Business
Petco Health + Wellness Company, Inc. Reports Third Quarter Earnings
Q3 2023 Operating Results Comparable sales flat year-over-year and increased 4.1 percent on a two-year basis Net revenue of $1.49 billion decreased 0.5
About this update from Petco Health And Wellness Company, Inc.
[{"type":"text","content":"Q3 2023 Operating Results\nComparable sales flat year-over-year and increased 4.1 percent on a two-year basis Net revenue of $1.49 billion decreased 0.5 percent year-over-yearGAAP net loss of $1.2 billion, or $(4.63) per share, reflecting a $1.2 billion non-cash goodwill impairment charge associated with goodwill originally recorded in 2015, compared to GAAP net income of $19.9 million, or $0.07 per share in the prior year Adjusted Net Income1 decreased $44.5 million to $(14.5) million Adjusted EBITDA1 of $72.2 million compared to $120.2 million in the prior yearAdjusted Earnings Per Share1 of $(0.05), compared to $0.11 per share in the prior yearOperating Cash Flow of $34.4 million compared to $109.4 million in the prior yearFree Cash Flow1 of $(28.1) million, compared to $33.5 million in the prior year and $(7.8) million compared to $(2.6) million in the prior year on a year-to-date basisSAN DIEGO, Nov. 29, 2023 /PRNewswire/ -- Petco Health and Wellness Company, Inc. (Nasdaq: WOOF), a complete partner in pet health and wellness, today announced its third quarter 2023 financial results.\n\n \n \n \n \n \n \n\n \nIn the third quarter of 2023, Petco delivered net revenue of $1.49 billion, down 0.5 percent versus prior year. The company's consumables business was up 1.8 percent versus prior year, and services and other business was up 15.0 percent versus prior year. Growth in the company's consumables and services and other business was partially offset by the company's supplies and companion animal business, down 8.8 percent versus prior year. \nDuring the third quarter, Petco recorded a $1.2 billion non-cash goodwill impairment charge associated with goodwill originally recorded in fiscal 2015, and due to decline in the company's stock price. This drove a GAAP net loss of $1.2 billion or $(4.63) per share compared to GAAP net income of $19.9 million or $0.07 per share in the prior year. Included in Q3 EPS is $0.03 of incremental interest expense year-over-year.\n\"Our third quarter results were below our expectations as we continue to navigate a challenging consumer environment and we are taking swift and decisive action to improve the performance of our business by broadening our appeal with customers and tightly managing costs and capital. This includes the introduction of the category's largest national cat and dog food value...