Petco beat Wall Street’s expectations for its first-quarter earnings, with same-store sales rising 28%.
Petco Health and Wellness Company reported first-quarter earnings Thursday that outpaced Wall Street’s estimates as a surge in pet adoptions continues to help the retailer recruit new customers.
“We’re attracting new customers and gaining market share in a growing category,” said Ron Coughlin, chairman and chief executive, in a press release.
In the quarter, Petco reported net income of $7.56 million, or 3 cents per share, compared with a loss of $31.2 million, or 15 cents a share, a year ago.
Total revenue grew by 27% to $1.41 billion from $1.11 billion a year ago, also outpacing estimates of $1.27 billion.
Petco’s same-store sales rose 28% from a year ago.
Despite the better-than-expected performance, and an increased earnings forecast, Petco shares fell almost 3% on Thursday.
The retailer expects revenue this year to be between $5.48 billion and $5.58 billion, up from a prior forecast of $5.25 billion to $5.35 billion.