PETMED EXPRESS INC, 10-Q filed on 2/5/2026
Quarterly Report
v3.25.4
Cover - shares
9 Months Ended
Dec. 31, 2025
Jan. 30, 2026
Document Information [Line Items]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Dec. 31, 2025  
Document Transition Report false  
Entity File Number 000-28827  
Entity Registrant Name PETMED EXPRESS, INC.  
Entity Incorporation, State or Country Code FL  
Entity Tax Identification Number 65-0680967  
Entity Address, Address Line One 420 South Congress Avenue  
Entity Address, City or Town Delray Beach  
Entity Address, State or Province FL  
Entity Address, Postal Zip Code 33445  
City Area Code 561  
Local Phone Number 526-4444  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   21,400,495
Entity Central Index Key 0001040130  
Current Fiscal Year End Date --03-31  
Document Fiscal Year Focus 2026  
Document Fiscal Period Focus Q3  
Amendment Flag false  
Common Stock    
Document Information [Line Items]    
Title of 12(b) Security Common Stock, par value $.001 per share  
Trading Symbol PETS  
Security Exchange Name NASDAQ  
Preferred Stock    
Document Information [Line Items]    
Title of 12(b) Security Preferred Stock Purchase Rights  
No Trading Symbol Flag true  
Security Exchange Name NASDAQ  
v3.25.4
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Dec. 31, 2025
Mar. 31, 2025
Current assets:    
Cash and cash equivalents $ 26,914 $ 54,720
Accounts receivable, less allowance for credit losses of $24 and $91, respectively 1,559 2,317
Inventories, net 12,206 16,205
Prepaid expenses and other current assets 7,569 5,330
Prepaid income taxes 258 299
Total current assets 48,506 78,871
Noncurrent assets:    
Property and equipment, net 27,554 28,859
Intangible and other assets, net 11,278 13,346
Goodwill 0 26,658
Operating lease right-of-use assets 627 966
Total noncurrent assets 39,459 69,829
Total assets 87,965 148,700
Current liabilities:    
Accounts payable 20,300 23,564
Sales tax payable 25,150 24,867
Accrued expenses and other current liabilities 8,002 11,711
Current operating lease liabilities 485 461
Deferred revenue 832 2,085
Income taxes payable 0 80
Total current liabilities 54,769 62,768
Deferred tax liabilities, net 263 263
Operating lease liabilities, net of current lease liabilities 167 535
Total liabilities 55,199 63,566
Commitments and contingencies (Note 9)
Shareholders' equity:    
Common stock, $.001 par value, 40,000,000 shares authorized; 21,382,521 and 20,656,822 shares issued and outstanding, respectively 21 21
Additional paid-in capital 19,416 18,560
Retained earnings 13,320 66,544
Total shareholders' equity 32,766 85,134
Total liabilities and shareholders' equity 87,965 148,700
Convertible Preferred Stock    
Shareholders' equity:    
Preferred stock 9 9
Series A Junior Participating Preferred Stock    
Shareholders' equity:    
Preferred stock $ 0 $ 0
v3.25.4
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)
$ in Thousands
Dec. 31, 2025
Mar. 31, 2025
Allowance for credit losses $ 24 $ 91
Common stock, par value (in dollars per share) $ 0.001 $ 0.001
Common stock, shares authorized (in shares) 40,000,000 40,000,000
Common stock, shares issued (in shares) 21,382,521 20,656,822
Common stock, shares outstanding (in shares) 21,382,521 20,656,822
Preferred Stock    
Preferred stock, par value (in dollars per share) $ 0.001 $ 0.001
Preferred stock, shares authorized (in shares) 5,000,000 5,000,000
Convertible Preferred Stock    
Preferred stock, par value (in dollars per share) $ 0.001 $ 0.001
Preferred stock, shares authorized (in shares) 250,000 250,000
Preferred stock, liquidation preference (in dollars per share) $ 4 $ 4
Preferred stock, shares issued (in shares) 2,500 2,500
Preferred stock, shares outstanding (in shares) 2,500 2,500
Series A Junior Participating Preferred Stock    
Preferred stock, par value (in dollars per share) $ 0.001 $ 0.001
Preferred stock, shares authorized (in shares) 100,000 100,000
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
v3.25.4
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Income Statement [Abstract]        
Net sales $ 40,660 $ 51,961 $ 136,204 $ 176,212
Cost of sales 29,078 35,830 97,804 122,271
Inventory write-down 2,126 0 2,126 0
Gross profit 9,456 16,131 36,274 53,941
Operating expenses:        
General and administrative 12,194 10,786 39,318 26,153
Advertising 5,332 4,209 15,719 18,333
Depreciation and amortization 2,399 1,586 6,960 4,965
Impairment of goodwill and intangible assets 0 0 27,258 0
Total operating expenses 19,925 16,581 89,255 49,451
(Loss) income from operations (10,469) (450) (52,981) 4,490
Other income:        
Interest (expense) income, net (221) 28 (745) 308
Other, net 148 180 530 597
Total other (expense) income (73) 208 (215) 905
(Loss) income before provision for income taxes (10,542) (242) (53,196) 5,395
Provision for income taxes 11 465 29 22
Net (loss) income $ (10,553) $ (707) $ (53,225) $ 5,373
Net (loss) income per common share:        
Basic (in dollars per share) $ (0.50) $ (0.03) $ (2.55) $ 0.26
Diluted (in dollars per share) $ (0.50) $ (0.03) $ (2.55) $ 0.26
Weighted average number of common shares outstanding:        
Basic (in shares) 21,008,521 20,634,651 20,884,822 20,581,913
Diluted (in shares) 21,008,521 20,634,651 20,884,822 20,987,260
v3.25.4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
9 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Cash flows from operating activities:    
Net (loss) income $ (53,225) $ 5,373
Adjustments to reconcile net (loss) income to net cash used in operating activities:    
Depreciation and amortization 6,960 4,965
Impairment of goodwill and intangible assets 27,258 0
Inventory write-down 2,126 0
Share based compensation 1,093 (7,179)
Deferred income taxes 0 (231)
Bad debt (recovery) expense (13) 324
(Increase) decrease in operating assets and increase (decrease) in operating liabilities:    
Accounts receivable 771 700
Inventories, net 1,873 16,761
Prepaid income taxes 41 (152)
Prepaid expenses and other current assets (2,239) 2,437
Operating lease right-of-use assets, net 339 355
Accounts payable (3,264) (26,078)
Sales tax payable 283 (529)
Accrued expenses and other current liabilities (3,976) 2,756
Lease liabilities (344) (349)
Deferred revenue (1,253) (1,447)
Income taxes payable (80) 0
Net cash used in operating activities (23,650) (2,294)
Cash flows from investing activities:    
Purchases of property and equipment (3,895) (2,725)
Net cash used in investing activities (3,895) (2,725)
Cash flows from financing activities:    
Dividends paid (24) (176)
Cash paid for tax withholding on net settlement of restricted stock (237) 0
Net cash used in financing activities (261) (176)
Net decrease in cash and cash equivalents (27,806) (5,195)
Cash and cash equivalents, at beginning of period 54,720 55,296
Cash and cash equivalents, at end of period 26,914 50,101
Supplemental disclosure of cash flow information:    
Cash paid for income taxes 74 474
Dividends payable in accrued expenses and other current liabilities 0 32
Non-cash investing activity for property and equipment additions $ 292 $ 2,539
v3.25.4
Restatement of Previously Issued Consolidated Financial Statements
9 Months Ended
Dec. 31, 2025
Accounting Changes and Error Corrections [Abstract]  
Restatement of Previously Issued Consolidated Financial Statements Restatement of Previously Issued Consolidated Financial Statements
As further described below, our unaudited consolidated financial statements for the three and nine months ended December 31, 2024, have been restated to reflect the correction of material errors.
Restatement Background

