Pet Valu Holdings (PET.TO) reported a decrease in net income in the first quarter due to lower operating income and higher interest expenses, partially offset by lower foreign exchange loss and lower income tax expense, it said on Tuesday.
For the three months ended April 4, 2026, the company reported adjusted net income of $21.6 million or adjusted earnings per diluted share of $0.31 compared with $25.4 million or earnings per diluted share of $0.36, a year earlier. The result missed a consensus estimate compiled by FactSet of $0.37 per share.
Revenue increased to $287.9 million in the quarter, compared with $279.1 million, a year-ago, due to higher retail sales and franchise and other revenues, the pet food supplier said. The reported revenue was slightly above consensus estimate compiled by FactSet of $287.7 million.
"Our first quarter performance was shaped by heightened value-seeking behaviour, as devoted pet lovers leaned into our compelling programs to capture savings on quality specialty products," said Pet Valu Chief Executive Greg Ramier. "We delivered 3% revenue growth, supported by continued market share gains, making Pet Valu one of the fastest pockets of growth within Canadian pet retail.
The company expects, on a 52-week comparable basis, revenue growth between 2% and 4%, adjusted EBITDA margin of about 21%, and adjusted net income per diluted share similar to Fiscal 2025.
Its board also declared a dividend of $0.13 per common share, unchanged from the prior quarter, payable on June 15, to holders of common shares of record as at the close of business on May 29.
Shares of the company closed down 2% to $19.76 on Monday on the Toronto Stock Exchange.