PetSmart announced a 6.9 percent loss in net income during the last quarter.
Philip L. Francis, company president and chief executive officer, said unseasonably warm weather and the company’s elimination of a line of horse products has decreased the company’s bottom line for the third quarter.
“As you can imagine, dog ski wear sells better when the weather cools off,” Francis said.
He also added that PetSmart spent $4.7 million selling off their State Line Tack line horse products.
(Mr. Francis, here may be some other possible reasons that PetSmart has experienced a cut in their bottom line: 1) the company decided to restock Smokehouse brand dog treats after they were pulled off shelves despite customer complaints and reports of sick pets; 2) a dog owner reported that a PetSmart PetsHotel employee hit several dogs, and the employee still has his job and is working with dogs; 3) a dog died while being groomed at PetSmart.)
Francis added that even though the housing market is slow, gas prices are increasing, and other economic problems, PetSmart customers are still paying for premium pet food and registering for training classes.
“We are not seeing customers trade down in food or give up their pets,” he said. “We are in a good position heading into the holiday season.”
Source: The Arizona Republic