The need for restatement was identified: (1) in part by the Audit Committee Investigation (the “Investigation”) as disclosed in our Annual Report on Form 10-K for the fiscal year ended March 31, 2025, as filed with the SEC on October 14, 2025 (the “2025 Form 10-K”); and (2) during financial analyses conducted in connection with the preparation of the Company’s consolidated financial statements for the fiscal year ended March 31, 2025. The Company participates in a range of vendor-funded programs through which it receives reimbursements for certain activities, including advertising, sales incentives, and other promotional efforts, typically linked to purchase or sales volume thresholds. These programs are designed to offset costs incurred in connection with stocking, promoting, and selling vendor products.

The Company identified certain errors in its accounting for payments, rebates and discounts from suppliers arising from a misapplication of US GAAP. Historically, the Company accounted for (1) certain promotional sales reimbursements as a component of its revenues and (2) certain co-operative advertising expenses as a component of advertising costs that were not specific, incremental or identifiable. The Company notes that these payments, rebates and discounts should be accounted for as a component of (reduction to) cost of sales. Furthermore, after a thorough review of the Company's vendor agreements, the Company also identified the following additional errors within our accounting for vendor consideration which was also included in the Restatement:

1)A specific vendor whose marketing and advertising arrangements, previously categorized as cost of sales, needed to be reclassified to offset advertising expenses.
2)A specific vendor whose promotional sales reimbursements, previously categorized as advertising expenses, needed to be reclassified to cost of sales.

