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Chewy ended its fiscal 2024 with 20.5 million active customers. That's 2.1% growth and the first time in eight quarters that Chewy had a year-over-year increase in active customers.

Chewy Inc. reported sales growth exceeded the high end of its financial guidance in both its Q4 and fiscal 2024, which ended Feb. 2.

CEO Sumit Singh said customer growth and Autoship customer loyalty drove sales at the pet food and supplies retailer.

“Growth in Autoship customer sales meaningfully outpaced overall top line growth, increasing by 21% in the fourth quarter and nearly 11% for the full year 2024,” Singh told investors on Chewy’s Q4 earnings call.

Chewy ended its fiscal 2024 with 20.5 million active customers, he said. That’s 2.1% growth and the first time in eight quarters that Chewy had a year-over-year increase in active customers, he added.

“Our efforts to expand and refresh assortment, enhance on-site and mobile app experiences and refine our marketing strategy continue to drive outperformance across all areas of the active customer equation,” Singh said.

Chief financial officer David Reeder said Chewy anticipates earnings to grow in the range of 5.4% to 5.7% in its fiscal 2025. Embedded in Chewy’s full-year guidance, he said, “is minimal expected impact from tariffs.”

Chewy sales rise in Q4, full-year 2024

In its fiscal Q4, Chewy net sales grew 14.9% year over year to $3.25 billion. That resulted in Chewy full-year 2024 sales growing 6.4% to reach $11.86 billion.

Chewy’s fiscal 2024 included a 53rd week, which Reeder said added about $227 million in net sales to its Q4. Excluding the extra week, Chewy Q4 sales grew about 6.9%, he said. Meanwhile, Chewy 2024 sales grew 4.4% without the extra week.

Chewy net sales per active customer (NSPAC) were $578 in Q4. That’s a 4.1% year-over-year increase. The extra week in Q4 added $11 to the retailer’s net sales per active customer, Reeder said. Chewy defines NSPAC as the aggregate net sales for the preceding four fiscal quarters, divided by the total number of active customers at the end of that period.

Chewy is No. 10 in the Top 2000 Database. The database is how Digital Commerce 360 tracks North America’s largest online retailers, sorting them by their annual web sales and more. Digital Commerce 360 categorizes Chewy as a Specialty retailer.

What is Autoship at Chewy?

The Chewy Autoship program allows consumers to set up recurring orders — or subscriptions — for pet supplies. Consumers can set deliveries to arrive at regular intervals.

Chewy sales from Autoship grew 21.2% in Q4, to reach $2.62 billion. Autoship represented 80.6% of Q4 net sales and 79.2% for Chewy’s fiscal 2024.

Additionally, Chewy’s sponsored ads business reached 1% of net sales for its fiscal 2024. Meanwhile, Chewy’s Q4 advertising and marketing expense was $235 million, bringing full-year 2024 to $804.1 million.

“As planned, we completed our 1P platform migration, which going forward will enable us to enhance the supplier experience, expand our ad portfolio, including offsite, and explore additional content formats such as video,” Singh said. “Looking ahead, we continue to believe that the upper limit of our long-term entitlement for Chewy’s sponsored ads business is up to 3% of total enterprise net sales over time.”

Chewy ended the year with eight new Chewy Vet Care Clinic openings, and it plans to open eight to 10 more in its fiscal 2025.

Percentage changes may not align exactly with dollar figures due to rounding. Check back for more earnings reports. Here’s last quarter’s update on Chewy quarterly sales.

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