Slide 1: 4Q23 Earnings Call
NASDAQ: PETS 4Q23 Earnings Call May 2023
Slide 2: Safe Harbor & Non-GAAP Measures
Safe Harbor & Non-GAAP Measures This Presentation contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 as contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended
Slide 3: Your Trusted Pet Health Expert
Your Trusted Pet Health Expert VISION Every pet deserves to live a long, happy, healthy life MISSION PetMeds aims to be the most trusted pet health expert by providing incredible care and services that are affordable to the broadest group of pet parents. 3
Slide 4: Corporate Overview
Corporate Overview Founded in 1996, PetMeds is “Your Trusted Pet Health Expert” providing fast, easy and helpful service to over 11 million customers across the U.S. NASDAQ: PETS Share Price1 $14.72 Company Highlights Market Cap1 $318.8M • Closed acquisition of PetCareRx in April 2023 FY 2023 Revenu
Slide 5: Total Wellness: "From Nose to Tail"
Total Wellness: “From Nose to Tail” Additional growth, transaction and partnership opportunities Product Expansion Telemedicine Insurance Medication Care Wellness Nutrition 5
Slide 6: Integrating PetCareRx
Integrating PetCareRx Additional products, higher LTV, expanded distribution capabilities • Coordinate demand generation • Expand addressable market • Expand distribution and shipping • Increase product availability • Analyze supplier agreements • Higher LTV and wallet share Medication Nutrition 6
Slide 7: Market Opportunity
Market Opportunity A diverse opportunity for pet parents focused on diet and health Total Pet Market (2021)1 Pet Insurance $10 Non-prescription food Prescription medication Non-prescription medication $51 Prescription food $35 $123B $ in billions Supplements $26 Pet Food/Treats Pet Supplies Veterina
Slide 8: Growth Strategy - Progress
Growth Strategy - Progress Strategic Initiatives to Transform PetMeds New customer growth Increased recurring subscription revenue Revenue growth Non-medication catalog expansion Unique and differentiated services Vision: 8
Slide 9: Financial Overview
FINANCIAL OVERVIEW
Slide 10: Select Financials
Select Financials 3 Months Ended March 31, Fiscal Year Ended March 31, $ in Millions 2023 2022 2023 2022 Sales $62.4 $66.0 $256.9 $273.4 Gross Profit 17.4 19.4 71.0 78.1 Operating Expenses (24.5) (12.3) (72.5) (52.4) Adj. EBITDA1 $3.6 $9.5 $19.8 $34.0 Net Income ($6.0) $6.1 ($0.7) $21.1 Dividend ($0
Slide 11: Capital Allocation Strategy
Capital Allocation Strategy Organic Inorganic Return to Growth Growth Shareholders Working Alliances & Share Capex Acquisitions Dividends Capital Partnerships Repurchases 11
Slide 12: Investment Highlights
Investment Highlights Expert well-known online pet pharmacy with over 2 million unique customers Strong market demand for pet medication in pet category resilient to economic headwinds Strong balance as a basis for growth with significant brand assets Broader strategic plan – expansion of new custom
Slide 13: www.petmeds.com
Company Christine Chambers Chief Financial Officer 561-526-4444 Investor Relations Brian M. Prenoveau, CFA MZ Group 561-489-5315 investor@petmeds.com www.petmeds.com