Restatement Adjustments

The following table summarizes the effect of the errors on the Company’s consolidated statements of operations for the three and nine months ended December 31, 2024:

Three Months Ended December 31, 2024
As ReportedAdjustmentAs Restated
Net sales$52,984 $(1,023)$51,961 
Cost of sales$38,075 $(2,245)$35,830 
Gross profit$14,909 $1,222 $16,131 
Advertising$2,987 $1,222 $4,209 
Total operating expenses$15,359 $1,222 $16,581 
Advertising Costs of Acquiring a New Customer$47 $66 
Advertising Costs as a Percentage of Sales5.6 %8.1 %
Nine Months Ended December 31, 2024
As ReportedAdjustmentAs Restated
Net sales$180,506 $(4,294)$176,212 
Cost of sales$130,315 $(8,044)$122,271 
Gross profit$50,191 $3,750 $53,941 
Advertising$14,583 $3,750 $18,333 
Total operating expenses$45,701 $3,750 $49,451 
Advertising Costs of Acquiring a New Customer$56 $70 
Advertising Costs as a Percentage of Sales8.1 %10.4 %
v3.25.4
Summary of Significant Accounting Policies
9 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Organization
PetMed Express, Inc. and subsidiaries, d/b/a PetMeds® and PetCareRx, Inc. d/b/a PetCareRx® (collectively, the “Company”), is a leading nationwide direct-to-consumer pet pharmacy and online provider of prescription and non-prescription medications, food, supplements, supplies and partner with providers to offer various vet services for dogs, cats, and horses. The Company markets and sells directly to consumers through its websites, customer contact center, and mobile application. The Company offers consumers an attractive alternative for obtaining pet medications, foods, and supplies in terms of convenience, price, speed of delivery, and valued customer service.
Founded in 1996, the Company’s executive headquarters offices are currently located in Delray Beach, Florida. The Company’s fiscal year end is March 31, and references herein to fiscal 2026 or fiscal 2025 refer to the Company's fiscal years ending March 31, 2026 and 2025, respectively.
Basis of Presentation and Consolidation
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and, therefore, do not include all of the information and footnotes required by accounting principles generally accepted in the United States ("GAAP") for complete financial statements. In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position of the Company at December 31, 2025, the Statements of Operations for the three and nine months ended December 31, 2025 and 2024, and Cash Flows for the nine months ended December 31, 2025 and 2024. The results of operations for the three and nine months ended December 31, 2025 are not necessarily indicative of the operating results expected for the fiscal year ending March 31, 2026. These financial statements should be read in conjunction with the audited financial statements and notes thereto contained in our 2025 Form 10-K. The unaudited condensed consolidated financial statements include the accounts of PetMed Express, Inc. and its direct and indirect wholly owned subsidiaries. All significant intercompany transactions have been eliminated in consolidation.
Use of Estimates
The preparation of unaudited condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from those estimates and assumptions.
Fair Value of Financial Instruments
The carrying amounts of the Company's cash and cash equivalents, accounts receivable, and accounts payable approximate fair value due to the short-term nature of these instruments.
Deferred Revenue

Deferred revenue is recorded when payments are received or due in advance of performing our service obligations and revenue is recognized over the service period. Deferred revenue includes prepayments of PetPlus memberships with PetCareRx, Inc. (“PetCareRx”). The total deferred revenue as of December 31, 2025 and March 31, 2025 for these memberships was $0.8 million and $1.0 million, respectively. Memberships provide discounted pricing, free standard shipping, veterinary telehealth services and local Caremark Pharmacy prescription pickup. The membership fee is an annual charge and automatically renews one year from the initial enrollment date. The Company generally recognizes the revenue ratably over the term of the membership. Deferred revenue at March 31, 2025 also includes $1.1 million collected from our customers prior to delivery of AutoShip products, which is recorded as deferred revenue on the condensed consolidated balance sheets.
Long-lived Assets
Long-lived assets, which primarily includes fixed assets, definite lived intangibles, right-of-use assets, and other assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of the asset group to the undiscounted cash flows expected to be generated by the asset group from its use and eventual disposition of that asset group. Assets are considered to be impaired if the carrying amount of an asset group exceeds the future undiscounted cash flows. If impairment is determined to exist, any related impairment loss is calculated based on estimated fair value. Impairment losses on assets to be disposed of, if any, are based on the estimated proceeds to be received, less cost of disposal. The Company determined that all of its long-lived assets are part of a single entity-wide asset group for the purpose of long-lived asset impairment assessment.

