This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

PetSmart Reports Results For The Third Quarter 2012

PetSmart, Inc. (NASDAQ: PETM) today reported earnings of $0.75 per share, up 50% compared to $0.50 per share in the third quarter of 2011. Net income totaled $82 million in the third quarter of 2012, compared to $56 million in the third quarter of 2011.

Total sales for the third quarter of 2012 increased 9% to $1.6 billion. The increase in net sales was partially impacted by $1 million in favorable foreign currency fluctuations. Comparable store sales, or sales in stores open at least a year, grew 6.5%, benefitting from comparable transactions growth of 2.3%. Services sales, which are included in total sales, grew 8% to $175 million.

During the third quarter, the company generated $133 million in operating cash flow, spent $40 million in capital expenditures, distributed $18 million in dividends, and repurchased $60 million of PetSmart stock. The company ended the quarter with $370 million in cash, cash equivalents and restricted cash and zero borrowings on its credit facility.

“Our performance in the third quarter was due to strength across all three merchandising categories, as well as across services,” said Bob Moran, Chairman and Chief Executive Officer. “We are executing well, and continue to define the pet specialty customer experience.”

“As a reminder, 2012 contains a 53 rd week. For all of 2012, we anticipate comparable store sales growth of 6% to 7%, and total sales growth in the 10% to 11% range. We are raising our earnings per share guidance from a previous range of $3.30 to $3.40, to our current expectations of $3.47 to $3.51. The impact of the extra week is estimated to be $120 million in sales and $0.16 in EPS,” said Chip Molloy, Executive Vice President and Chief Financial Officer. “For the fourth quarter of 2012, we are expecting comparable store sales growth in the mid-single digit range, and earnings per share between $1.16 and $1.20, including the impact of the extra week.”

The company also announced that Chip Molloy, Executive Vice President and Chief Financial Officer, will be resigning in early 2014, to allow him to spend more time with his family, who now live in the southeast. Mr. Molloy will continue as Executive Vice President and Chief Financial Officer until June 2013, and will remain with the company as a special advisor until March 2014. “Chip has been an invaluable member of our management team over the past five years, and has been instrumental in designing a framework and creating a culture within the company that consistently pushes us to always consider our shareholders,” said Mr. Moran. “It is this foundation of focus and discipline that has contributed to our success over the past four years, and will remain a key pillar of our strategy well into the future.”

1 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,982.59 +22.02 0.13%
S&P 500 1,978.91 +0.57 0.03%
NASDAQ 4,444.9090 -4.6550 -0.10%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs