June 11, 2026

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Chewy, Inc. (NYSE: CHWY) reported first-quarter fiscal 2026 results above expectations, supported by higher net sales, margin expansion, customer growth, and stronger adjusted EBITDA.
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Chewy is an online pet products retailer offering pet food, treats, supplies, pharmacy products, wellness items, and autoship services for pet owners.
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The company reported adjusted EPS of $0.43, above estimates of $0.42, representing a 2.4% earnings surprise. Revenue came in at $3.36 billion, above estimates of $3.35 billion, with revenue growth of 7.7%.

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Results Showed Profitable Growth

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Chewy reported net sales of $3.36 billion, up 7.7% from the prior-year quarter. Management said the company added nearly 200,000 net customers during the quarter, showing continued demand despite a more dynamic consumer environment.
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Gross margin improved 50 basis points to 30.1%, while net margin expanded 80 basis points to 2.8%. Net income was $94.8 million, and diluted EPS increased to $0.23 from $0.15 a year earlier.
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Adjusted EBITDA rose to $253.1 million, up $60.4 million year-over-year. Adjusted EBITDA margin expanded 130 basis points to 7.5%, marking record profitability for the quarter. Adjusted net income increased to $179.9 million, while adjusted diluted EPS rose to $0.43.

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The Bigger Picture

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Chewy delivered a strong quarter with both sales growth and better profitability.
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The earnings beat was modest, but the combination of customer additions, record profitability, margin expansion, and stronger adjusted EBITDA likely gave investors confidence that Chewy can keep growing while improving operating leverage.
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