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• Costco for Latin America and the Caribbean.
• Sam's Club for Central and South America.

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• Groceries and Food Items: A wide selection of fresh, frozen, and shelf-stable food products, including produce, meats, dairy, and pantry staples.
• General Merchandise: A diverse range of non-food items such as electronics, home goods, apparel, health and beauty products, and seasonal merchandise.
• Ancillary Services: In-club services like tire centers, optical centers, pharmacies, and food courts, which enhance the membership value.

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Pricesmart (symbol: PSMT) operates membership warehouse clubs in Central America and the Caribbean, similar to the business model of Costco or Sam's Club. Consequently, the company primarily sells directly to its individual and business members rather than to a few major corporate customers. Its customer base can be broadly categorized into the following three groups:

• Individual Households and Families: This category represents the largest portion of Pricesmart's membership. These customers are individuals and families who purchase a wide variety of goods for personal and household consumption, including groceries, fresh produce, electronics, home furnishings, apparel, health and beauty products, and general merchandise. They are typically motivated by the perceived value, bulk savings, and extensive product selection offered by the warehouse club format.

• Small and Medium-Sized Businesses: A significant portion of Pricesmart's sales comes from business members. This category includes a diverse range of enterprises such as:

  • Restaurants, hotels, and catering services purchasing food, beverages, and hospitality supplies in bulk.
  • Convenience stores, independent grocers, and other small retailers sourcing inventory for resale.
  • Offices, schools, and institutions buying supplies, electronics, and breakroom items for their operations.

  These businesses leverage Pricesmart for cost-efficiency, convenience, and access to a broad assortment of products essential for their daily operations.

• Governmental Agencies and Non-Profit Organizations: While often a smaller segment, some governmental departments, educational institutions, hospitals, or non-profit organizations hold corporate memberships. They utilize Pricesmart to procure supplies, equipment, or goods in bulk for their institutional needs, programs, or events, benefiting from the competitive pricing and selection available at the clubs.

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David N. Price
Chief Executive Officer

David N. Price became the Chief Executive Officer of PriceSmart effective September 1, 2025. He joined the company in July 2017. Prior to his current role, he served as Executive Vice President and Chief Transformation Officer from August 2023 to August 2025, where he was responsible for Information Technology, PriceSmart.com, and Payment Solutions and Services. From December 2022 to July 2023, he was the Executive Vice President and Chief of Staff to the Chairman of the Board and Interim Chief Executive Officer, Robert Price. He held positions as Vice President for Environmental and Social Responsibility (January 2022 to December 2022) and Vice President for Omnichannel Initiatives and Environmental and Social Responsibility (September 2020 to January 2022). From September 2018 to August 2020, Mr. Price was a Director in the E-Commerce division. He is the son of Robert Price, who was the Interim Chief Executive Officer and Chairman, and a founder of The Price Company (Price Club). Mr. David Price also serves as President & Chief Executive Officer at David N. Price & Associates, Inc., a financial consulting firm, and has over 20 years of experience in the financial industry. He has been President of the PriceSmart Foundation since 2022.

Gualberto Hernandez
Executive Vice President and Chief Financial Officer

Gualberto Hernandez was appointed Executive Vice President and Chief Financial Officer of PriceSmart, effective June 1, 2025. He succeeded Michael McCleary, who retired from the position. Before joining PriceSmart, Mr. Hernandez served as Vice President of Finance & Strategy for Latin America at The Estée Lauder Companies starting in 2016. He also brings experience in finance and strategy from his tenure at Sephora.

John D. Hildebrandt
President - Chief Operating Officer

John D. Hildebrandt has served as President and Chief Operating Officer since December 2022. Prior to this, he was Executive Vice President and Chief Operating Officer from May 2022 to December 2022, and Executive Vice President and Acting Chief Operating Officer from March 2022 to May 2022. He previously held the position of Executive Vice President — Operations from February 2010 to February 2022.

Francisco Velasco
Executive Vice President - Chief Legal Officer, Chief Risk & Compliance Officer, and Registered In-House Counsel

Francisco Velasco has been the Executive Vice President - Chief Legal Officer, Chief Risk & Compliance Officer, and Registered In-House Counsel of PriceSmart since May 2024. He served as Executive Vice President, General Counsel, and Chief Ethics & Compliance Officer from October 2016 to May 2024. He joined PriceSmart in July 2016 as Executive Vice President, General Counsel and Secretary. Before PriceSmart, Mr. Velasco was Division Counsel Latin America for AbbVie Inc. and held in-house legal roles at Abbott Laboratories and Hanes Brands Inc.

Diana Pacheco
Executive Vice President – Human Resources

Diana Pacheco has served as Executive Vice President – Human Resources since September 2023. Prior to this, she was Senior Vice President – Human Resources from August 2021 to September 2023. Before joining PriceSmart, Ms. Pacheco was the Chief People Officer for Goddard Enterprises Ltd, a publicly traded Caribbean conglomerate, from January 2019 to August 2021.

