PETMED EXPRESS D/B/A 1-800-PETMEDS ANNOUNCES ITS FIRST QUARTER FINANCIAL RESULTS AND ITS $0.17 PER SHARE QUARTERLY DIVIDEND
Pompano Beach, Florida, July 21, 2014 - PetMed Express, Inc. (NASDAQ: PETS) today announced its financial results for the quarter ended June 30, 2014. Net income was $5.0 million, or $0.25 diluted per share, for the quarter ended June 30, 2014, compared to net income of $4.8 million, or $0.24 diluted per share, for the quarter ended June 30, 2013, a 4.6% increase to net income. Net sales for the quarter ended June 30, 2014 were $72.5 million, compared to $74.2 million for the quarter ended June 30, 2013, a decrease of 2.2%. The Companyâ€™s online sales for the quarter ended June 30, 2014 were approximately 80% of all sales, compared to 79% for the same quarter the prior year.
Menderes Akdag, CEO and President, commented: "We were able to increase our gross margins for the second consecutive quarter and decrease our operational expenses to improve our bottom line results for the quarter ended June 30, 2014. For the quarter ended June 30, 2014 our gross profit increased by 40 basis points, which can be attributed to a cost reduction in certain brands. For the quarter ended June 30, 2014 our operational expenses decreased by 30 basis points, mainly due to a reduction in advertising spending. Despite our sales decrease for the quarter we were able to increase our average order size to $78 for the quarter ended June 30, 2014, compared to $77 for the same quarter in the prior year. For the remainder of Fiscal 2015 we are focusing on improving our marketing efforts to increase sales."
The Board of Directors declared a quarterly dividend of $0.17 per share on the Companyâ€™s common stock. The dividend will be payable on August 15, 2014, to shareholders of record at the close of business on August 4, 2014. The Company intends to continue to pay regular quarterly dividends; however the declaration and payment of future dividends is discretionary and will be subject to a determination by the Board of Directors each quarter following its review of the Companyâ€™s financial performance.
This morning at 8:30 A.M. Eastern Time, Mr. Akdag will host a conference call to review the quarterâ€™s financial results. To access the call, which is open to the public, please dial (888) 455-1758 (toll free) or (203) 827-7025. Callers will be required to supply PETMEDS as the passcode. For those unable to participate in the live event, the call will be available for replay from 10:00 A.M. on July 21, 2014 until August 4, 2014 at 11:59 P.M. To access the replay, call (866) 509-3896 (toll free) or (203) 369-1915, and enter passcode 5500.
Founded in 1996, PetMed Express is Americaâ€™s Largest Pet Pharmacy, delivering prescription and non-prescription pet medications and other health products for dogs and cats at competitive prices direct to the consumer through its 1-800-PetMeds toll free number and on the Internet through its website at www.1800petmeds.com
This press release may contain "forward-looking" statements, as defined in the Private Securities Litigation Reform Act of 1995 or by the Securities and Exchange Commission, that involve a number of risks and uncertainties, including the Companyâ€™s ability to meet the objectives included in its business plan. Important factors that could cause results to differ materially from those indicated by such "forward-looking" statements are set forth in Managementâ€™s Discussion and Analysis of Financial Condition and Results of Operations in the PetMed Express Annual Report on Form 10-K for the year ended March 31, 2014. The Companyâ€™s future results may also be impacted by other risk factors listed from time to time in its SEC filings, including, but not limited to, the Company's Form 10-Q and its Annual Report on Form 10-K.
For investment relations contact PetMed Express, Inc., Bruce S. Rosenbloom, CFO, 954-979-5995.