During the three months ended June 30, 2025, the Company identified triggering events for the Company’s long-lived asset group. These triggering events included a downward revision to the Company’s forecast and a decrease in the Company’s market capitalization which fell below the Company’s carrying value for a sustained period beginning in the fourth quarter of fiscal 2025. As a result of the identified triggering events, the Company performed a recoverability test for the identified long-lived asset group. The undiscounted cash flow projections were based on estimates made by management of current and future strategic and operational plans and future financial performance projected, using various assumptions including, but not limited to: revenues, gross profits, operating expenses, and working capital through the remaining useful life of the primary asset in the asset group. The results of the test indicated that the carrying amounts for the long-lived asset group were expected to be recoverable. During the third quarter of fiscal year 2026, there was no impairment triggering event identified.
Goodwill
Goodwill represents the excess of the purchase price over the fair value of net assets acquired in a business combination. The Company is required to assess goodwill for impairment annually, or more frequently if circumstances indicate impairment may have occurred. The Company performs its annual impairment assessment in the fourth fiscal quarter of each year. An impairment test of goodwill consists of comparing the carrying amount of the single reporting unit to the fair value of the unit. An impairment loss is recognized by the amount that the carrying amount exceeds the fair value, limited to the amount of goodwill. The Company has concluded that it has one reporting unit and has assigned the entire balance of goodwill to this reporting unit.

For the three months ended June 30, 2025, the Company identified potential impairment triggering events indicating that the fair value of its reporting unit was more likely than not less than its carrying value as of June 30, 2025. These triggering events included a downward revision to the Company’s forecast due to continued revenue declines and a decrease in the Company’s stock price and market capitalization that was sustained in the first quarter of fiscal 2026. In accordance with Accounting Standards Codification (“ASC”) 350, Intangibles - Goodwill and Other, the Company performed a quantitative goodwill impairment test as of June 30, 2025.

The fair value of the single reporting unit was estimated using an income approach, employing a discounted cash flow model. As part of the discounted cash flow model, the Company developed estimates, assumptions and judgments about future results. The discounted cash flow projections were based on estimates made by management of current and future strategic and operational plans and future financial performance. Valuation assumptions used in the Company's discounted cash flow valuation also include projected capital expenditures, earnings before interest expense, income taxes, depreciation and amortization expense (EBITDA), depreciation expense, working capital, discount rates, tax rates and terminal growth rates. The Company applied a terminal growth rate of 3%, income tax rate of 25.3% and discount rate of
14.0% based on a weighted average cost of capital adjusted for the relevant risk associated with the characteristics of the single reporting unit. As a result of this impairment test, the Company determined the carrying value of the reporting unit exceeded its fair value, resulting in a goodwill impairment charge of $26.7 million during the three months ended June 30, 2025, which represented the entirety of the goodwill balance previously recorded. There was no tax impact to the impairment as goodwill is not tax deductible.

In accordance with ASC 820, Fair Value Measurement, the fair value measurement, on a non-recurring basis, for the goodwill impairment is categorized as a Level 3 fair value measurement. This is due to the significant unobservable inputs used in the valuation, including the forecasted revenues, discount rate, and terminal growth rate, which require significant management judgment and estimation.
Intangible Assets

The Company acquired definite-lived intangible assets in the acquisition of PetCareRx (“PCRx”), that are being amortized based on their estimated useful lives in accordance with ASC Topic 350, Intangibles - Goodwill and Other. These definite-lived intangible assets are being amortized over periods ranging from three to seven years. Acquired trade name is not being amortized and is subject to a review for impairment on an annual basis, or more frequently if circumstances indicate an impairment may have occurred. If the carrying amount of an indefinite lived intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess.

During the first quarter of our fiscal year ending 2026, because of the triggering events the Company performed the quantitative test which resulted in additional impairment related to the PCRx trade name of $0.6 million, due to a reduction in actual and forecasted revenues. During the third quarter of fiscal year 2026, there was no impairment triggering event identified.

The fair value of the trade name was determined using the "relief from royalty" method.

This method estimates the value of the trade name by calculating the present value of the royalty payments that would have been avoided by owning the trade name rather than licensing it. Key assumptions used in this valuation include:

Royalty Rate: A hypothetical royalty rate of 0.5% was applied, based on comparable market transactions and industry benchmarks for similar trade names. This rate reflects the estimated arm's-length royalty that a market participant would be willing to pay for the use of the trade name.

