Chewy Reports Strong Q2 Earnings Amid Active Customer Growth and Autoship Momentum
Chewy (NYSE:CHWY) reported second-quarter fiscal year 2026 net sales of $3.33 billion, a 7.3% increase from the prior year driven by active customer growth, higher spending per customer, and strong performance in Autoship subscriptions. Active customers rose to 21.7 million, up 3.8%, while Autoship accounted for 84.6% of revenue with sales growing at 9.3%. Adjusted EBITDA margin reached 6.8%, surpassing guidance due to improved fulfillment efficiency and timing-related benefits such as tariff refunds. Chewy raised its full-year fiscal 2026 outlook, narrowing the range for total sales between $13.46 billion and $13.57 billion with an adjusted EBITDA margin of 6.7% to 6.8%. The company emphasized strategic priorities including health acquisitions and AI integration, which are expected to generate significant cost savings in fiscal years 2026 and beyond. Despite ongoing pressure on discretionary pet spending, Chewy continues outperforming the broader market by two to three times while gaining share.
Tickers: $CHWY
Topics: adjusted_ebitda ai_productivity autoship_growth pet_retail