reporting date: 2024-09-01), 10-K (reporting date: 2023-09-03), 10-K (reporting date: 2022-08-28), 10-K (reporting date: 2021-08-29).

2026 Calculations

¹ Debt to equity = Total debt ÷ Total Costco stockholders’ equity
= 7,575 ÷ 35,803 = 0.21

² Adjusted debt to equity = Adjusted total debt ÷ Total Costco stockholders’ equity
= 10,181 ÷ 35,803 = 0.28

Solvency ratio	Description	The company
Adjusted debt-to-equity	A solvency ratio calculated as adjusted total debt divided by total shareholders’ equity.	Costco Wholesale Corp. adjusted debt-to-equity ratio improved from 2024 to 2025 and from 2025 to 2026.

Download chart

	Aug 30, 2026	Aug 31, 2025	Sep 1, 2024	Sep 3, 2023	Aug 28, 2022	Aug 29, 2021
As Reported
Selected Financial Data (US$ in millions)
Net income attributable to Costco	9,226)	8,099)	7,367)	6,292)	5,844)	5,007)
Total assets	89,045)	77,099)	69,831)	68,994)	64,166)	59,268)
Profitability Ratio
ROA¹	10.36%	10.50%	10.55%	9.12%	9.11%	8.45%
Adjusted for Operating Leases
Selected Financial Data (US$ in millions)
Net income attributable to Costco	9,226)	8,099)	7,367)	6,292)	5,844)	5,007)
Adjusted total assets	89,045)	77,099)	69,831)	68,994)	64,166)	59,268)
Profitability Ratio
Adjusted ROA²	10.36%	10.50%	10.55%	9.12%	9.11%	8.45%

Based on: 10-K (reporting date: 2026-08-30), 10-K (reporting date: 2025-08-31), 10-K (reporting date: 2024-09-01), 10-K (reporting date: 2023-09-03), 10-K (reporting date: 2022-08-28), 10-K (reporting date: 2021-08-29).

2026 Calculations

¹ ROA = 100 × Net income attributable to Costco ÷ Total assets
= 100 × 9,226 ÷ 89,045 = 10.36%

² Adjusted ROA = 100 × Net income attributable to Costco ÷ Adjusted total assets
= 100 × 9,226 ÷ 89,045 = 10.36%

Profitability ratio	Description	The company
Adjusted ROA	A profitability ratio calculated as net income divided by adjusted total assets.	Costco Wholesale Corp. adjusted ROA deteriorated from 2024 to 2025 and from 2025 to 2026.

Costco Wholesale Corp. (NASDAQ:COST)

Analysis of Operating Leases

Adjustments to Financial Statements for Operating Leases

Costco Wholesale Corp., Financial Data: Reported vs. Adjusted

Adjusted Financial Ratios for Operating Leases (Summary)

Costco Wholesale Corp., Financial Ratios: Reported vs. Adjusted

Adjusted Total Asset Turnover

Adjusted Debt to Equity

Adjusted Return on Assets (ROA)