Full Press Release Details
PETMED EXPRESS, INC.
YEAR ENDED MARCH 31, 2008
CONFERENCE CALL TRANSCRIPT
MAY 12, 2008 AT 8:30 A.M. ET
Coordinator: Good morning and welcome to the PetMed
Express, Inc. d/b/a 1-800-PetMeds Conference
Call to review the financial results for the
4th fiscal quarter and fiscal year ended on
March 31, 2008. At the request of the Company
this conference call is being recorded.
Founded in 1996, 1-800-PetMeds is America's
Largest Pet Pharmacy delivering prescription
and non-prescription pet medications and
other health products for dogs, cats and
horses direct to the consumer. 1-800-PetMeds
markets it products through national
television, online and direct mail
advertising campaigns, which direct consumers
to order by phone or on the Internet, and aim
to increase the recognition of the "1-800-
PetMeds" brand name. 1-800-PetMeds provides
an attractive alternative for obtaining pet
medications in terms of convenience, price,
ease of ordering and rapid home delivery. At
this time I would like to turn the call over
to the Company's Chief Financial Officer, Mr.
Bruce Rosenbloom: Thank you. Good morning. I would like to
welcome everyone here today. Before I turn
the call over to Mendo Akdag, our Chief
Executive Officer and President, I would like
to remind everyone that the first portion of
this conference call will be listen-only
until the question and answer session which
will be later in the call.
Also certain information that will be
included in this press conference includes
forward-looking statements within the meaning
of the Private Securities Litigation Reform
Act of 1995 or the Securities and Exchange
Commission that may involve a number of
risks, and uncertainties. These statements
are based on our belief, as well as
assumptions we have used based upon
information currently available to us.
Because these statements reflect our current
views concerning future events, these
statements involve risks, uncertainties and
assumptions. Actual future results may vary
significantly based on a number of factors
that may cause the actual results or events
to be materially different from future
results, performance or achievements
expressed or implied by these statements. We
have identified various risk factors
associated with our operations in our most
recent Annual Report and other filings with
the Securities and Exchange Commission.
Now let me introduce today's speaker, Mendo
Akdag, Chief Executive Officer and President
of 1-800-PetMeds. Mendo.
Mendo Akdag: Thank you Bruce. Welcome and thank you for
joining us. Today we will review the
highlights of our financial results. We will
compare our 4th fiscal quarter and the fiscal
year ended on March 31, 2008, to last year's
quarter and fiscal year ended on March 31,
For the 4th fiscal quarter ended on March 31,
2008 sales were $40.4 million compared to
sales of $36.4 million for the same period
the prior year, an increase of 11%. For the
fiscal year ended on March 31, 2008, sales
were $188.3 million compared to $162.2
million for the prior fiscal year, an
increase of 16%. The increase was primarily
due to increased retail reorders for the
quarter and increased retail reorders and new
orders for the fiscal year. For the 4th
fiscal quarter net income was $4.9 million,
or $0.20 cents diluted per share, compared to
$3.6 million, or $0.15 cents diluted per
share for the same quarter the prior year, an
increase to net income of 35%.For the fiscal
year, net income, was $20.0 million -- or
$0.82 cents diluted per share, compared to
$14.4 million or $0.60 cents diluted per
share a year ago, an increase to net income
Retail reorder sales increased by 17% to
$31.0 million for the quarter compared to
reorder sales of $26.4 million for the same
quarter the prior year. For the fiscal year,
the reorder sales increased by 22% to $134.3
million compared to $110.5 million for the
Retail new order sales decreased by 5% to
$9.4 million for the quarter compared to $9.9
million for the same period the prior year.
For the fiscal year, the new order sales
increased by 5% to $53.8 million compared to
$51.1 million for the prior year.
We acquired approximately 126,000 new
customers in our 4th fiscal quarter compared