Chewy CEO Sumit Singh told Cramer that increasing pet adoption is not just a pandemic event. Online pet retailers are working with more than 6,000 pet shelters nationwide and report adoptions are still increasing by double digits.
Surprised the crunchy Wall Street on ThursdayRevenues increased 32%, turning losses in the year-ago quarter into first-quarter profits. However, the company reported that supply constraints caused some products to run out of stock, negatively impacting quarterly earnings.
Crunchy stocks are declining year by year as investors prefer reopening stocks, but have risen by nearly 60% in the last 12 months.
Looking at pet-related stocks, RealMoney contributor Chris Versace says spending on pets has grown steadily, increasing by more than 500% between 1994 and 2020. Versace says Chewy is certainly a digital pet play, but it’s not something that dividend investors find attractive. That’s why he turns to PetMed Express. Read more about Versace’s insights into the pet sector and the benefits from his investment strategy.
When asked about Chewy’s growth, Singh told Cramer that 69% of Chewy’s volume came from an automated shipping subscription program that provided supplies without customers even having to think about it. He said the company is working hard to reduce the barriers to achieving quality pet health visits and dosing so that all pets can lead a long and healthy life. ..
The company said in a quarterly report that its active customer base grew 32% year-over-year, bringing Chewy 19.8 million customers at the end of the quarter. Broadly speaking, over the last two years, the active customer base has grown by 75%, or 8.4 million customers.
Chewy has also built a culture that supports a great customer experience, Singh added. He said that items like surprise birthday cards not only please customers, but also build trust. That’s why they strive to give back to the community as much as possible.
Chewy CEO: Retail Pet Trends Are Jumping Source link Chewy CEO: Retail Pet Trends Are Jumping