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1. Political, Economic, and Compliance Risks of International Operations and Currency Volatility: PriceSmart operates in multiple international markets, making it highly susceptible to a range of political, economic, and compliance risks. These include adverse changes in economic conditions, political instability, and the effects of tariffs or international trade wars. Furthermore, the company faces significant exposure to volatility in currency exchange rates and the potential illiquidity of certain local currencies in its markets, which can materially impact reported financial results due to the translation of foreign operations into U.S. dollars.

2. Competition and Consumer Spending Patterns: The company operates in a competitive retail environment, and its success is dependent on consumer and small business spending patterns in its markets. Changes in these patterns or increased competition could adversely affect its financial performance.

3. Cybersecurity Breaches and Reliance on Third-Party Service Providers: PriceSmart relies on information technology systems and third-party service providers for various aspects of its operations, including transaction and payment processing, data security, and other technology services. Cybersecurity breaches could lead to system disruptions or compromise the security of member, employee, or business information, posing a significant risk to the business.

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PriceSmart (PSMT) operates membership shopping warehouse clubs offering a wide array of products, including groceries, cleaning supplies, health and beauty aids, electronics, appliances, and home furnishings, along with food, bakery, and health services in Central America, the Caribbean, and Colombia.

Addressable Markets for PriceSmart's Main Products and Services:

• Central America: The addressable market for warehouse clubs in Central America was approximately $2.6 billion, as of a report that indicates actual sales of warehouse clubs in the region. This represents about 0.9% of the total GDP of $286 billion for Central America. For the broader retail packaged food market, the sales value in Central America is projected to reach US$21.5 billion in 2024 and grow to US$28.9 billion by 2029.
• The Caribbean: The addressable market for warehouse clubs in the Caribbean Islands (including Trinidad, Dominican Republic, Aruba, Barbados, Jamaica, and St. Thomas) was approximately $1.2 billion in actual sales. This constituted about 0.8% of the region's total GDP of $150 billion. More broadly, the packaged food retail business in the Caribbean had a market size of US$10.2 billion in 2024, with a projected increase to US$14.2 billion by 2029. Large and modern supermarkets, hypermarkets, and warehouse clubs collectively account for over 73% of grocery retail sales in the Caribbean, even though they represent only 13% of total retail outlets. Total grocery retail sales (excluding sales tax) in the Caribbean were estimated at $10.3 billion in 2023.
• Colombia: The addressable market for warehouse clubs in Colombia was approximately $420 million in actual sales, representing 0.33% of Colombia's total GDP of $340 million.

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1. Geographic Expansion and New Club Openings: Pricesmart plans to continue expanding its physical footprint by opening new warehouse clubs in existing and new markets. This includes planned openings in Jamaica and the Dominican Republic, and a potential entry into Chile. For instance, the company plans to open three new clubs in fiscal 2026, with two in Jamaica and one in the Dominican Republic. New club rollouts are expected to support revenue growth and diversify the geographic mix.
2. Growth in Membership and Increased Membership Fees: The company's membership model is a key driver, with a focus on increasing its member base and adjusting annual membership fees over time. Pricesmart reported 2.01 million memberships with an 88.8% renewal rate in fiscal year 2025, and membership income rose 13.7% to $85.6 million. The company increased annual membership fees in substantially all countries during fiscal year 2024.
3. Expansion of Digital Channels and Omni-channel Capabilities: Pricesmart is investing in and expanding its digital presence, including its e-commerce website and mobile applications. Total net merchandise sales through digital channels increased by 21.6% year-over-year in fiscal year 2025, representing 6% of total net merchandise sales. Continued investment in omni-channel capabilities and digital platforms is expected to drive growth in fiscal 2026.
4. Increased Private Label Penetration: The company is strategically focusing on expanding its private label offerings under the "Member's Selection" brand. Private label sales represented 27.1% of total net merchandise sales in the first six months of fiscal year 2024, up from 25.9% in the comparable prior period. This initiative aims to enhance gross margins and provide value-priced alternatives to members.

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Share Repurchases

• PriceSmart completed a $75 million stock buyback program.
• In the first six months of fiscal year 2025, there were fewer repurchases of common stock, contributing to a decrease in net cash used in financing activities.

Share Issuance

• As of August 31, 2025, 32,570,858 shares were issued, compared to 30,635,556 shares outstanding (net of treasury shares) as of August 31, 2024.

Capital Expenditures

• The company's trailing 12-month capital expenditures amounted to -$128.26 million.
• PriceSmart plans to open new warehouse clubs, including its third in Jamaica (Montego Bay) by summer 2026, and has secured a land lease for a fourth club in Jamaica (South Camp Road). The company also opened its ninth club in Costa Rica (Cartago) in spring 2025 and its seventh in Guatemala (Quetzaltenango) in summer 2025, increasing its total club count to 56 as of September 2025.
• Investments are being made to improve distribution infrastructure, with in-country distribution centers in various stages of development or implementation in markets such as Guatemala, Trinidad, and the Dominican Republic.