Chewy Q1 2022 Earnings Snapshot

Chewy’s share price sky-rocketed around 20% after-hours following the company’s Q1 2022 results. Chewy, which was founded in 2011 at Florida, is the preeminent online retailer for pet products, supplies, and prescriptions. Currently, Chewy has 20.6M active customers around the US.

● Net sales of $2.43 billion, an increase of 13.7% YoY.

● Net income of $18.5 million, including share-based compensation expense of $27.2 million

● Adjusted EBITDA was $60.5 million and the adjusted EBITDA margin was 2.5%

● CarePlus, Chewy Health’s wellness and insurance offering, is planned to launch in Q2 2022.

● Chewy Freight Services is the linehaul initiative where Chewy operates a portion of its middle-mile network. During Q1, Chewy launched CFS in the Phoenix market and has expanded it to cover seven fulfillment centers.

By May 2022, Chewy share had dropped 60% since the start of 2022, underperforming the S&P 500, which is about 14% declined in the same period.

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