Pinkspider
03-26

$CHWY reported earnings results today with a double beat:

✅Revenue: $3.25B vs. $3.2 expected

✅EPS: $0.28 vs. $0.20 expected

✅Autoship program continues to drive recurring revenue, as pet owners prefer the convenience of scheduled deliveries for food and supplies.

✅Aggressively expanded into pet health with offerings like telehealth consultations, pet insurance partnerships, and pharmacy services.

❌Faces challenges in achieving consistent profitability due to rising logistics, fulfillment, and customer acquisition costs.

❌Larger e-commerce players like Amazon and traditional pet retailers like Petco are increasing their online presence, putting pressure on Chewy’s market share and pricing power.

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