Adjusted earnings per share for the quarter were $0.27, surpassing the analyst estimate of $0.09. This figure, however, reflects a decrease from the $0.28 per share reported a year earlier.
The company reported revenue of $3.26 billion for the quarter, which is an increase from $3.25 billion a year earlier but fell short of the anticipated $3.29 billion.
Gross margin improved to 29.4 percent, expanding by 90 basis points year over year. The adjusted EBITDA margin reached 5.0 percent, marking an increase of 120 basis points from the previous year.
For the full year 2025, net sales were $12.60 billion, reflecting a 6.2 percent increase year over year, or 8.3 percent on a normalized 52-week basis. The gross margin expanded by 60 basis points to 29.8 percent, while adjusted diluted earnings per share rose by $0.23 to $1.27. The adjusted EBITDA margin increased by 90 basis points to 5.7 percent.
Chewy provided a fiscal year 2026 revenue outlook ranging from $13.60 billion to $13.75 billion, aligning closely with the analyst forecast of $13.72 billion.
For the first quarter of 2026, Chewy anticipates earnings per share between $0.40 and $0.45, which is higher than the analyst estimate of $0.27. Revenue is expected to range from $3.33 billion to $3.36 billion, slightly below the projected $3.39 billion.
Sumit Singh, Chief Executive Officer of Chewy, stated, “We exited 2025 from a position of real strength: $12.6 billion in net sales or 8.3 percent growth(3), $719 million of adjusted EBITDA or 26 percent growth, record free cash flow of $562 million, and 21.3 million active customers.\”
Shares of Chewy, Inc. (NYSE: CHWY) are up 7.29 percent in pre-market trading, reaching a price of $25.17. This represents a gain of $1.71 from the previous close of $23.59, as the shares continue to trade between their 52-week low of $22.74 and high of $48.62.
 reported fourth-quarter earnings that exceeded expectations, although revenue fell short of projections.){kind=link}