Petco Reports Second Quarter 2026 Results
Petco's Q2 net sales came in at $1.5 billion, up just 0.05%, but comparable sales rose 0.6% for a second consecutive positive quarter and profitability landed ahead of the company's outlook. Net income jumped to $38.7 million from $14.0 million (diluted EPS $0.13) and Adjusted EBITDA rose to $122.2 million from $113.9 million; results include a $6.8 million net benefit from IEEPA tariff refunds, without which normalized Adjusted EBITDA was $115.4 million.
Key figures
- Eps
- 0.13
- Revenue
- 1489220000
- Guidance
- FY26 reaffirmed: net sales flat to up 1.5% YoY, Adjusted EBITDA $415M-$430M, capex ~$140M, net interest expense ~$122M, ~15-20 net store closures; Q3: net sales +0.4% to +1.0%, Adjusted EBITDA $100M-$103M
- Revenue Yoy
- 0.05%
- Fcf ytd
- 60796000
- Net debt
- 1186409000
- Net income
- 38660000
- Total debt
- 1479907000
- Ending cash
- 293498000
- Store count
- 1377
- Gross margin
- 39.7%
- Gross profit
- 591147000
- Adjusted ebitda
- 122219000
- Leverage target
- 2x net debt / Adjusted EBITDA
- Operating income
- 47812000
- Comparable sales growth
- 0.6%
- Operating cash flow ytd
- 130584000
- Tariff refund net benefit
- 6800000
- Debt prepaid past nine months
- 170000000
- Debt prepaid subsequent to quarter
- 75000000
- Normalized adjusted ebitda ex tariff refund
- 115400000
AI analysis
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