Pet Valu delivers strong Q2, prepares for leadership transition

Canadian pet retailer Pet Valu posted a net income of CA$21.8 million ($16.1M/€14.8M) in the second quarter of 2025. During the same period in 2024, it hit CA$17.8 million ($13.2M/€12.1M).

This increase was primarily driven by higher operating income, lower net interest expense and higher gain on foreign exchange, partially offset by higher income taxes, which for the period, reached CA$8.1 million ($6.0M/€5.5M) due to higher taxable earnings.

System-wide sales hit CA$369.9 million ($273.7M/€251.5M), up 4.6% from Q2 2024, while same-store sales grew 2.6%.

Revenue from April to June 2025 rose 5.8% year-over-year (YoY) to CA$280.6 million ($207.6M/€190.8M), compared to CA$265.2 million ($196.2M/€180.3M) in Q2 2024.

Pet Valu operates 833 stores across 10 Canadian provinces, serving about 75% of the country’s pet care market.

Expenditures

Meanwhile, selling, general and administrative (SG&A) expenses rose 5.6% to CA$56.9 million ($42.1M/€38.7M) in Q2 2025 from CA$53.9 million ($39.9M/€36.6M) a year earlier, representing 20.3% of total revenue in both periods.

This CA$3 million ($2.2M/€2.0M) increase was driven by higher compensation, lower asset sale gains and increased marketing costs, partially offset by reduced tech spending.

Net capital expenditures declined to CA$11.9 million ($8.8M/€8.1M) from CA$12.5 million ($9.3M/€8.5M) in Q2 2024, reflecting lower spending on store network expansion and reduced proceeds from the sale of corporate-owned stores to franchisees.

Outlook and CEO succession 

For the full year 2025, Pet Valu projects revenue in the range of CA$1.18 billion ($873M/€802M) to CA$1.21 billion ($895M/€823M) and adjusted EBITDA between CA$257 million ($190M/€175M) and CA$262 million ($194M/€178M).

The Canadian pet retailer also forecasts adjusted net income per diluted share of CA$1.63 ($1.21/€1.11) and CA$1.68 ($1.24/€1.14) and expects net capital expenditures of approximately CA$45 million ($33M/€31M).

Pet Valu has announced a senior leadership succession plan to appoint the company’s current President and COO, Greg Ramier, as the new CEO, effective 21 September 2025.

Ramier will succeed Richard Maltsbarger, who will transition to a Senior Advisor role to assist with the leadership change until his retirement on 4 April 2026.