Central Garden & Pet Company (CENT) Q4 2024 earnings summary

Executive summary

• Achieved growth in non-GAAP EPS, expanded gross margin, and record operating cash flow in FY24 despite soft demand in pet durables and a challenging garden season, with prior year benefiting from an extra week.

• Advanced Cost and Simplicity program, consolidating operations, optimizing logistics, and embedding sustainability goals.

• Maintained disciplined cost and cash management, targeted investments in e-commerce and innovation, and a focused M&A approach.

Financial highlights

• Fiscal 2024 net sales were $3.2B, down 3% year-over-year; organic net sales declined 4%.

• Non-GAAP gross profit was $960M; gross margin expanded 110 bps to 30%.

• Non-GAAP net income was $142M; non-GAAP EPS was $2.13, above guidance and prior year.

• Adjusted EBITDA was $334M (vs. $343M prior year); record operating cash flow of $395M (vs. $382M).

• Q4 net sales were $669M, down 11% year-over-year; non-GAAP operating loss of $11M.

Outlook and guidance

• Fiscal 2025 non-GAAP EPS guided to $2.20 or higher, reflecting confidence amid macro and industry headwinds.

• Q1 non-GAAP loss per share expected to be $0.05 or better, with two fewer shipping days.

• CapEx planned at $60–$70M, focused on maintenance, productivity, and new product pipelines.