Chewy Announces Fourth Quarter and Full Year 2019 Financial Results

Chewy, Inc., has released its financial results for the fourth quarter and full year 2019 ended February 2, 2020, and posted a letter to its shareholders on its investor relations website at https://investor.chewy.com.

“We completed 2019 with strong fourth quarter results, delivering net sales growth of 35 percent and expanding our gross margins by 320 basis points,” said Sumit Singh, CEO of Chewy. “While 2019 closed on a high note, and 2020 got off to a strong start, the world changed dramatically with the coronavirus outbreak. In times like these, we know how special and comforting the bond is between humans and pets, and we devote ourselves every day to supporting those special relationships. We are here, 24/7, caring for the safety and well-being of our team members and meeting the increased shop-at-home needs of our customers, staying true to our mission of being the most trusted and convenient online destination for pet parents everywhere.”

Fiscal Q4 2019 Highlights:

• Net sales of $1.35 billion grew 35 percent year-over-year on a 13-week to 13-week basis(1)
• Gross margin of 24.1 percent expanded 320 basis points year-over-year
• Net loss of $60.9 million, including share-based compensation expense of $45.9 million
• Adjusted EBITDA(2) loss of $5.8 million improved 89 percent year-over-year
• Adjusted EBITDA margin(2) of (0.4) percent improved 470 basis points year-over-year

Fiscal 2019 Highlights:

• Net sales of $4.85 billion grew 40 percent year-over-year on a 52-week to 52-week basis(3)
• Gross margin of 23.6 percent expanded 340 basis points year-over-year
• Net loss of $252.4 million, including share-based compensation expense of $136.2 million
• Adjusted EBITDA(2) loss of $81.0 million improved 65 percent year-over-year
• Adjusted EBITDA margin(2) of (1.7) percent improved 480 basis points year-over-year

Management hosted a conference call and webcast to discuss Chewy’s financial results last week. The replay will be available approximately two hours after the completion of the live call until 11:59 pm ET on April 9, 2020.

Webcast: https://investor.chewy.com

Replay: (855) 859-2056 (US/Canada Toll-Free) or (404) 537-3406 (International)