On March 26, 2025, Petco Health and Wellness Company, Inc. (NASDAQ: WOOF) held its fourth quarter earnings call for the fiscal year 2024. The company reported earnings that were consistent with expectations, stating an earnings per share (EPS) of $0.02.
‘Good afternoon, and welcome to the Petco Health and Wellness Company, Inc. earnings call,’ began Tina Romani, Head of Investor Relations. She emphasized the presence of Chief Executive Officer Joel Anderson and Chief Financial Officer Sabrina Simmons during the call, highlighting the significance of their insights on the company’s performance.
Reflecting on Growth
Anderson noted that 2025 marks the sixtieth anniversary of Petco. ‘What started as a single store in 1965 has grown into a fleet of over 1,500 stores in North America,’ he stated. He explained that Petco aims to reinvent its brand to resonate with pet parents, acknowledging the deep emotional bonds people share with their pets.
Financial Performance
Petco’s Q4 revenue reached $1.55 billion, aligning with previous forecasts. Furthermore, adjusted EBITDA was reported at $96.1 million. ‘Our results reflect our progress in driving operational excellence and returning to a sustainable business model,’ said Anderson.
Future Directions
Anderson outlined a phased approach to enhancing Petco’s operations. He described a focus on improving the operating model, enhancing store performance, and restoring retail fundamentals. The emphasis will also be placed on creating a culture of teamwork and accountability among the company’s 30,000 employees.
Executive Insights
Sabrina Simmons further detailed the strategic financial priorities. ‘We aim to restore the health of our economic model, focusing on gross margin improvements and effective cost management,’ she mentioned, promising a comprehensive strategy to not only optimize current resources but also plan for future expansions.
Market Impact and Future Expectations
As the business navigates through challenges, it remains committed to its overarching goal of pet care. The pet care market is expected to grow significantly, with the company aiming to leverage this expansion. ‘We are confident in our ability to return to profitable growth and enhance customer satisfaction,’ concluded Simmons in the briefing.
Conclusion
With a clear path ahead, Petco Health and Wellness Company, Inc. is set to tackle both the challenges and opportunities that lie ahead in the evolving pet care industry.
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