PetMed Express(US:PETS) Globenewswireยท2025-10-09 22:58Core Viewpoint - PetMed Express has faced a significant decline in share price, approximately 26% since June 16, 2025, due to issues surrounding its financial reporting and internal investigations [1][4]. Financial Reporting Issues - The company announced it would not timely file its annual financial statements for the year ended March 31, 2025, requiring additional time for data compilation and verification [4]. - Subsequent announcements revealed that PetMed overstated net sales by $6.969 million for the year ended March 31, 2024, and by $9.01 million for the prior year [7]. Internal Investigations - An internal investigation was initiated following a whistleblower complaint regarding revenue recognition related to autoship orders, which led to customer complaints [5]. - The Audit Committee chair resigned abruptly on July 28, 2025, amid these investigations [5]. Management Changes - On August 12, 2025, both the CEO and CFO of PetMed resigned effective immediately due to ongoing issues related to the internal investigation [6]. Legal and Regulatory Actions - Hagens Berman, a national shareholders rights firm, has opened an investigation into whether PetMed misled investors regarding its financial results and adherence to accounting principles [2][3]. - The firm is encouraging affected investors to submit their losses and is seeking information from individuals who may assist in the investigation [2][8].