PetIQ, Inc. Reports First Quarter 2024 Financial Results Reports Record First Quarter 2024 Net Sales of $308.4 Million Achieves Record First Quarter Net Income Record Adjusted EBITDA Exceeds Company's First Quarter 2024 Guidance Raises Full Year 2024 Outlook EAGLE, Idaho – May 8, 2024 (GLOBE NEWSWIRE) - PetIQ, Inc. ("PetIQ" or the "Company") (Nasdaq: PETQ), a leading pet medication, product and wellness company, today reported financial results for the first quarter ended March 31, 2024. Cord Christensen, P ...

Revenue and Market Growth - PetIQ's Products segment generated significant revenue through the manufacturing and distribution of pet medications and health products, with over 60,000 points of distribution across major U.S. retail and e-commerce channels [19]. - U.S. retail sales of pet medications reached $12.1 billion in 2022, with projections to grow to $13.8 billion by 2026, driven by a shift towards retail and e-commerce channels [23]. - The total U.S. pet products and services market is projected to grow at a CAGR of 7.3% from 2021 to 2026, reflecting increasing consumer spending on pet care [21]. - In 2022, 58% of dog owners and 54% of cat owners expressed a strong interest in products that improve their pets' health and wellness, indicating a growing market demand [21]. Product Offerings and Innovation - PetIQ offers over 350 SKUs of popular pet Rx medications, including top-selling brands like Nexgard® and Heartgard® Plus, which are now available through retail and e-commerce partners [29]. - The company focuses on innovative, proprietary value-branded products, with over 400 SKUs of health and wellness products for pets, including treats and nutritional supplements [32]. - The company invests in research and development to expand its proprietary value-branded portfolio and develop next-generation pet products, ensuring competitive advantage through patent protection [36]. Services and Veterinary Clinics - The Services segment operates over 2,600 community clinic locations and wellness centers across 39 states, contributing to the veterinary services industry, which grew from $28.5 billion in 2018 to $36.8 billion in 2022 [26]. - PetIQ's growth strategy includes providing veterinarian services in conjunction with retail partners, capitalizing on the increasing focus on pet health and wellness [26]. - In 2023, the company operated over 2,600 community clinic locations and wellness centers across 39 states, collaborating with Walmart on a new pilot wellness center [33]. Financial Performance - Total net sales for 2023 reached $1,101,963, an increase of 19.6% compared to $921,513 in 2022 [296]. - Gross profit improved to $252,740 in 2023, up from $209,663 in 2022, reflecting a gross margin increase [296]. - Operating income turned positive at $37,073 in 2023, compared to an operating loss of $20,162 in 2022 [296]. - Net income attributable to PetIQ, Inc. was $2,131 in 2023, a significant recovery from a net loss of $48,208 in 2022 [296]. - Cash and cash equivalents increased to $116,369 at the end of 2023, up from $101,265 at the end of 2022 [301]. Debt and Financial Obligations - The company has variable rate debt of approximately $292.5 million under its ABL Facility and Term Loan B as of December 31, 2023 [278]. - The Company has a total long-term debt of $437.8 million as of December 31, 2023, down from $443.3 million in 2022 [390]. - The interest rate for the Term Loan B was 10.17% as of December 31, 2023, following an amendment to replace the interest rate benchmark to SOFR [378]. Compliance and Regulations - The company is subject to a broad range of regulations from various authorities, including the FDA and EPA, regarding the safety and distribution of its products [61]. - The company maintains a Veterinary Prescription Drug Wholesale Distributor license in Florida, ensuring compliance with safety standards through regular inspections [49]. - The company is subject to various labor and employment laws, safety regulations, and environmental laws, and believes it is in material compliance with applicable regulations [65]. Workforce and Human Resources - As of December 31, 2023, the company employed approximately 1,933 people, with 1,890 located in the United States [69]. - The workforce consists of approximately 58% full-time and 42% part-time employees, with around 1,330 working in the Services division [69]. - The company’s human resources programs focus on attracting and retaining key talent through competitive pay and benefits [70]. Marketing and Consumer Engagement - The company is committed to enhancing consumer awareness and engagement with its brands, aiming to convert more pet owners to its products [24]. - The company’s marketing strategy focuses on building awareness and educating pet owners about its brands, utilizing television, digital marketing, and in-store promotions [55]. Strategic Acquisitions and Adjustments - The Company completed the acquisition of Rocco & Roxie Supply Co, LLC for $26.5 million on January 13, 2023, expanding its brand and product portfolio [361]. - The company initiated a plan to sell its foreign subsidiary, Mark & Chappell, with assets classified as held for sale amounting to $4.2 million and liabilities of $1.2 million as of December 31, 2023 [332]. - The company expects the sale of Mark & Chappell to close during the first quarter of 2024, indicating ongoing strategic market adjustments [332]. Tax and Deferred Assets - The company recorded a valuation allowance for deferred tax assets of $112.2 million as of December 31, 2023, indicating a belief that it is more likely than not that some portion of these assets will not be realized [289]. - Federal net operating loss carryforwards as of December 31, 2023, were $94.8 million, which do not expire [404]. - The balance of unrecognized tax benefits as of December 31, 2023, was $(741,000), indicating a decrease from previous years [407].

