Strong consumer spending, likely augmented by consumers seeking to maximize their value in a market wracked by high inflation, drove Costco quarterly revenue and profit estimates beyond Wall Street expectations. Strong sales in fresh food, fuel, and home furnishings led the gains.

The warehouse club operator’s shares dropped about 2% however as the company’s gross margins for the third quarter dropped by 99 basis points. Walmart, Target, Kohls, and Best Buy have all suffered of late due to decades of high inflation weighing on their profits. However Costco’s shoppers on the whole earn more money, and have flocked to the chain, buying memberships for low gas prices and greater purchasing power when buying groceries and home furnishings.

Membership revenues rose from $901 million a year ago, to $984 million this year as shoppers suffering under inflation sought out the greatest value for their dollars. Meanwhile total revenues rose 16% to $52.6 billion, beating analysts estimates of 51.71 billion. A share earned $3.17, beating estimates of $3.03.