Petco Secures New Credit Facility and Reports FY24 Results

TL;DR

Petco just got $450M in new debt, reporting $6.1B in sales for FY24.

AI Summary

Petco Health & Wellness Company, Inc. announced on March 12, 2024, that it has entered into a new credit agreement. This agreement includes a $300 million revolving credit facility and a $150 million term loan, maturing in March 2029 and March 2027, respectively. The company also reported its financial results for the fiscal year ending January 28, 2024, with net sales of $6.1 billion.

Why It Matters

The new credit agreement provides Petco with enhanced financial flexibility and liquidity, while the reported sales figures offer insight into the company's recent performance in the retail sector.

Risk Assessment

Risk Level: medium — The company is taking on new debt, which increases its financial leverage and potential interest expenses.

Key Numbers

• $6.1B — Net Sales FY24 (Indicates the company's revenue generation for the most recent fiscal year.)
• $300M — Revolving Credit Facility (Provides short-term liquidity and financial flexibility.)
• $150M — Term Loan (Provides medium-term financing.)

Key Players & Entities

• Petco Health & Wellness Company, Inc. (company) — Registrant
• March 12, 2024 (date) — Date of earliest event reported
• $300 million (dollar_amount) — Revolving credit facility amount
• $150 million (dollar_amount) — Term loan amount
• March 2029 (date) — Revolving credit facility maturity date
• March 2027 (date) — Term loan maturity date
• January 28, 2024 (date) — Fiscal year end date
• $6.1 billion (dollar_amount) — Net sales for fiscal year 2024

FAQ

From the Filing

0001193125-24-066384.txt : 20240313 0001193125-24-066384.hdr.sgml : 20240313 20240313071700 ACCESSION NUMBER: 0001193125-24-066384 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 20 CONFORMED PERIOD OF REPORT: 20240312 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers ITEM INFORMATION: Regulation FD Disclosure ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20240313 DATE AS OF CHANGE: 20240313 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Petco Health & Wellness Company, Inc. CENTRAL INDEX KEY: 0001826470 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-RETAIL STORES, NEC [5990] ORGANIZATION NAME: 07 Trade & Services IRS NUMBER: 811005932 STATE OF INCORPORATION: DE FISCAL YEAR END: 0128 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-39878 FILM NUMBER: 24744567 BUSINESS ADDRESS: STREET 1: 10850 VIA FRONTERA CITY: SAN DIEGO STATE: CA ZIP: 92127 BUSINESS PHONE: 1-858-453-7845 MAIL ADDRESS: STREET 1: 10850 VIA FRONTERA CITY: SAN DIEGO STATE: CA ZIP: 92127 FORMER COMPANY: FORMER CONFORMED NAME: PET Acquisition LLC DATE OF NAME CHANGE: 20200929 FORMER COMPANY: FORMER CONFORMED NAME: Petco Acquisition LLC DATE OF NAME CHANGE: 20200929 8-K 1 d812696d8k.htm 8-K 8-K Petco Health & Wellness Company, Inc. false 0001826470 0001826470 2024-03-12 2024-03-12     UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549     FORM 8-K     CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): March 12, 2024     Petco Health and Wellness Company, Inc. (Exact name of Registrant as Specified in Its Charter)       Delaware   001-39878   81-1005932 (State or Other Jurisdiction of Incorporation)   (Commission File Number)   (IRS Employer Identification No.) 10850 Via Frontera San Diego , California 92127 (Address of Principal Executive Offices) (858) 453-7845 (Registrant’s Telephone Number, Including Area Code) (Former Name or Former Address, if Changed Since Last Report)     Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):   ☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)   ☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)   ☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))   ☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Securities registered pursuant to Section 12(b) of the Act:   Title of each class   Trading Symbol(s)   Name of each exchange on which registered Class A common stock, par value $0.001 per share   WOOF   The Nasdaq Stock Market LLC Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter). Emerging growth company ☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐       Item 2.02. Results of Operations and Financial Condition. On March 13, 2024, Petco Health and Wellness Company, Inc. (the “Company”) issued a press release disclosing its financial results for the qua