Chewy sales grew in its fiscal Q3 2025, and profits grew faster.
CEO Sumit Singh said the pet retailer’s sales increase was “primarily driven by unit volume growth, not price.” He told investors on Chewy’s quarterly earnings call that growth in sales from its Autoship program outpaced total company growth, increasing 13.6% to reach $2.61 billion in Q3, which ended Nov. 2, 2025.
He noted that Chewy ended Q3 with 21.2 million active customers, which is 5% more than it had the previous year. Those members increase direct traffic and engagement in Chewy’s mobile app. They also increase conversion across both Chewy’s website and app, Singh said. He cited search engine optimization (SEO) as having helped improve web traffic. At the same time, daily active usage on Chewy’s mobile app increased as well.
“Autoship revenues are highly predictable and allow operational planning to reduce cost and grow margin in a way that gives Chewy unique structural competitive advantages,” Singh told investors.
Additionally, he said Chewy’s marketing efficiency has strengthened. He said the retailer’s marketing teams have spent with greater precision, “attracting high-quality customers.” The teams have also improved conversion, as well as the ratio of lifetime value to customer acquisition.
William Billings, chief accounting officer, said advertising and marketing expenses reached $197.9 million, or 6.3% of sales.
Singh said Chewy’s website, Chewy.com, is the leading sales engine in its industry. He said the evidence for that is that 84% of its sales through Autoship are being layered over a “built-out world-class fulfillment network.”
Chewy is No. 9 in the Top 2000 Database. The database tracks North America’s largest online retailers, ranking them by annual ecommerce sales and more. Digital Commerce 360 categorizes Chewy as a Specialty retailer.
Chewy sales in Q3 2025
In its fiscal Q3 2025, Chewy sales reached about $3.12 billion. That’s 8.3% year-over-year growth from about $2.88 billion in its fiscal Q3 2024.
Year-to-date Chewy sales grew at a similar rate of nearly 8.4%, reaching about $9.34 billion so far in its fiscal 2025. That compares with $8.61 billion in the first three quarters of its fiscal 2024.
The pet retailer’s gross profit grew by nearly 10% in Q3, to $928.2 million from $843.9 million the prior year.
Singh said Chewy has enhanced its mobile app functionality, which in turn has lifted direct traffic. App customers and orders have increased about 15% year over year, he said.
“These improvements supported marketing leverage in the quarter while enabling year-over-year growth in both new customers and reactivations alongside lower churn,” according to Singh.
Chewy net sales per active customer reached about $595, he said, which reflects 5% year-over-year growth. Singh noted that the retailer’s health offerings, through what it calls Chewy Vet Care, have exceeded expectations. They’ve strengthened customer loyalty, he said, with each clinic serving as both an acquisition channel and retention driver to support customers’ further participation in Autoship and the health program.
In Q3, Chewy opened an additional two vet care locations. That increased its total to 14 locations across five states. It also plans to open another two “soon,” Singh said. If so, that would keep Chewy on track for its previously stated plan to open eight to 10 locations in its fiscal 2025.
How Chewy+ is driving revenue growth
Singh said Chewy’s paid membership program, which it calls Chewy+, has continued to outperform the retailer’s expectations. He said it has driven:
- Higher order frequency.
- Broader category engagement.
- Higher mobile app adoption.
- Stronger Autoship participation.
Chewy+ launched with $49-per-year price point that included a 30-day free trial. It had since increased to $79 per year, as of the end of October.
“Early data shows continued growth and strong conversion from free to paid memberships,” Singh said. “Paid Chewy+ members are already delivering gross margins in line with the overall enterprise. And with higher pricing in place, we remain confident in the program’s growth and margin potential.”
Singh also said Chewy+ has increased average order value and cart sizes among members. Chewy’s mobile app helps generate more traffic among members, offer more personalized interactions and strengthen repeat-purchase rates, according to Singh. Chewy+ members also subscribe to Autoship at higher rates, he said.
Chewy’s acquisition of SmartEquine
On Oct. 30, days before Chewy’s fiscal Q3 ended, the retailer announced its acquisition of SmartEquine, a health brand for horses and other related animals. Singh said Chewy anticipates the SmartEquine acquisition to be accretive to adjusted earnings margins upon closing.
“SmartEquine enhances Chewy’s premium health and nutraceutical assortment and strengthens our position in high-value wellness categories,” Singh said. “By layering its premium assortment over Chewy’s network and scale, we see significant opportunity to enhance our health and wellness mix and expand both net sales within this category as well as margins.”
Percentage changes may not align exactly with dollar figures due to rounding. Check back for more earnings reports. Here’s our last update on Chewy sales.
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