PetMed Express updates on delayed Form 10-K filing due to ongoing investigation into revenue recognition and customer issues.
Quiver AI Summary
PetMed Express, Inc. (PetMeds), which operates as a national online pharmacy for pet healthcare, announced its inability to file its Form 10-K for the fiscal year ending March 31, 2025, within the designated period, due to ongoing investigations prompted by anonymous reports concerning revenue recognition and a promotional coupon that may have affected key performance indicators. The Audit Committee is working with external legal counsel to explore these concerns. Despite the ongoing investigation, the company does not expect any material impact on its preliminary financial results for the fourth quarter and fiscal year. PetMeds is committed to completing its review and filing the 2025 Form 10-K as soon as possible.
Potential Positives
- The Company does not currently expect the ongoing investigation to have a material impact on its preliminary financial results for the fourth quarter and fiscal year ended March 31, 2025.
- PetMed Express has engaged external legal counsel to ensure a thorough investigation into the anonymous reports received, demonstrating a commitment to transparency and governance.
- The Company is actively working to complete its financial review and file the 2025 Form 10-K as soon as practicable, indicating a proactive approach to compliance.
- PetMed Express has a strong reputation as a trusted national online pharmacy for pet healthcare, highlighting its established brand and market presence.
Potential Negatives
- The Company has filed a Form 12b-25 indicating it cannot file its 2025 Form 10-K within the required timeline, reflecting potential financial or operational issues.
- Anonymous complaints regarding revenue recognition and customer promotions have triggered an investigation by the Audit Committee, which may indicate underlying internal control weaknesses.
- The ongoing investigation and inability to predict its outcome could create uncertainty about the Company’s financial integrity and future performance.
FAQ
What is the update on PetMed Express's 2025 Form 10-K filing?
PetMed Express is unable to file its 2025 Form 10-K by the July 1 extension deadline due to ongoing investigations and information compilation.
What issues are being investigated by PetMed's Audit Committee?
The Audit Committee is investigating complaints about revenue recognition, a $50 coupon promotion, and the company's control environment.
Will the investigation impact PetMed's financial results?
Currently, PetMed does not expect the investigation to materially affect its previously announced preliminary financial results.
How long is the investigation expected to last?
The duration of the investigation is uncertain, and the company cannot predict when it will conclude.
What services does PetMeds provide?
PetMeds is an online pharmacy for pet healthcare, offering medications, OTC supplements, and wellness support for pets.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$PETS Insider Trading Activity
$PETS insiders have traded $PETS stock on the open market 11 times in the past 6 months. Of those trades, 9 have been purchases and 2 have been sales.
Here’s a breakdown of recent trading of $PETS stock by insiders over the last 6 months:
- CAPITAL HOLDINGS INC. NINA has made 8 purchases buying 350,000 shares for an estimated $1,498,800 and 0 sales.
- SANDRA YVETTE CAMPOS (CEO & President) has made 0 purchases and 2 sales selling 60,463 shares for an estimated $200,090.
- INVESTMENTS LTD SILVERCAPE purchased 7,401 shares for an estimated $29,233
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$PETS Hedge Fund Activity
We have seen 22 institutional investors add shares of $PETS stock to their portfolio, and 68 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- METAVASI CAPITAL LP removed 340,302 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $1,425,865
- ARROWSTREET CAPITAL, LIMITED PARTNERSHIP removed 259,752 shares (-50.6%) from their portfolio in Q1 2025, for an estimated $1,088,360
- DIMENSIONAL FUND ADVISORS LP added 182,121 shares (+84.0%) to their portfolio in Q1 2025, for an estimated $763,086
- AQR CAPITAL MANAGEMENT LLC removed 151,675 shares (-77.5%) from their portfolio in Q1 2025, for an estimated $635,518
- CITADEL ADVISORS LLC added 140,863 shares (+3249.4%) to their portfolio in Q1 2025, for an estimated $590,215
- D. E. SHAW & CO., INC. removed 134,887 shares (-78.4%) from their portfolio in Q1 2025, for an estimated $565,176
- MILLENNIUM MANAGEMENT LLC removed 127,294 shares (-88.3%) from their portfolio in Q1 2025, for an estimated $533,361
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
DELRAY BEACH, Fla., July 01, 2025 (GLOBE NEWSWIRE) -- PetMed Express, Inc. (the “Company”) dba PetMeds and parent company of PetCareRx (NASDAQ: PETS) today provided an update on the status of its fourth quarter and FY 2025 results and 10-K filing.
