Fountain Report Excerpts May 10, 2022

Fountain Report Excerpts
  1. Covetrus reported first quarter net sales of $1.15 billion, a 4% increase over last year. Net loss was $2 million, compared to a net loss of $16 million in last year’s first quarter. “We continued to drive momentum in our strategic growth drivers, progressed our technology roadmap forward and delivered against our financial commitments,” said Ben Wolin, the company’s president and CEO.
  1. Idexx reported first quarter revenue of $837 million, an 8% increase driven by companion animal diagnostics recurring revenue growth of 8% as reported and 9% organic. Strong companion animal sector demand and Idexx’s innovation and customer engagement “drove record first quarter instrument placements and continued strong momentum in cloud-based software veterinary placements,” according to the company.
  1. Despite rising prices and supply disruptions from the pandemic, the pet market has continued to grow, reflecting record inflation, increased focus among owners on pet health and wellness, accelerated online shopping and the outsize role of affluent households in the market. “Expect to see continued strong growth across all pet industry sectors in 2022, bringing total sales to approximately $138 billion,” David Lummis, lead pet market analyst at Packaged Facts, writes in Pet Product News. In the retail sector, pet food/treats and non-pet food supplies will each see a 14% sales jump this year, reaching $58 billion and $30 billion respectively, Lummis says.

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