Forecasted Revenues: Future revenue projections associated with the use of the trade name were based on the Company's internal forecasts, incorporating expectations for market growth. These forecasts were adjusted to reflect the impact of the identified triggering event.

Discount Rate: A discount rate of 14.0% was utilized, representing the Company's weighted average cost of capital (WACC) adjusted for the specific risks associated with the trade name and the relevant industry.

Capitalization Rate: A capitalization growth rate of 11.0% was applied to project cash flows beyond the discrete forecast period, reflecting long-term sustainable growth expectations.

In accordance with ASC 820, Fair Value Measurement, the fair value measurement, on a non-recurring basis, for the trade name impairment is categorized as a Level 3 fair value measurement. This is due to the significant unobservable inputs used in the relief from royalty valuation, including the royalty rate, forecasted revenues, discount rate, and terminal growth rate, which require significant management judgment and estimation.
Inventory Write-down
During the quarter ended December 31, 2025, the Company evaluated the recoverability of certain inventory originally acquired for a wholesale distribution transaction that did not materialize. As a result, the inventory was then offered through alternative wholesale channels and the Company’s direct-to-consumer platform, including at significant promotional discounts. Despite these efforts, sell-through was limited.

As of December 31, 2025, the Company held approximately $2.3 million of unsold inventory related to this unrealized wholesale transaction. The inventory is primarily comprised of non-prescription pet medication products, pet food, and supplements, approximately 70% of which is subject to expiration risk. In addition, the Company did not have
committed buyers, and efforts to obtain executable third-party liquidation pricing were unsuccessful. Based on these factors, management concluded that the carrying value of the inventory exceeded its net realizable value.

Accordingly, during the quarter ended December 31, 2025, the Company recorded a non-cash inventory write-down of approximately $2.1 million to reduce the inventory to its estimated net realizable value. The write-down was recorded as a component of cost of goods sold within income from continuing operations. The resulting inventory balance reflects management’s best estimate of expected recoverability as of the balance sheet date.
Recent Accounting Pronouncements
Recently Adopted Accounting Standard
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The FASB issued this ASU to update reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. This update became effective with the Company’s fiscal year 2025 annual reporting period and with the Company’s fiscal year 2026 interim reporting periods. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements and resulted in additional segment disclosures within Footnote 4, “Segment Reporting.”
Accounting Standards Not Yet Adopted
In December 2023, the FASB issued Update 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures". This Update applies to all entities that are subject to Topic 740. The amendments in this Update revise income tax disclosures primarily related to the rate reconciliation and income taxes paid information as well as the effectiveness of certain other income tax disclosures. The Update is effective for annual periods beginning after December 15, 2024. Early adoption is permitted. The Update should be applied on a prospective basis, but retrospective application is permitted. The Company is currently evaluating the impact of adopting this Update.

In November 2024, the FASB issued ASU No.2024-03, Income Statement – Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (“ASU 2024-03”) to require public companies to disclose, in the notes to financial statements, specified information about certain costs and expenses at each interim and annual reporting period. This ASU is effective for annual reporting periods beginning after December 15, 2026, and interim reporting periods within annual reporting periods beginning after December 15, 2027, and may be applied on a retrospective or prospective basis. Early adoption is permitted. The Company is currently evaluating the impact of adopting this Update.

In July 2025, the FASB issued ASU No. 2025-05, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets (“ASU 2025-05”) to simplify the estimation of credit losses on current accounts receivable and current contract assets arising from transactions accounted for under ASC 606. The amendments allow all entities to elect a practical expedient to assume that the current conditions as of the balance sheet date will remain unchanged for the remaining life of the asset when developing a reasonable and supportable forecast as part of estimating expected credit losses on these assets. This ASU is effective for annual reporting periods beginning after December 15, 2025, and interim reporting periods within those fiscal years. Early adoption is permitted. Entities that elect the practical expedient and, if applicable, make the accounting policy election are required to apply the amendments prospectively. The Company is currently evaluating the impact of adopting this Update.

In September 2025, the FASB issued ASU 2025-06, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software (“ASU 2025-06”) to modernize the accounting for internal-use software costs, primarily by simplifying the requirements to capitalize software development costs. This ASU is effective for fiscal years beginning after December 15, 2027, and interim periods within those fiscal years and may be applied using a prospective, retrospective or modified transition approach. Early adoption is permitted. The Company is currently evaluating the impact of adopting this Update.
In December 2025, the FASB issued ASU No. 2025-11, Interim Reporting (Topic 270): Narrow-Scope Improvements (“ASU 2025-11”) to improve the guidance in Topic 270, Interim Reporting by improving navigability of the required interim disclosures, clarifying when that guidance is applicable. The amendments also provide additional guidance on what disclosures should be provided in interim reporting periods. The guidance is effective for interim periods within annual reporting periods beginning after December 15, 2027. The Company is currently evaluating the impact of adopting this Update.

