Pet Valu Raises Earnings Outlook After Third-Quarter Growth

Pet Valu now expects comparable revenue growth of 2.5% to 3.5% on a 52-week basis, narrowing its previous forecast of 2% to 4%. It projects an adjusted earnings before interest, taxes, depreciation and amortization margin of about 21.5%, up from roughly 21%, and now anticipates low-single-digit growth in adjusted earnings per share. Its earlier guidance had called for adjusted earnings per share to be flat compared with fiscal 2025.

For the third quarter, net income rose to C$26.3 million, or C$0.39 a share, from C$24.9 million, or C$0.36 a share, a year earlier. Adjusted earnings were C$0.44 a share, above analysts’ C$0.39 estimate, according to FactSet.

Revenue increased 3.5% to C$299.5 million, topping analyst forecasts of C$295.3 million. Pet Valu said the gain was driven primarily by higher retail sales and franchise and other revenue. Same-store sales rose 1.5% as shoppers spent more per visit, while system-wide sales—a measure of revenue across corporate and franchised stores—increased 3.9%.