PetMed Express, Inc. Reports Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended December 31, 2014
January 20, 2015 at 08:00 am EST
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PetMed Express, Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended December 31, 2014. For the quarter, the company's net income was $4.8 million, or $0.24 diluted per share compared to net income of $4.5 million, or $0.23 diluted per share, for the quarter ended December 31, 2013, an increase to net income of 5.6%. Net sales were $49.3 million, compared to $50.1 million for the quarter ended December 31, 2013, a decrease of 1.6%. Cash flow from operations was $29.5 million compared to $17.7 million for the quarter ended December 31, 2013. Income from operations was $7.67 million compared to $7.05 million reported a year ago. Income before provision for income taxes was $7.71 million compared to $7.09 million reported a year ago.
Excluding a one-time charge for an IT-related discontinued project in the quarter ended September 30, 2014, net income for the nine months ended December 31, 2014 was $13.6 million, or $0.67 diluted per share, compared to net income of $13.4 million, or $0.67 diluted per share, for the nine months ended December 31, 2013, an increase to net income of 1.0%. The one-time IT-related discontinued project cost of $1.7 million was expensed in the September quarter. The after tax net impact of this charge was $1.1 million, or $0.05 diluted per share. There are no further charges expected in the future related to this discontinued project. Net sales were $179.4 million, compared to $184.8 million for the quarter ended December 31, 2013, a decrease of 2.9%. Net income was $12.50 million or $0.62 per diluted share compared to $13.45 million or $0.67 per diluted share reported a year ago. Net cash provided by operating activities was $29.53 million compared to $17.67 million reported a year ago. Purchases of property and equipment were $0.39 million compared to $0.039 million reported a year ago. Income from operations was $19.8 million compared to $21.08 million reported a year ago. Income before provision for income taxes was $19.93 million compared to $21.21 million reported a year ago. The decreases in sales were due to decreases in new order and reorder sales.
PetMed Express, Inc., doing business as PetMeds, is a direct-to-consumer pet pharmacy. The Company is an online provider of prescription and non-prescription medications, food, supplements, and supplies and has veterinary and pet insurance service partnerships for dogs, cats, and horses. It markets and sells directly to consumers through their Websites, toll-free numbers, and employer benefit partnerships. Its product line contains over 15,000 SKUs of pet medications, health products, foods, and supplies. The Company offers various pet supplies, including beds, crates, stairs and other pet supplies. Its products include Prescription Medications (Rx), Non-Prescription Medications (OTC) and supplies, Pet Foods, Private Label and Holistic Wellness Services. Rx includes heartworm and flea and ticks preventatives, arthritis, dermatitis, thyroid, diabetes, pain medications, heart/blood pressure, and other specialty medications, as well as generic substitutes.
PETMED EXPRESS, INC. 
