Online pet-food retailer Chewy, Inc. CHWY reported lighter-than-expected revenue and a wider-than-expected loss for its fiscal second quarter as it continues to navigate the COVID-19 pandemic's impact on its business.
Chewy reported a diluted loss of 4 cents a share on sales of $2.16 billion after the bell Wednesday.
The company had been expected to report a loss of 2 cents a share, on sales of $2.2 billion, based on a FactSet survey of 11 analysts.
In the same period a year ago, the company posted a loss of 8 cents a share on sales of $1.7 billion. It reported a loss of $47.9 million.
"Our business remains healthy, with second quarter net sales up 27 percent year over year, driven by a 21 percent increase in active customers and a 13 percent increase in net sales per active customer," said Sumit Singh, chief executive officer of Chewy, in a statement. "Customer engagement is growing, and we are confident in our ability to deliver strong results while navigating uncertain market conditions due to the ever-evolving COVID-19 pandemic."
Chewy offered fiscal third-quarter guidance for sales of $2.2 billion to $2.22 billion, up 23% to 25% from the same period a year ago. It said it sees full-year revenue between $8.9 billion and $9 billion.
For the year, analysts surveyed by FactSet are projecting revenue of $9 billion.
Shares of Chewy were hit hard in after-hours trading following the report. The stock on Wednesday fell $8.51, or 9.7%, to $78.92 after hours. During the regular session the stock fell 0.8%. Chewy stock had risen 11.1% since the company last reported earnings on Jun. 10.