EXHIBIT 99.1
Date: June 16, 2003
Contact: Mendo Akdag, CEO
Phone: (954) 979 5995
Fax: (954) 971 0544
PETMED EXPRESS D/B/A 1-800-PETMEDS ANNOUNCES RECORD SALES AND
PROFITS FOR FISCAL 2003 FINANCIAL RESULTS - EXPECTS STRONG
REVENUES FOR THE FIRST QUARTER OF FISCAL 2004
Pompano Beach, Florida, June 16, 2003 - PetMed Express, Inc.
(OTCBB: PETS) today announced results for the fiscal year ended
March 31, 2003. Net income was $3,258,000, including a tax
benefit of $581,000 which was recognized in the fourth quarter of
fiscal 2003, or $.19 per share, $.16 diluted per share, for
fiscal 2003, compared to net income of $825,000 or $.05 per
share, $.04 diluted per share for fiscal 2002. Net sales for the
fiscal year ended March 31, 2003 were $55.0 million, compared to
$32.0 million for the year ended March 31, 2002, an increase of
72%. PetMed Express also reported new customer growth of
approximately 414,000 customers in fiscal 2003.
Mendo Akdag, CEO, commented: "We are very pleased with the
sustained profitability and the incremental increase in sales
over the past year. The Company's business model, which was
initiated in April 2001, with the vision of becoming the leading
direct marketer of pet medications and a national household name
has yielded strong results. Our sales have increased from $10.0
million for fiscal 2001, to $32.0 million for fiscal 2002, and to
$55.0 million for fiscal 2003.
We are also excited about our prospects for our current fiscal
year, and in particular our first quarter ending June 30, 2003.
Net sales for the first two months of the quarter have increased
96% over the same period prior year. This increase during our
"peak season" can be attributed to a boost from increased
advertising spending and an increase in customer reorders."
Founded in 1996, PetMed Express is America's largest pet
pharmacy, delivering prescription and non-prescription pet
medications, health and nutritional supplements at competitive
prices through the PetMed Express catalog, customer service
representatives, and on the Internet through its website at
www.1800PetMeds.com.
- -------------------
This press release may contain "forward-looking" statements, as
defined in the Private Securities Litigation Reform Act of 1995
or by the Securities and Exchange Commission, that involve a
number of risk and uncertainties, including the Company's ability
to meet the objectives included in its business plan. Important
factors that could cause results to differ materially from those
indicated by such "forward-looking" statements are set forth in
Management's Discussion and Analysis or Plan of Operations in the
PetMed Express Annual Report on Form 10-KSB for the year ended
March 31, 2003.
For investment relations contact PetMed Express, Inc., Pompano
Beach, Mendo Akdag, CEO, 954-979-5995.
# # #
99.1 page 1 - 2
PETMED EXPRESS, INC. AND SUBSIDIARIES
FINANCIAL HIGHLIGHTS
CONSOLIDATED STATEMENTS OF INCOME
(AUDITED)
Year Ended March 31,
------------------------------
2003 2002
------------- -------------
<C
Sales $ 54,974,916 $ 32,025,931
Cost of sales 31,517,639 18,894,493
------------- -------------
Gross profit 23,457,277 13,131,438
------------- -------------
Operating expenses:
General and administrative 7,956,786 6,094,493
Advertising 11,649,811 5,717,242
Severance charges - 195,000
Depreciation and amortization 367,673 376,763
------------- -------------
Total operating expenses 19,974,270 12,383,498
------------- -------------
Income from operations 3,483,007 747,940
------------- -------------
Other income (expense)
Adjustment of estimate for legal
settlement - 345,000
Gain (loss) on disposal of property
and equipment 15,000 (314,332)
Interest expense (30,658) (48,835)
Interest income 6,973 18,582
Other, net 6,084 77,058
------------- -------------
Total other income (expense) (2,601) 77,473
------------- -------------
Income before provision for income taxes 3,480,406 825,413
Provision for income taxes 222,841 -
------------- -------------
Net income $ 3,257,565 $ 825,413
============= =============
Net income per common share:
Basic $ 0.19 $ 0.05
============= =============
Diluted $ 0.16 $ 0.04
============= =============
BALANCE SHEET DATA
(AUDITED)
March 31, March 31,
2003 2002
------------- -------------
<C
Working capital $ 3,017,641 $ 690,588
Total assets 9,025,796 4,654,236
Total liabilities 3,433,108 3,071,536
Total shareholders' equity 5,592,688 1,582,700
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