Petco returns to sales growth, posts 50% operating income gain despite $69M cash burn

Filed June 5, 2026 · Period ending May 2, 2026 · Compared to 10-Q Jun 6, 2025 · ~1 min read

Key Changes

• high

  Net sales turned positive (+0.2%) and comparable sales rose 0.7% after prior-year declines, with operating income jumping 50% to $24.6M as services growth offset lower store count.

  MD&A: Sales and Operating Income verify on EDGAR →
• high

  Free cash flow deteriorated sharply to negative $69M from negative $44M, driven by doubled operating cash outflows ($31M vs $15M) due to inventory purchases and invoice timing.

  MD&A: Cash Flow verify on EDGAR →
• high

  Company refinanced debt in February 2026, reducing term loan from $1.5B to $900M while issuing $600M in new senior secured notes, and recorded $11.8M one-time loss on the transaction.

  MD&A: Debt Refinancing verify on EDGAR →