WALNUT CREEK, Calif. - Central Garden & Pet Company (NASDAQ:CENT) reported fourth quarter results that beat earnings estimates but missed on revenue, while providing weaker-than-expected guidance for fiscal 2025. The company's shares fell 3% following the release.
The pet and garden products supplier posted an adjusted loss of $0.18 per share for Q4, beating analyst expectations for a loss of $0.22 per share. However, revenue came in at $669.5 million, falling short of the $707.8 million consensus estimate and declining 11% YoY.
For the full fiscal year 2024, Central Garden & Pet reported net sales of $3.2 billion, down 3% from $3.3 billion in the prior year. Adjusted earnings per share rose to $2.13 from $2.07 a year ago.
Looking ahead, the company expects fiscal 2025 adjusted earnings per share to be $2.20 or better, below the $2.44 analyst consensus. This outlook factors in "deflationary pressure in certain commodity businesses" and "evolving consumer behavior in an environment of macroeconomic and geopolitical uncertainty," according to the earnings release.
"We have a lot to be proud of this year. We increased non-GAAP EPS, continued margin expansion, made significant progress on our Cost and Simplicity (NASDAQ:SMPL) program, and achieved strong profits in our Pet segment and record cash flow for the company," said Niko Lahanas, Central Garden & Pet's new CEO.
The company's Pet segment saw net sales decrease 2% to $1.83 billion for the full year, while Garden segment sales fell 5% to $1.37 billion. Central Garden & Pet ended the fiscal year with $754 million in cash and cash equivalents, up from $489 million a year ago.
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