After the close Thursday, $Chewy Inc(CHWY.US)$ reported results from its fiscal first quarter that ended May 2. The company's revenues grew 31.7% to $2.14 billion from $1.62 billion a year ago. Results topped Wall Street’s estimates on the top and bottom lines.
Shares rose 2% during Thursday's session to close at $79.35. The stock was down more than 1% in after-hour trading.
Fiscal Q1 2021 Highlights:
Net sales of $2.14 billion grew 31.7 percent year over year
Gross margin of 27.6 percent expanded 420 basis points year over year
Net income of $38.7 million, including share-based compensation expense of $24.8 million
Net margin of 1.8 percent improved 480 basis points year over year
Adjusted EBITDA(1)of $77.4 million, an increase of $73.9 million year over year
Adjusted EBITDA margin(1)of 3.6 percent improved 340 basis points year over year
2021 is already turning out to be an exciting and busy year for Chewy. We continue to execute against our growth roadmap, expand our customer base, increase share of wallet, and grow our addressable market-expanding verticals.
I am incredibly proud of the determination and focus of our teams and their ability to accelerate our pace of innovation on behalf of our customers, while consistently delivering strong top-line and bottom-line results for our shareholders.
-Sumit Singh, Chief Executive Officer of Chewy.
Guidance
Fiscal 2021 continues to be a busy and exciting year for Chewy. Our strategy remains intact, demand remains strong, and we remain bullish about our future and our ability to maintain our pace of execution. At the same time, as we continue to ramp up our fulfillment network to handle expected growth, we are not immune to the labor shortages currently being faced across the country. Nor are we immune to the supply chain challenges that are causing elevated out-of-stock issues across the retail landscape.
Yet, as we net the tailwinds and headwinds against each other, our outlook still comes out more positive than it was when we gave our first 2021 guidance in March. As such, we are raising our 2021 guidance as follows:
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