BJ's Wholesale Club posted stronger-than-expected results in its fiscal first quarter, as consumers squeezed by inflation turned to warehouse clubs for bargains. Total revenue climbed 9.9% to $5.66 billion, beating Wall Street's estimate of $5.44 billion. The company benefited from continued membership growth and shoppers trading down from traditional grocery stores.

Profit came in at $142.7 million, or $1.10 a share, for the 13 weeks ended May 2. That dipped from $149.8 million, or $1.13 a share, a year earlier. On an adjusted basis, earnings still hit $1.10 a share, exceeding the $1.03 analysts had forecast. The beat signals the value play is holding up.

Warehouse clubs have become a refuge for inflation-weary shoppers, and BJ's results reflect that trend. Revenue outpacing estimates by roughly $220 million gave the stock a boost and reinforced the company's pricing power at a time when grocery inflation has been moderating.