In December 2025, the FASB issued ASU 2025-12, Codification Improvements (“ASU 2025-12”), to address suggestions received from stakeholders on the Accounting Standards Codification and to make other incremental improvements to GAAP. The update represents changes to the Codification that (1) clarify, (2) correct errors, or (3) make minor improvements. The amendments make the Codification easier to understand and apply. The guidance is effective for fiscal years beginning after December 15, 2026, including interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact of adopting this Update.
v3.25.4
Revenue Recognition
9 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
In accordance with ASC Topic 606 ("Revenue from Contracts with Customers"), the Company primarily generates revenue by selling prescription and non-prescription pet medication products, pet food, supplements, and supplies, membership fees, and veterinary services. Certain pet supplies offered on the Company’s websites are drop shipped to customers. The Company considers itself the principal in the arrangement because the Company controls the specified good before it is transferred to the customer. Revenue contracts contain one performance obligation, which is delivery of the product. Customer care and support is deemed not to be a material right to the contract. The transaction price is adjusted at the date of sale for any applicable sales discounts and an estimate of product returns, which are based on historical patterns, however this is not considered a key judgment. Revenue is recognized when control transfers to the customer at the point in time at which the shipment of the product occurs. This key judgment is determined as the shipping point, which represents the point in time when the Company has a present right to payment, title has transferred to the customer, and the customer has assumed the risks and rewards of ownership. Virtually all the Company’s sales are paid by credit cards and the Company usually receives the cash settlement in two to three banking days. Credit card sales minimize the accounts receivable balances relative to sales. Revenue is recorded net of sales tax, discounts and return allowances. Return allowances are estimated using historical experience and not material.
Outbound shipping and handling fees are an accounting policy election and are included in sales as the Company considers itself the principal in the arrangement given its responsibility for supplier selection and discretion over pricing. Shipping costs associated with outbound freight after control over a product has transferred to a customer are an accounting policy election and are accounted for as fulfillment costs and are included in cost of sales.
Membership fees represent the amounts recognized from two membership models. The first is the PetPlus membership for PetCareRx customers, and the second is a partner membership, which allows employees in-network to join the PetPlus membership program through their employers. These memberships provide discounted pricing, free standard shipping, veterinary telehealth services and local Caremark Pharmacy prescription pickup which represent a single stand-ready performance obligation to provide these benefits. The PetPlus membership fee is an upfront annual charge and automatically renews one year from the initial enrollment date. The Company recognizes the revenue ratably over the term of the PetPlus membership which is generally one year. On March 31, 2025, the Company also had deferred $1.1 million of AutoShip revenue.
The following table presents changes in deferred revenue associated with the Company's PetPlus and other programs:
(amounts in millions)20252024
Deferred revenue, March 31$2.1 $2.6 
Deferred memberships fees and others received1.7 2.3 
Deferred membership fee revenue and others recognized (3.0)(3.7)
Deferred revenue, December 31$0.8 $1.2 
In addition to annual membership fees earned under the PetPlus program, the Company also earns membership fees on a month-to-month basis under its PetCareRx partner membership program. For the three and nine months ended December 31, 2025, membership fees earned under the partner program were $1.1 million and $3.2 million, respectively. For the three and nine months ended December 31, 2024, membership fees earned under the partner program were $0.9 million and $2.8 million, respectively.
The Company has no material contract asset or liability balances at December 31, 2025 or March 31, 2025, respectively.
The Company disaggregates sales in the following categories: reorder sales vs new order sales vs membership fees. The following table illustrates sales in those categories:
Three Months Ended December 31,Increase (Decrease)
Net Sales (in thousands)2025%2024 As Restated%
$
%
Reorder sales$34,020 83.7 %$44,174 85.0 %$(10,154)(23.0)%
New order sales5,030 12.4 %5,954 11.5 %(924)(15.5)%
Membership fees1,610 4.0 %1,833 3.5 %(223)(12.2)%
Total net sales$40,660 100.0 %$51,961 100.0 %$(11,301)(21.7)%
Nine Months Ended December 31,