On June 16, 2025, the Company filed a Form 12b-25 (the “Form 12b-25”) disclosing that the Company would be unable to file its Form 10-K for the year ended March 31, 2025 (the “2025 Form 10-K”) within the prescribed period without unreasonable effort or expense. The extension period provided under Rule 12b-25 expires on July 1, 2025. The Company will be unable to file its 2025 Form 10-K within the extension period because the Company is continuing to compile, review, and analyze the information necessary to complete its financial statements and related disclosures to be included in the 2025 Form 10-K. Specifically, the Audit Committee of the Company’s Board of Directors has advised management that it has received anonymous reporting through the Company’s third-party-administered whistleblower hotline regarding: the timing of revenue recognition with respect to certain autoship orders in the fiscal fourth quarter of 2025, some of which resulted in customer complaints; a fiscal fourth quarter 2025 $50 coupon promotion to customers and its potential impact on Company key-performance indicators (KPIs) regarding new customers; and the Company’s culture and control environment. The Audit Committee has engaged external legal counsel with other external advisors to investigate these reports. The investigation is still ongoing, no conclusions have been reached, and the Company cannot predict its duration or outcome. However, based on evidence gathered to date, the Company does not currently expect that this investigation will have a material impact on its previously announced preliminary financial results for the fourth quarter and fiscal year ended March 31, 2025 or the Company’s previously filed financial results. The Company is working diligently to complete its review and file the 2025 Form 10-K as soon as practicable.
About PetMed Express, Inc.
Founded in 1996, PetMeds is a pioneer in the direct-to-consumer pet healthcare sector. As a trusted national online pharmacy, PetMeds is licensed across all 50 states and staffed with expert pharmacists dedicated to supporting pet wellness and the veterinarians who serve them. Through its PETS family of brands, the Company offers a comprehensive range of pet health solutions - including top-brand and generic pharmaceuticals, compounded medications, and better-for-your-pet OTC supplements and nutrition. Focused on value, convenience, and care, PetMeds and PetCareRx empower pet parents to help their dogs, cats, and horses live longer, healthier lives. To learn more, visit www.PetMeds.com and www.PetCareRx.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements. Words such as “may,” “could,” “expect,” “project,” “outlook,” “strategy,” “intend,” “plan,” “seek,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “strive,” “goal,” “continue,” “likely,” “will,” “would” and other similar words and expressions are intended to signify forward-looking statements. These forward-looking statements include, without limitation, the Company’s expectations regarding the filing of its Form 10-K for the fiscal year ended March 31, 2025 and the completion of the Audit Committee investigation described above. Forward-looking statements are based on the Company’s current expectations and assumptions regarding future events, which are subject to risks and uncertainties. Actual results could differ materially from those anticipated due to a number of factors, including but not limited to, the completion of the above described independent investigation and audit of the Company’s financial statements and other risks described from time to time in the Company’s filings with the Securities and Exchange Commission, including, but not limited to, the Company's Annual Report on Form 10-K for the year ended March 31, 2024, as well as other subsequent filings on Form 10-Q and periodic filings on Form 8-K. You should not place undue reliance on these forward-looking statements, which apply only as of the date of this press release and should not be relied upon as representing the Company’s views as of any subsequent date. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by applicable law.
Investor Contact:
ICR, LLC
John Mills
Reed Anderson
(646) 277-1260
[email protected]