Costco posts better than expected earnings thanks to a tax boost. The company made headlines because it posted better than expected profits of $1.35 per share, up from $1.05 in the same period a year ago. This was thanks to a tax benefit from issuing a special dividend. It recently surprised its shareholders by announcing another one. In January, Costco announced that it would pay out a special dividend of $5 per share to its shareholders on February 27. It is in addition to the normal annual dividends of $1.44 per share. The total cost of these special dividends will be a huge $2.2 billion; however, Costco is in a strong financial position to take up this responsibility right now.
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