Costco Sees Strong Protein Sales Amid Rising Whey Prices and GLP-1 Drug Effects

Costco's protein-packed foods and drinks are selling strongly, the company's chief financial officer said during its quarterly earnings call on Thursday. U.S. warehouses.

Costco has broadened its selection of these items across snacks and drinks throughout its stores. Kirkland Signature, Costco's private label, introduced an ultra-filtered protein milk. CEO Ron Vachris said the product has "taken off extremely, extremely strong," linking the performance to GLP-1 weight-loss drugs.

He added that he is "quite impressed" with how large consumer packaged goods companies are adjusting to opportunities tied to the drugs. Vachris also noted that GLP-1 drugs are increasing member interest in magnesium and fiber.

U.S. Department of Agriculture said last week that prices for whey protein concentrate are rising due to high demand and low supply. " Scott Dicker, senior director and head of research and insights at Spins, told Bloomberg that protein cost increases typically appear on store shelves within 12 to 18 months.