PriceSmart, Inc. owns and operates U.S.-style membership shopping warehouse clubs in the United States, Central America, the Caribbean, and Colombia. The company ...
PriceSmart, Inc. (PSMT) is a leading operator of membership warehouse clubs, primarily in Central America, the Caribbean, and Colombia, with a growing presence in the United States. Founded in 1994 by Sol and Robert Price (pioneers of the warehouse club model) and headquartered in San Diego, California, PriceSmart has grown ...PriceSmart, Inc. (PSMT) is a leading operator of membership warehouse clubs, primarily in Central America, the Caribbean, and Colombia, with a growing presence in the United States. Founded in 1994 by Sol and Robert Price (pioneers of the warehouse club model) and headquartered in San Diego, California, PriceSmart has grown to operate over 50 clubs across 12 countries. The company was spun off from Price/Costco in 1994 and became publicly traded in 1997. Under the leadership of CEO David N. Price, who took office in September 2023, the company continues to expand its footprint and enhance its offerings.
PriceSmart operates on a membership model, charging annual fees that provide access to discounted merchandise and services. The company's product portfolio includes private label items under the Member's Selection brand, covering groceries, cleaning supplies, health and beauty aids, fresh produce, meat, deli items, and more. Additionally, it offers electronics, appliances, apparel, home furnishings, and seasonal goods, catering to both individual and business members. Beyond retail, PriceSmart provides services such as optical, audiology, and pharmacy departments, as well as food and bakery services. The company has also invested in e-commerce, offering online ordering with curbside pickup and delivery to meet changing consumer preferences.
Financially, PriceSmart demonstrates robust performance with a market capitalization of approximately $5.5 billion and annual revenues exceeding $5.7 billion. The company maintains a strong balance sheet with manageable debt levels, as indicated by a debt-to-equity ratio of 0.234. Its operational efficiency is evident from inventory turnover of 7.5 times and a gross profit margin of 17.6%. PriceSmart has consistently paid dividends, with a recent dividend yield of 0.8%.
The company's strategic focus includes expanding into new markets, enhancing its digital capabilities, and maintaining low price leadership. With approximately 12,000 employees, PriceSmart is committed to delivering value to its members while fostering sustainable growth. Its leadership team, including Chairman Robert Price and CEO David N. Price, continues to drive innovation and operational excellence, positioning PriceSmart for long-term success in the competitive retail landscape.
Operator: Good morning or good afternoon, everyone. Welcome to PriceSmart Inc.'s earnings release conference call for the third quarter of fiscal year 2026, which ended on May 31st, 2026. After remarks from our company's representative, David Price, Chief Executive Officer, and Gualberto Hernandez, Chief Financial Officer, you will be given an opportunity to ask questions as time permits. As a reminder, this conference call is limited to one hour and is being recorded today, Thursday, July ninth, 2026. A digital replay will be available shortly following the conclusion of the call through Thursday, July 16th, 2026, by dialing 1-800-770-2030 for domestic callers or 1-647-362-9199 for international callers and entering replay access code 5898084#. For opening remarks, I would like to turn the call over to PriceSmart's Chief Financial Officer, Gualberto Hernandez. Please proceed, sir.
Gualberto Hernandez: Thank you, operator. Welcome to PriceSmart Inc.'s earnings call for the third quarter of fiscal year 2026, which ended on May 31st, 2026. We will be discussing the information that we provided in our earnings press release and our 10-Q, which were both released yesterday on July eight, 2026. Also in these remarks, we refer to non-GAAP financial measures. You can find a reconciliation of our non-GAAP financial measures to the most directly comparable GAAP measures in our earnings press release and our 10-Q. These documents are available on our investor relations website at investors.pricesmart.com, where you can also sign up for email alerts. As a reminder, all statements made on this conference call, other than statements of historical fact, are forward-looking statements concerning the company's anticipated plans, revenues, and related matters. Forward-looking statements include, but are not limited to, statements containing the words expect, believe, plan, will, may, should, estimate, and some other expressions. All forward-looking statements are based on current expectations and assumptions as of today, July nine, 2026. These statements are subject to risks and uncertainties that could cause actual results to differ materially, including the risks detailed in the company's most recent annual report on Form 10-K, the quarterly report on Form 10-Q filed yesterday, and other filings with the SEC, which are accessible on the SEC's website at www.sec.gov. These risks may be updated from time to time. The company undertakes no obligation to update forward-looking statements made during this call. I will turn the call over to David Price, PriceSmart's Chief Executive Officer.
David Price: Thank you, Gualberto. Good morning, everyone. Thank you for joining us today. We are happy with the strong results from the third quarter. These results reflect the strength of our offering, the loyalty of our members, and the dedication and passion of every employee across our 14 countries who show up every day to do right by our members and to live our values. I …