Increase (Decrease)
Net Sales (in thousands)2025%2024 As Restated%
$
%
Reorder sales$112,733 82.8 %$145,687 82.7 %$(32,954)(22.6)%
New order sales18,607 13.7 %24,299 13.8 %(5,692)(23.4)%
Membership fees4,864 3.6 %6,226 3.5 %(1,362)(21.9)%
Total net sales$136,204 100.0 %$176,212 100.0 %$(40,008)(22.7)%
The Company changed the definition of a new order sale on July 1, 2024, to include sales from customers who have not previously ordered from the Company over the past twelve months compared to the prior definition which was thirty-six months. The reorder and new order sales amounts for the three and nine months ended December 31, 2025, and the reorder and new order sales amounts for the three and nine months ended December 31, 2024 reflect this new definition.
v3.25.4
Segment Reporting
9 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
The Company has a single segment that derives sales from customers through the sale of products which are shipped directly to customers. The accounting policies of the Company's single segment are the same as those described in the Company's Summary of Significant Accounting Policies.
The Company’s chief operating decision maker (“CODM”) is the Interim Chief Executive Officer. The CODM assesses performance for the segment and decides how to allocate resources based on consolidated net income (loss) and Adjusted EBITDA that is reconciled to GAAP net loss reported on the accompanying Consolidated Statements of Operations below. The CODM uses consolidated net income (loss) and Adjusted EBITDA to evaluate income generated from segment assets in deciding whether to reinvest profits into the segment or into other parts of the entity. Adjusted EBITDA is used to monitor budget versus actual results and forecast versus actual results and is utilized when establishing management’s compensation in collaboration with the Board of Directors. Consolidated net income (loss) and Adjusted EBITDA should only be considered as supplemental to, and alongside with, other GAAP based financial performance measures, including various cash flow metrics, net income (loss), net margin, and our other GAAP results.
The table below provides a summary of significant expense categories regularly provided to the CODM reconciled to Adjusted EBITDA, as well as a reconciliation of Adjusted EBITDA to net income (loss), for the three and nine months ended December 31, 2025 and 2024. The CODM does not review segment assets at a different asset level or category than those disclosed within the consolidated balance sheets.
Three Months Ended
($ in thousands)December 31,
2025
December 31, 2024 (As Restated)
Net Sales$40,660 $51,961 
Significant expense categories:
Cost of sales (4)
31,20435,830
Advertising5,3324,209
  Other segment expenses (1)
11,6819,920
Adjusted EBITDA$(7,557)$2,002 
(Add) subtract:
Share-based compensation expense (reversal)255452
Income taxes11465
Depreciation and amortization2,3991,586
Interest (income) expense, net (2)
221(28)
Acquisition/Partnership transactions and other items25
Employee severance9209
Professional fees (3)
101
Net (loss) income$(10,553)$(707)
Nine Months Ended
($ in thousands)December 31,
2025
December 31, 2024 (As Restated)
Net Sales$136,204 $176,212 
Significant expense categories:
Cost of sales (4)
99,930122,271
Advertising15,71918,333
  Other segment expenses (1)
33,12533,045
Adjusted EBITDA$(12,570)$2,563 
(Add) subtract:
Share-based compensation (reversal) expense1,093(7,179)
Income taxes2922
Depreciation and amortization6,9604,965
Interest (income) expense, net (2)
745(308)
Acquisition/Partnership transactions and other items205
Employee severance1,328663
Sales tax expense (income)(1,178)
Professional fees (3)
3,242
Impairment of goodwill and intangible assets
27,258
Net (loss) income$(53,225)$5,373 
(1) Consists of all other expenses on an Adjusted EBITDA basis, including salaries and wages, operating expenses such as utilities, insurance, professional fees, etc.
(2) For the three months ended December 31, 2025 and 2024: $0.4 million and $0.4 million of interest expense related to the sales tax liability, and $0.2 million and $0.5 million of interest income, respectively. For the nine months ended December 31, 2025 and 2024: $1.5 million and $1.2 million of interest expense related to the sales tax liability, and $0.8 million and $1.5 million of interest income, respectively.
(3) Consists of professional fees related to the investigation (see Note 1 for additional information).
(4) Cost of sales includes a non-cash inventory write-down of approximately $2.1 million (see Note 2 for additional information).
v3.25.4
Net (Loss) Income Per Share
9 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
Net (Loss) Income Per Share Net (Loss) Income Per Share
In accordance with the provisions of ASC Topic 260 (“Earnings Per Share”) basic net income per share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted net income per common share includes the dilutive effect of potential restricted and performance stock and the effects of the potential conversion of preferred shares, calculated using the treasury stock method. Unvested restricted stock and convertible preferred shares issued by the Company represent the only dilutive effect reflected in the diluted weighted average shares outstanding.
