EXHIBIT 99.1
Date: May 16, 2005
Contact: Bruce S. Rosenbloom, CFO
Phone: (954) 979 5995
Fax: (954) 971 0544
PETMED EXPRESS D/B/A 1-800-PETMEDS ANNOUNCES RECORD FINANCIAL RESULTS FOR
FISCAL 2005
Pompano Beach, Florida, May 16, 2005 - PetMed Express, Inc. (NASDAQ: PETS)
today announced results for the fiscal year ended March 31, 2005. Net
income was $8.0 million, or $.34 diluted per share, for fiscal 2005, compared
to net income of $5.8 million, or $.25 diluted per share, for fiscal 2004,
an increase to net income of 38%. Net sales for the fiscal year ended
March 31, 2005 were $108.4 million, compared to $94.0 million for the fiscal
year ended March 31, 2004, an increase of 15%. The Company acquired
approximately 510,000 new customers for the fiscal year, and approximately
53% of all orders were placed on its website for the fiscal year.
For the quarter ended March 31, 2005, net income was $2.4 million, or $.10
diluted per share, compared to $1.3 million, or $.06 diluted per share, for
the same quarter in the prior year, an increase to net income of 81%. Net
sales for the quarter ended March 31, 2005 were $23.5 million, compared to
$21.5 million for the same quarter in the prior year, an increase of 10%.
Mendo Akdag, CEO, commented: "We are pleased to report that our reorder
sales increased 34%, from $51.4 million to $68.7 million for the years
ended March 31, 2004 and 2005, respectively. We will continue to focus on
reorder sales in fiscal 2006 by initiating more relevant personalized
communication with our customers, approximately 1.4 million of whom have
placed an order with us over the past two years. We are also pleased to
report that net cash provided by operating activities increased $7.2 million,
from $1.1 million in fiscal 2004 to $8.3 million in fiscal 2005."
Founded in 1996, PetMed Express is America's largest pet pharmacy, delivering
prescription and non-prescription pet medications and other health products
for dogs, cats and horses at competitive prices direct to the consumer
through its 1-800-PetMeds toll free number 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 risks 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 of Financial Condition
and Results of Operations in the PetMed Express Annual Report on Form 10-K
for the year ended March 31, 2004. The Company's future results may also be
impacted by other risk factors listed from time to time in its SEC filings,
including, but not limited to, the Company's Form 10-Q and its Annual Report
on Form 10-K. For investment relations contact PetMed Express, Inc.,
Bruce S. Rosenbloom, CFO, 954-979-5995.
###
99.1 page 1 - 2
PETMED EXPRESS, INC. AND SUBSIDIARIES
FINANCIAL HIGHLIGHTS
CONSOLIDATED STATEMENTS OF INCOME
Year Ended March 31,
2005 2004 2003
------------- ------------- -------------
Sales $ 108,357,747 $ 93,994,233 $ 54,974,916
Cost of sales 64,700,002 55,824,406 31,517,639
------------- ------------- -------------
Gross profit 43,657,745 38,169,827 23,457,277
Operating expenses:
General and administrative 11,396,320 10,754,427 7,956,786
Advertising 19,185,982 17,653,614 11,649,811
Depreciation and amortization 573,817 550,392 367,673
------------- ------------- -------------
Total operating expenses 31,156,119 28,958,433 19,974,270
------------- ------------- -------------
Income from operations 12,501,626 9,211,394 3,483,007
Other income (expense):
Gain on disposal of property and equipment - - 15,000
Interest expense (965) (14,546) (30,658)
Interest income 99,044 9,739 6,973
Other, net 3,710 6,938 6,084
------------- ------------- -------------
Total other income (expense) 101,789 2,131 (2,601)
------------- ------------- -------------
Income before provision for income taxes 12,603,415 9,213,525 3,480,406
Provision for income taxes 4,593,045 3,399,921 222,841
------------- ------------- -------------
Net income $ 8,010,370 $ 5,813,604 $ 3,257,565
============= ============= =============
Net income per common share:
Basic $ 0.35 $ 0.30 $ 0.19
============= ============= =============
Diluted $ 0.34 $ 0.25 $ 0.16
============= ============= =============
Weighted average number of common shares outstanding:
Basic 22,862,417 19,471,681 17,300,130
============= ============= =============
Diluted 23,833,189 23,689,866 20,749,515
============= ============= =============
BALANCE SHEET DATA
March 31,
2005 2004
------------- --------------
Working capital $ 21,968,784 $ 11,338,004
Total assets 28,119,483 18,480,808
Total liabilities 3,902,419 4,486,299
Total shareholders' equity 24,217,064 13,994,509
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