Costco unlocks US$13.3 billion shareholder payout

Costco announces US$13.3 billion special dividend

Costco Wholesale Corporation (NASDAQ:COST) is preparing one of its largest direct capital returns, declaring a US$30-per-share special dividend worth approximately US$13.3 billion in total. The payment is due on 4 December 2026 to shareholders on the register at the close of business on 24 November.

The announcement gives Costco shareholders a substantial cash distribution without changing the company’s regular dividend arrangements in the disclosure. The filing does not provide a reason for the special payment, nor does it set out how the distribution will affect future capital allocation.

Buyback authority extended to November 2030

Alongside the dividend, the board reauthorised a common-stock repurchase programme of up to US$4 billion. The new authority replaces a US$4 billion programme adopted in 2023 and scheduled to expire in January 2027; Costco said US$3.1 billion had been used under that earlier mandate.

The renewed authorisation gives the company additional capacity to buy shares over a longer period, but it does not specify the pace or timing of future repurchases. That distinction matters: an authorisation permits purchases, rather than guaranteeing that the full amount will be spent.

Board vacancy follows Rhode Island election

Helena Foulkes also resigned from Costco’s board and its Audit and Nominating and Governance committees, effective 7 November, after being elected governor of Rhode Island. Foulkes had served as a director since August 2023.

Costco said her resignation was not the result of a disagreement over the company’s operations, policies or practices. The filing does not identify a successor or disclose how the committee vacancies will be filled, leaving those governance questions for a later announcement.