Chewy CEO defends business trends after Q1 results, stock drops 10%.

From Yahoo Finance: 2025-06-11 13:42:00

Chewy CEO Sumit Singh defends business trends after Q1 results cause stock price to drop. Momentum from Q1 continues into Q2, but shares plunged 10% as company reaffirmed profit margin guidance. Analysts disappointed, wanted beat and raise, but guidance remains steady. Net sales up 8.3%, EBITDA up 18%, but stock fell.

Jefferies analyst Kaumil Gajrawala notes positive Q1 performance with sales, EBITDA, and net customer adds ahead of expectations. However, market wanted beat and raise, which was not met. Chewy’s Q2 guidance should put results near the upper end of the range. Gajrawala maintains Hold rating on Chewy shares.

Q1 results show 8.3% increase in net sales to $3.12 billion, beating estimates. Gross margin slightly lower than expected at 29.6%. Diluted earnings per share at $0.35, a 12% increase. Overall, results were strong but market reaction was negative due to guidance.

Chewy CEO Singh defends business trends post-Q1 results, but stock price drops. Analysts disappointed with guidance. Net sales up 8.3%, EBITDA up 18% year over year. Jefferies analyst Gajrawala maintains Hold rating on Chewy shares. Market wanted beat and raise, but guidance remains steady.

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