Chewy, Inc. (CHWY) Earnings

Chewy, Inc. is expected to report next earnings on June 10, 2026 (in NaN days), with a consensus EPS estimate of $0.43. CHWY has beaten EPS estimates in 11 of its last 12 reported quarters (average surprise +98.7% over the last four).

Next earnings
Jun 10, 2026in NaN days
EPS est $0.43 · Revenue est $3.3B
Track record
Beat EPS in 11 of 12 quarters
Avg surprise +98.7% (last 4 quarters)
Earnings history
Report dateEPS estEPS actualSurpriseRevenueRev. surprise
Mar 25, 2026$0.09$0.09-2.5%$3.3B-0.0%
Dec 10, 2025$0.12$0.32+156.4%$3.1B+0.6%
Sep 10, 2025$0.14$0.33+131.3%$3.1B+0.8%
Jun 11, 2025$0.17$0.35+109.8%$3.1B+1.2%
Mar 26, 2025$0.03$0.28+919.3%$3.2B+1.6%
Dec 4, 2024$0.08$0.20+150.0%$2.9B+0.7%
Aug 28, 2024$0.07$0.24+257.1%$2.9B+0.0%
May 29, 2024$0.13$0.31+135.9%$2.9B+0.9%
Mar 20, 2024$0.10$0.18+80.0%$2.8B+1.9%
Dec 6, 2023$0.09$0.15+66.7%$2.7B-1.8%
Aug 30, 2023$0.11$0.15+36.4%$2.8B+0.6%
May 31, 2023$0.06$0.20+230.1%$2.8B+2.0%

Source: company filings + earnings calendar. For informational purposes only — not investment advice.

Earnings call summary

Q4 FY2026 · March 25, 2026

AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.

Management highlights

Sumit Singh noted strong finish to 2025 with net sales growth, margin expansion, and record free cash flow. Discussed pet industry trends: stable, resilient, with low single-digit growth, e-commerce penetration continuing. Chewy's unique flywheel model with over 80% net sales on Autoship. Updates on strategic priorities: Chewy Vet Care opened 10 new practices in 2025, exceeding expectations. AI initiatives: embedding AI across purchase experience, service/operations, supply chain/fulfillment, expected tens of millions in savings in 2026. Chewy private brands: launch of Chewy Made, expanding assortment in dog and cat consumables. Chris Deppe reviewed financial results, discussed 2026 guidance focusing on share gains, margin expansion, and improved flow-through.

Guidance

Full year 2026 net sales expected between $13.6 billion and $13.75 billion (~8%-9% year-over-year growth, SmartEquine acquisition expected to contribute ~$80 million). Q1 2026 net sales expected between $3.33 billion and $3.36 billion (~7%-8% year-over-year growth). Full year 2026 adjusted EBITDA margin expected in range of 6.6%-6.8% (~100 basis points year-over-year expansion). First quarter adjusted diluted earnings per share expected in range of $0.40-$0.45. Share-based compensation expense expected broadly flat compared to 2025. Net interest income expected ~$10 million-$15 million. Effective tax rate expected 20%-22%.

Segment performance

Fourth quarter net sales reached over $3.26 billion, total fiscal year 2025 net sales were over $12.6 billion, up 8.1% in Q4 and 8.3% for the full year. Active customers ended the year with 21.3 million, up ~4% year-over-year. Autoship customer sales in Q4 were over $2.7 billion, $10.5 billion for the year, 84% of Q4 net sales and 83.3% for full year 2025. NSPAC in Q4 2025 was $591, up ~4% year-over-year. Gross margin in Q4 was 29.4%, full year 2025 was 29.8%, with ~90 basis points expansion in Q4 and 60 basis points for the full year. SG&A in Q4 was $607 million (18.6% of net sales), full year 2025 was $2.4 billion (18.8% of net sales). Adjusted net income in Q4 was $115 million, full year 2025 was $541 million. Adjusted EBITDA in Q4 was $162 million (5.0% margin, up 120 basis points year-over-year), full year 2025 was $719 million (5.7% margin, up ~26% year-over-year). Free cash flow in Q4 was $232 million, full year 2025 was $562.4 million.

Analyst Q&A

  • Q: Two questions, one on A&M leverage, one on Chewy Made strategy.

    A: Sumit on A&M leverage expects to show leverage, will continue to shift mix from third-party to direct, with 350 basis points to go to hit 10% EBITDA. On Chewy Made, private brands expected mid-teens penetration, higher gross margin, filling gaps in assortment, especially in cat consumables.

  • Q: On AI key cost areas and margin progression.

    A: AI applied in customer service, fulfillment, pharmacy, marketing operations, reducing handle times, improving self-serve, with near-term savings and long-term potential in fulfillment. Aim for growth, profitability, free cash flow trifecta.

  • Q: On Agentic and fuel impact.

    A: Chewy insulated due to trusted platform, see Agentic as opportunity, present where pet parents engage. Fuel impact near term relatively well insulated, guidance stands.

  • Q: On revenue growth reacceleration and EBITDA margin lapping.

    A: Q1 low due to seasonality, growth builds through year with core model. EBITDA margin expansion not from onetime items, driven by leverage.

  • Q: On customer adds and Chewy+ penetration.

    A: Customer adds in Q4 within forecast, no pet household formation improvement baked in. Chewy+ in test-and-learn phase, low single-digit penetration in 2025, retaining flexibility.

  • Q: On SmartEquine growth and gross margin.

    A: SmartEquine acquisition expected to contribute ~$80 million in 2026, focus on stabilizing. Gross margin expansion with sponsored ads, mix shift, operating leverage, composition shifting.

  • Q: On industry growth and health category.

    A: Industry growth low single-digit, expect share gains if industry improves. Health category highly bullish, high-growth, high-margin, expanding clinic footprint.