morning, X,XXXs across Building to dedication delivering want the too support strategic everyone. pets. of remarks, objectives the best on macroeconomic for distribution a against delivered centers thanks we their and for centers partners our to our background good Ron's and to extend very challenging pet centers, Ron care my Petco I Thanks throughout and
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quarter, comparable basket strength XX% average fourth the trends X% two-year a grew by and sales on and stack. In driven sustained year-over-year
For full-year, sales stack. grew X% comparable also and on the XX% a two-year
grew our systems. enhancements and services XX% to total full-year, the by in grooming quarter, translating strength in and the for year-over-year driven vet booking further For XX%
improvement discretionary year-over-year In merchandise, quarter the strength anticipated the the we supplies continued and were and in down the XX% of consumables, said, full-year, offset did X% full-year. impact point for XX% QX. and for And animals, which a basis to grew in as in see which Ron XXX transitory purchasing companion
sales and double-digit quarter, and rapidly the continued with in business fourth margin buoyed in repeat customers and showed also gross strength pharmacy by digital Our full-year and quarter network. growth scaling of growth the both strength our our digital the in fourth ad the expanded
fourth the and fourth impact XXX both costs, basis transitory driven gross the down a million brought margin for full-year mix profit capitalized P&L, $XXX X% at down full-year gross quarter combined basis. margin was on many, the for chain gross and elevated supply year-over-year consumable QX flat down full-year primarily the associated decline XX.X% was billion. and quarter was XX.X% strength by $X.X Moving The points basis in the headwinds of the supplies points. for XXX year-over-year for and of rate of pressure with and which was as the at
throughout on focusing Our momentum initiatives team tirelessly the to picked strategic and cost year. has worked have operating up leverage by improve
the I'm to result, down XX.X% a improved from of as quarter, points. percentage to a fourth in XXX year-over-year, that SG&A As XX.X% report revenue basis pleased
of basis care in our down full-year, investments. SG&A discipline pet expense continued from a $XXX Demonstrating was balanced approach partners. as to the For million, $X On while short-term, center investment a absolute million strategic managing fourth points. in prior year, revenue making quarter cost our was long-term of an inclusive basis, percentage the down XX.X%, XX SG&A
was For billion, XXXX. X% SG&A $X.X full-year, the from up
$XXX of down from XX.X%, margin with the year. adjusted million, an in prior to rate XX.X% EBITDA adjusted was prior compared QX year X% EBITDA
based in X.X%, prior adjusted year. adjusted full-year, to X.X% XX.X% adjusted of was an of the rate $XXX a down margin $X.XX For the EPS of compared million, QX $X.XX, EBITDA was with of decrease EBITDA $X.XX, $X.XX year XX%. $XXX was year. and of prior the shares the weighted fully diluted a on from from normalized tax effective adjusted million average rate prior a EPS decrease Full-year
EPS take go net changes To-date, taken want reporting to we've to companies. a income, definitions. now by adjusted an newly our other the moment approach adjusted provide these metrics adjusted update I EBITDA, to forward with been public on and consistent
line Following of investors a the prospective last updating in treatment months, from evolving practices, of and evaluation adjustments on best with basis. review certain and a feedback over period remain are few we the to
quarter be future based While definitions. prior will our these adjusted reflect non-GAAP our definitions, results on results fourth updated
none clear, will or these have impact cash flow operations be priorities. the To affect strategic Petco's changes an company's on of and
non-cash in restructuring backs significant occupancy longer limit our and provided pre-opening, store believe insight include non-recurring prior store To charges. legal clarity will updated definitions. no will related closing We definitions We will in these and non-GAAP one-time material transaction reserves more to investors and transition, one-time add create expenses charges assist and results. and our between we've into Petco new this costs reconciliations operating
of flow and with equivalents We've to a QX flow million free strong. the meaningful performance over our year $XXX cash over Moving cash up million prior $XX beyond remains liquidity million our cash in the XX% year. position flow ended P&L, $XX cash $XXX and inclusive of our prior We operating $XXX in of make improvements increase the million, quarter with and cash the facility. credit availability million revolving on continued
we inventory navigate The position flow. to work outcome contributor we tangibly way the with our was to team managed a as us while cash chain this our And our into well as discipline. investments enhancements, well of the to and continue vendors strong operational supply actively In-stocks strategic environment. were year-over-year up key free
