PetIQ, Inc. (PETQ) reported Q2 EPS of $0.16, $0.19 worse than the analyst estimate of $0.35. Revenue for the quarter came in at $252 million versus the consensus estimate of $259.4 million.
GUIDANCE:
PetIQ, Inc. sees FY2022 revenue of $920-940 million, versus the consensus of $986.7 million.
- Net sales of $920 million to $940 million, in-line with 2021 based on the mid-point of the guidance. For comparative purposes, the Company expects net sales to increase 3.7% compared to 2021 based on the mid-point of the guidance, excluding $36.1 million of sales in the prior year related to the loss of distribution rights. Approximately two thirds of the Company’s lower net sales outlook is related to the slower start to the flea and tick season and the changes in consumer spending in this economic environment. Approximately one-third of the Company's lower net sales outlook is due to opening fewer than previously expected wellness centers due to the difficult veterinarian labor market.
- Adjusted EBITDA of $92 million to $94 million, in-line with 2021 based on the mid-point of the guidance. For comparative purposes, the Company expects adjusted EBITDA to increase approximately 3.0% compared to 2021 based on the mid-point of the guidance, excluding $1.8 million of adjusted EBITDA in the prior year related to the loss of distribution rights.