PetSmart, Inc (NASDAQ:PETM) reported net income above Wall Street’s expectations for the first quarter. PetSmart, Inc. (PetSmart) is a specialty provider of products, services and solutions for the lifetime needs of pets. The Company offers a line of products for all the life stages of pets, and offers various pet services.
PetSmart, Inc Earnings Cheat Sheet for the First Quarter
Results: Net income for PetSmart, Inc rose to $70.9 million (61 cents/share) vs. $55.6 million (46 cents/share) in the same quarter a year earlier. A rise of 27.5% from the year earlier quarter.
Revenue: Rose 6.8% to $1.49 billion YoY.
Actual vs. Wall St. Expectations: PETM beat the mean analyst estimate of 55 cents/share. Estimates ranged from 53 cents per share to 56 cents per share.
Quoting Management: “We are pleased to report another quarter of solid earnings growth,” said Bob Moran, Chief Executive Officer and President. “Our performance in the first quarter reflects the continued momentum in our business and represents another step forward on our journey to becoming a best-in-class specialty retailer.”
The company has now seen net income rise in three-straight quarters. In the fourth quarter of the last fiscal year, net income rose 20.3% and in the third quarter of the last fiscal year, the figure rose 19.8%.
Revenue has risen the past four quarters. Revenue increased 8.1% to $1.52 billion in fourth quarter of the last fiscal year. The figure rose 7.2% in third quarter of the last fiscal year from the year earlier and climbed 6.2% in second quarter of the last fiscal year from the year-ago quarter.
Gross margins grew 0.6 percentage point to 29.6%. The growth seemed to be driven by increased revenue, as the figure rose 6.8% from the year earlier quarter while costs rose 5.9%.
Competitors to Watch: PetMed Express (NASDAQ:PETS), Rite Aid (NYSE:RAD), Walgreen (NYSE:WAG), CVS (NYSE:CVS), Target (NYSE:TGT), Wal-Mart (NYSE:WMT), Ulta Salon, Cosmetics & Fragrance, Inc. (NASDAQ:ULTA).
Stock Performance: Shares of PETM are up almost 6% to $45 per share after the bell.