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Dec 26, 2020
Central Garden & Pet Q1 2021 Earnings Report
Central Garden & Pet experienced a strong first quarter in fiscal year 2021, marked by significant increases in net sales and earnings per share.
Key Takeaways
Central Garden & Pet announced strong Q1 2021 results with net sales increasing by 22.7% to $592.2 million. Diluted EPS grew to $0.10, and non-GAAP EPS reached $0.29. These results reflect robust consumer demand and strategic acquisitions in the Garden Segment.
Net sales increased by 22.7% to $592.2 million due to organic strength in both segments.
Diluted EPS increased to $0.10, a $0.18 increase compared to the prior year.
Non-GAAP diluted EPS increased to $0.29, up $0.37 from the prior year, excluding specific interest expenses and losses.
Operating income rose to $27.0 million, driven by improved gross margin and operating efficiencies.
Central Garden & Pet
Central Garden & Pet
Central Garden & Pet Revenue by Segment
Revenue by Segment
Garden Segment Revenue
CapyFin.comPet Segment Revenue
CapyFin.com Forward Guidance
The Company projects fiscal 2021 EPS to be at or above $1.90, as compared to prior year EPS of $2.20. This guidance does not include the impact of its recent acquisitions or additional acquisitions that may close during fiscal 2021.
Positive Outlook
- Continued investments in capacity expansion
- Brand building
- eCommerce as the Company continues to invest in sustainable growth
- Successful refinancing of 2023 senior notes
- Acquisitions of DoMyOwn and Hopewell Nursery
Challenges Ahead
- Projected decline compared to fiscal 2020 reflects additional investments
- Increasing labor and freight costs
- Key commodity costs
- Resuming more normal levels of promotional activity and travel
- Second-half headwinds associated with lapping almost ideal weather for the gardening season and the COVID-19 tailwinds in fiscal 2020
Revenue & Expenses
Visualization of income flow from segment revenue to net income