Petco Health & Wellness

WOOF Q3 2026 Earnings

Reported Nov 25, 2025 at 4:10 PM ET · SEC Source

Q3 26 EPS

$0.03

BEAT +21.46%

Est. $0.02

Q3 26 Revenue

$1.46B

MISS 0.34%

Est. $1.47B

vs S&P Since Q3 26

-29.4%

TRAILING MARKET

WOOF -21.5% vs S&P +7.9%

Market Reaction

Did WOOF Beat Earnings? Q3 2026 Results

Petco Health & Wellness delivered a profitability-driven quarter in Q3 fiscal 2026, posting earnings per share of $0.03 against a consensus estimate of $0.02, a beat of 21.46%, even as revenue came in fractionally light. Net sales fell 3.1% year over… Read more Petco Health & Wellness delivered a profitability-driven quarter in Q3 fiscal 2026, posting earnings per share of $0.03 against a consensus estimate of $0.02, a beat of 21.46%, even as revenue came in fractionally light. Net sales fell 3.1% year over year to $1.46 billion, missing the $1.47 billion consensus by 0.34%, with comparable sales down 2.2% reflecting softer transaction volume. The real story was margin recovery: gross profit margin expanded roughly 75 basis points to 38.9%, while SG&A costs dropped to $539.82 million from $571.78 million, helping swing GAAP net income to a positive $9.33 million from a loss of $16.67 million a year earlier. Free cash flow turned sharply positive at $60.65 million versus negative $10.29 million in the prior-year period. Management raised its full-year adjusted EBITDA guidance midpoint by $6 million to a range of $395 million to $397 million, while tightening its net sales outlook to a decline of 2.5% to 2.8%, framing 2025 as the foundation year for a return to growth in fiscal 2026.

Key Takeaways

  • Gross profit margin expanded approximately 75 basis points to 38.9%
  • SG&A expenses reduced to $539.8 million from $571.8 million year over year
  • Adjusted EBITDA margin expanded to 6.7% from 5.4% year over year
  • Operating income improved $25.2 million year over year to $29.2 million
  • Free cash flow improved to $60.6 million from negative $10.3 million year over year
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WOOF YoY Financials

Q3 2026 vs Q3 2025, source: SEC Filings

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WOOF Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 26 Q1 27

“Once again, we delivered on Petco's profitability goals as we continue to execute on our multi-phased transformation.”

— Joel Anderson, Q3 2026 Earnings Press Release