Smarter Pet Health FORWARD-LOOKING STATEMENTS PETIQ. | 3. SERVICES SEGMENT PETIQ. 4Q23 EARNINGS PRESENTATION 2 1. OVERVIEW & HIGHLIGHTS 4. OUTLOOK 3 | --- | --- | --- | --- | --- | --- | |---------------|-----------------------------------------------------------------------------------------------------------------|-------|-------|-------|-------| | | | | | | | | OUR MISSION | | | | | | | | To deliver a smarter way for pet parents to help their pets live their best lives through convenient access to | | | ...

Rupesh Parikh - Oppenheimer Bill Chappell - Truist Securities Kaumil Gajrawala - Jefferies Jon Andersen - William Blair Ryan Meyers - Lake Street John Lawrence - Benchmark PetIQ, Inc. (NASDAQ:PETQ) Q4 2023 Earnings Conference Call February 28, 2024 4:30 PM ET Company Participants Katie Turner - IR McCord Christensen - Chairman & CEO Zvi Glasman - CFO Michael Smith - COO Conference Call Participants Operator Good day, and welcome to the PetIQ, Inc.'s Fourth Quarter and Full Year 2023 Earnings Conference Call ...

PetIQ, Inc. Reports Fourth Quarter and Full Year 2023 Financial Results Record Full Year 2023 Net Sales Increase 19.6% Year-Over-Year to Over $1.1 Billion Adjusted EBITDA Exceeds Company's Full Year 2023 Guidance Reports Highest Annual Cash from Operations in the Company's History of $61.9 Million Provides First Quarter 2024 and Full Year 2024 Outlook EAGLE, Idaho – February 28, 2024 (GLOBE NEWSWIRE) - PetIQ, Inc. ("PetIQ" or the "Company") (Nasdaq: PETQ), a leading pet medication, product and wellness comp ...

4 PETIQ. PETIQ. 5 PROVEN MODEL & TEAM WITH CONSISTENT RESULTS 6 Manufacturing • 1,000+ Items Manufactured • 400,000+ Sq. Ft. manufacturing space • EPA/FDA Licensed • SQF Certified Distribution • 500+ Distributed Medications • 1000+ PetIQ Owned Brands • 450,000 Sq Ft of PetIQ owned distribution centers • EPA/FDA/VPD approved • Convenient and affordable preventive veterinary care operating in 41 states, within 125 retail partners with two distinct operating models: Community Clinics and Wellness Centers • Upf ...

Company Participants Rupesh Parikh – Oppenheimer Bill Chappell – Truist Securities Jon Andersen – William Blair John Lawrence – Benchmark Before we begin, please remember that during the course of this call management may make forward-looking statements within the meaning of the Federal Securities laws. These statements are based on managementÂ's current expectations and beliefs and involve risks and uncertainties that could differ materially from actual events or those described in these forward-looking st ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-38163 PetIQ, Inc. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) ( ...

Smarter Pet Health 2Q23 EARNINGS PRESENTATION FORWARD-LOOKING STATEMENTS 2 CONTENTS 2. PRODUCTS SEGMENT 2. OUTLOOK 3 | --- | --- | --- | --- | --- | --- | |---------------|-----------------------------------------------------------------------------------------------------------------|-------|-------|-------|-------| | | | | | | | | OUR MISSION | | | | | | | | To deliver a smarter way for pet parents to help their pets live their best lives through convenient access to | | | | | | | affordable veterinary pr ...

Company Participants Operator Good afternoon. Thank you for joining us on PetIQ's second quarter 2023 earnings conference call and webcast. For today's prepared remarks, we'll hear from Cord Christensen, Chairman and Chief Executive Officer; and Zvi Glasman, Chief Financial Officer. Please refer to today's release for a reconciliation of non-GAAP financial measures to the most comparable measures prepared in accordance with GAAP. In addition PetIQ has posted a supplemental presentation on its website for re ...