In This Story
Chewy Inc. Class A (CHWY) has submitted its 10-K filing for the fiscal year ended February 2, 2025.
The filing reports net sales of $11.9 billion, an increase from $11.1 billion in the previous fiscal year. The growth in net sales was primarily driven by increased customer spending and the frequency of purchases.
Cost of goods sold for the fiscal year was $8.4 billion, compared to $8.0 billion in the prior year. This increase was mainly due to higher product and shipping costs.
Chewy reported a gross profit of $3.5 billion, up from $3.2 billion in the previous year. The gross profit margin increased to 29.2% from 28.4%, reflecting supply chain efficiency gains.
Selling, general, and administrative expenses rose to $2.6 billion from $2.4 billion, driven by increased share-based compensation and fulfillment costs.
Advertising and marketing expenses increased to $804.1 million from $742.5 million, reflecting additional investments in marketing channels and expansion into Canada.
Net income for the fiscal year was $392.7 million, a significant increase from $39.6 million in the previous year, influenced by the release of a valuation allowance on deferred tax assets.
Chewy's cash and cash equivalents totaled $595.8 million as of February 2, 2025, with operating activities providing $596.3 million in cash, primarily from net income and non-cash adjustments.
The company repurchased shares totaling $943.3 million during the fiscal year under its share repurchase program and related agreements.
Chewy's ABL Credit Facility remains undrawn, providing $782.6 million in borrowing capacity as of the fiscal year-end.
The filing also outlines various risks, including competition in the pet products market, reliance on third-party suppliers, and potential impacts of economic conditions on consumer spending.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Chewy Inc. Class A annual 10-K report dated March 26, 2025. To report an error, please email earnings@qz.com.