Chewy Inc ( (CHWY) ) has released its Q2 earnings. Here is a breakdown of the information Chewy Inc presented to its investors.
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Chewy Inc., a leading online retailer in the pet products industry, offers a wide range of pet supplies and services, emphasizing convenience and customer-centric experiences. In its second quarter of fiscal year 2025, Chewy reported net sales of $3.10 billion, marking an 8.6% increase from the previous year. The company’s gross margin improved to 30.4%, while net income stood at $62 million, despite a decrease in net margin. Chewy’s Autoship program contributed significantly to sales, with a 15% increase, representing 83% of total net sales.
Key financial metrics for the quarter included a 26.5% rise in adjusted EBITDA to $183.3 million and a 34.8% increase in adjusted net income to $141.1 million. The company also reported an adjusted EBITDA margin of 5.9% and an adjusted diluted earnings per share of $0.33. Chewy’s active customer base grew by 4.5% to nearly 21 million, with net sales per active customer reaching $591.
Despite a decrease in basic earnings per share, Chewy’s strategic focus on its Autoship program and expanding customer base highlights its resilience in a competitive market. The company’s financial health is further supported by a strong balance sheet, with total assets increasing to $3.12 billion.
Looking ahead, Chewy remains committed to enhancing its customer experience and expanding its market presence. The management’s strategic initiatives are aimed at sustaining growth and improving profitability, positioning the company for continued success in the evolving pet products industry.