$WOOF

Petco Health & Wellness Company, Inc.

CIK:0001826470|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Aug. 01, 2026	Aug. 02, 2025	Aug. 01, 2026	Aug. 02, 2025
Total net sales	$ 1,489,220	$ 1,488,529	$ 2,985,952	$ 2,981,928
Total cost of sales	898,073	903,210	1,820,380	1,826,641
Gross profit	591,147	585,319	1,165,572	1,155,287
Selling, general and administrative expenses	543,335	542,297	1,093,134	1,095,906
Operating income	47,812	43,022	72,438	59,381
Interest income	(2,493)	(909)	(3,989)	(2,268)
Interest expense	32,556	33,297	65,340	66,791
Loss on extinguishment and modification of debt	0	0	11,840	0
Income (loss) before income taxes and income from equity method investees	17,749	10,634	(753)	(5,142)
Income tax (benefit) expense	(15,710)	746	(13,511)	1,241
Income from equity method investees	(5,201)	(4,084)	(10,756)	(8,694)
Net income attributable to Class A and B-1 common stockholders	$ 38,660	$ 13,972	$ 23,514	$ 2,311
Net income per Class A and B-1 common share:
Basic	$ 0.14	$ 0.05	$ 0.08	$ 0.01
Diluted	$ 0.13	$ 0.05	$ 0.08	$ 0.01
Weighted average shares used in computing net income per Class A and B-1 common share:
Basic	285,629	279,058	284,657	278,303
Diluted	290,497	285,741	289,691	284,350
Products
Total net sales	$ 1,216,857	$ 1,225,605	$ 2,444,944	$ 2,467,496
Total cost of sales	733,898	747,143	1,491,676	1,513,428
Services and other
Total net sales	272,363	262,924	541,008	514,432
Total cost of sales	$ 164,175	$ 156,067	$ 328,704	$ 313,213

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Aug. 01, 2026	Aug. 02, 2025
Cash flows from operating activities:
Net income	$ 23,514	$ 2,311
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	99,440	99,171
Amortization of debt discounts and issuance costs	2,689	2,499
Provision for deferred taxes	(1,439)	1,113
Equity-based compensation	18,051	18,209
Loss on extinguishment and modification of debt	11,840	0
Income from equity method investees	(10,756)	(8,694)
Amounts reclassified out of accumulated other comprehensive loss	(24)	(413)
Non-cash operating lease costs	206,243	205,005
Changes in assets and liabilities:
Receivables	7,427	5,783
Merchandise inventories	(11,381)	44,823
Prepaid expenses and other assets	3,696	(9,487)
Accounts payable and book overdrafts	5,084	(69,691)
Accrued salaries and employee benefits	(21,628)	(26,729)
Accrued expenses and other liabilities	20,722	14,508
Operating lease liabilities	(209,279)	(206,414)
Other long-term liabilities	(13,615)	(1,556)
Net cash provided by operating activities	130,584	70,438
Cash flows from investing activities:
Cash paid for fixed assets	(69,788)	(60,516)
Insurance recoveries	422	0
Proceeds from sale of assets	0	2,425
Cash received from partial surrender of officers' life insurance	74	0
Net cash used in investing activities	(69,292)	(58,091)
Cash flows from financing activities:
Borrowings under long-term debt agreements	1,500,000	0
Repayments of long-term debt	(1,502,250)	0
Debt refinancing costs and original issue discount	(28,442)	0
Payments for finance lease liabilities	(3,172)	(3,252)
Proceeds from employee stock purchase plan and stock option exercises	1,923	1,998
Tax withholdings on stock-based awards	(4,261)	(3,026)
Net cash used in financing activities	(36,202)	(4,280)
Net increase in cash, cash equivalents and restricted cash	25,090	8,067
Cash, cash equivalents and restricted cash at beginning of period	269,412	181,665
Cash, cash equivalents and restricted cash at end of period	294,502	189,732
Supplemental cash flow disclosures:
Interest paid, net	39,419	62,441
Supplemental non-cash investing and financing activities disclosure:
Accounts payable and accrued expenses for capital expenditures	$ 17,549	$ 13,415

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Aug. 01, 2026	Jan. 31, 2026
Current assets:
Cash and cash equivalents	$ 293,498	$ 256,736
Receivables, less allowance for credit losses ($801 and $779, respectively)	38,386	45,812
Merchandise inventories, net	601,591	590,210
Prepaid expenses	54,433	51,747
Other current assets	65,190	75,281
Total current assets	1,053,098	1,019,786
Fixed assets	2,433,782	2,378,208
Less accumulated depreciation	(1,803,480)	(1,722,060)
Fixed assets, net	630,302	656,148
Operating lease right-of-use assets	1,268,518	1,288,593
Goodwill	980,064	980,064
Trade name	1,025,000	1,025,000
Other long-term assets	209,668	203,834
Total assets	5,166,650	5,173,425
Current liabilities:
Accounts payable and book overdrafts	455,314	450,552
Accrued salaries and employee benefits	132,518	154,148
Accrued expenses and other liabilities	225,908	204,751
Current portion of operating lease liabilities	340,643	320,082
Current portion of long-term debt and other lease liabilities	12,061	4,608
Total current liabilities	1,166,444	1,134,141
Senior secured credit facilities, net, excluding current portion	872,798	1,488,527
Senior notes, net	590,567	0
Operating lease liabilities, excluding current portion	1,005,146	1,047,185
Deferred taxes, net	246,861	234,911
Other long-term liabilities	77,907	104,407
Total liabilities	3,959,723	4,009,171
Commitments and contingencies (Notes 3 and 8)
Stockholders' equity:
Preferred stock, $0.001 par value: Authorized - 25.0 million shares; Issued and outstanding - none
Additional paid-in-capital	2,328,170	2,312,354
Accumulated deficit	(1,116,479)	(1,139,993)
Accumulated other comprehensive loss	(5,050)	(8,389)
Total stockholders’ equity	1,206,927	1,164,254
Total liabilities and stockholders' equity	5,166,650	5,173,425
Class A Common Stock
Stockholders' equity:
Common stock value	248	244
Class B-1 Common Stock
Stockholders' equity:
Common stock value	38	38
Class B-2 Common Stock
Stockholders' equity:
Common stock value