flow fourth for With flow Last our still positive pillars the Frozen investing free cash we million. for be performance cooling to future the growth, including quarter, Fresh said and expected $XX in infrastructure hospitals exceptional quarter, flow of was free full-year in while we cash to veterinary business. the cash year, accelerate
working further to improve our We continue to opportunities moving forward. capital see
Given paid noted, our principal sheet on quarterly position, week levels. of overall Ron our as payment, debt, reduce required million $XX the last our cash strong million down than strengthening we $XX commitment to and more balance debt indication an
portion implemented on callers have Additionally, actions last implemented to the exposure, we of we exposure. further rate interest quarter, to our caps rate floating mitigated our interest debt. significantly our Combined a we rate take with manage
strength the year, apart in to strategic in our continues against Petco shifting confident seen to remain expect We unique ability, ecosystem XXXX, pet that to and the and, to and for remain differentiation. notable we and as deliver health brand vet priorities, growth downturns in set exclusive fully past wellness our plan we as the Now including and consumables of with resilient digital category overall, and owned with services. economic our strength
anticipate way their while the and to pressured businesses remain remain and categories work normalization. to fluid, environment discretionary companion we toward we macro our expect animal While supplies
mix our programmatic flow do our business and term to reinvesting initiatives create confident our we meantime, while continue the additional ongoing long-term against mitigate improve in value. in improve short-term, to investment cash on to free in focused cost shareholder ability the business long We're profitability In without to manage in the pressure sacrificing in so and XXXX, to initiatives. to strategic growth are
updated you reflects Turning I'd non-GAAP like definitions. to to that our outlook our remind new guidance,
Additionally year Petco, XXXX. leading of fiscal to incremental week be operations will fiscal XXXX to relative a for XX-week an
XXXX. week. to including $X.XX Our of fiscal we an Adjusted billion. $X.XX, to guidance revenue EBITDA extra to EPS reflects expense of In $XXX and incremental to flat. expected XXXX, of $X.XX Adjusted the $X.XXX billion interest roughly expect $X.XX to be million $XXX million since $X.XX fiscal
spend for $XXX of high outstanding million $XXX of of and million of one-time in debt reduction reflects retirement some the effective in investments completion XXXX million expected such $XXX Approximately build expenditures. of outs The an capital Frozen capital shares tax in as freezer to Fresh the initiatives and and rate XX% IT. in ROI technical
drivers. growth long-term our in invest to continue will we Importantly,
million commitment strengthening targeting our sheet. approximately debt are a as to $XXX further payments balance principal we Additionally, of
comment on light current based and forward-looking the is in a of unique this debt represents on paydown our outlook economic environment. one-time guidance Our
XX to XXXX XX vet expect open in We which in and guidance. XX our XX both locations, are to of to hospitals rural owned reflected
guidance, we be about discretionary in there the transitory mind: our in expectations second-half. to things down When a QX a in the to softness flat few keep of categories, and watermark are thinking first-half to light the and being the of EBITDA our up adjusted the macro anticipate in low in evolution with
enhanced in saw As revenue year discretionary to expect EBITDA to normalization we to that our see improvement we of are rate. on in half and for realized overhang costs to correspondingly through improvements We the we trajectory freight anticipating the trends, costs currently as which in expect see as the and alleviates, margin XXXX freight an progress gross be we start we modest improvements year. further freight and and back increasingly XXXX the will the
against to service And delivering short, long-term emphasis to support pets finally, full reiterate also continued conclude, balance provide I'd To like capital medium long-term our growth. our wellness provide high only and health our our capital and for profitable remain to confidence us ROI and to our the we sustainable and investing investments. optimization and best against growth to committed sheet, working on for making goals execution deliver while ecosystem
on while positioned what's drivers structural continue our and category, the in to economic and in memberships any focused making control data a in us merchandise remain consumers well resilient We environment. services, for and growth and differentiated for on our investments be
Thank And your you be questions. to with take for your we'd that, happy time.