The following is a reconciliation of the numerators and denominators of the basic and diluted net (loss) income per share computations for the periods presented (in thousands, except for share and per share amounts):
Three Months Ended December 31,Nine Months Ended
December 31,
2025202420252024
Net (loss) income (numerator):  
Net (loss) income$(10,553)$(707)$(53,225)$5,373 
Shares (denominator):  
Weighted average number of common shares outstanding used in basic computation21,008,521 20,634,651 20,884,822 20,581,913 
Common shares issuable upon vesting of restricted stock— — — 395,222 
Common shares issuable upon conversion of preferred shares— — — 10,125 
Weighted average number of common shares outstanding used in diluted computation
21,008,521 20,634,651 20,884,822 20,987,260 
Net (loss) income per common share:
Basic$(0.50)$(0.03)$(2.55)$0.26 
Diluted$(0.50)$(0.03)$(2.55)$0.26 
For the three months ended December 31, 2025 and 2024, 577,569 and 986,378 shares issuable upon vesting of restricted stock and 10,125 and 10,125 shares issuable upon conversion of preferred shares, respectively, were excluded from the computation of diluted net (loss) income per common share, as their inclusion would have had an anti-dilutive effect on diluted net (loss) income per common share.
For the nine months ended December 31, 2025 and 2024, 671,972 and 519,852 shares issuable upon vesting of restricted stock and 10,125 and zero shares issuable upon conversion of preferred shares, respectively, were excluded from the computation of diluted net (loss) income per common share, as their inclusion would have had an anti-dilutive effect on diluted net (loss) income per common share.
v3.25.4
Share-Based Compensation
9 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Share-Based Compensation Share-Based Compensation
The Company's incentive equity grants have been made under the following plans:
In July 2015, the Company’s 2015 Outside Director Equity Compensation Restricted Stock Plan (“2015 Director Plan”) became effective upon the approval of the plan by the Company’s shareholders. The 2015 Director Plan authorized 400,000 shares of the Company's common stock available for issuance under the plan and provides for an automatic increase every year in the amount of shares available for issuance under the plan of 10% of the shares authorized under the plan.
In July 2016, the Company’s 2016 Employee Equity Compensation Restricted Stock Plan (“2016 Employee Plan”) became effective upon the approval of the plan by the Company’s shareholders. The 2016 Employee Plan authorized 1,000,000 shares of the Company's Common stock available for issuance under the plan. In July 2022, the Company’s 2022 Employee Equity Compensation Restricted Stock Plan (“2022 Employee Plan”) became effective upon the approval of the plan by the Company’s shareholders.
The 2022 Employee Plan replaced the 2016 Employee Plan, and as of April 2023 no further awards were granted, or will be granted, under the 2016 Employee Plan. The 2022 Employee Plan authorized 1,000,000 shares of the Company's common stock available for issuance.
On August 8, 2024, the Company adopted the PetMed Express, Inc. 2024 Omnibus Incentive Plan (the “2024 Omnibus Plan”) pursuant to which the Company reserved 850,000 shares of common stock, par value $.001 per share, for the issuance of equity awards granted under such plan.
On September 27, 2024, the Company adopted the PetMed Express, Inc. 2024 Inducement Incentive Plan (the “2024 Inducement Plan”) pursuant to which the Company reserved 350,000 shares of common stock, par value $.001 per share, of the Company’s common stock (subject to the adjustment provisions of the Inducement Plan) for the issuance of equity awards granted under the Inducement Plan.
The Company records compensation expense associated with restricted stock in accordance with ASC Topic 718 (“Share Based Payments”) (ASU 2016-09). The value of the restricted stock is determined based on the market value of the stock at the issuance date. The restriction period or forfeiture period is determined by the Company’s Compensation and Human Capital Committee and is to be no less than 1 year and no more than ten years unless otherwise specified by the Compensation and Human Capital Committee. The following table presents the number of common shares issued under each of the Company's plans:
Plan Name
Common Shares Issued
2016 Employee Plan
422,438 
2015 Director Plan
247,307 
2022 Employee Plan
417,446 
2024 Omnibus Plan
526,590 
2024 Inducement Plan
148,735 
As of December 31, 2025, all shares in the 2022 Employee Plan, 2016 Employee Plan and 2015 Director Plan were issued subject to a restriction or forfeiture or vesting period that lapses ratably on the first, second, and third anniversaries of the date of grant, and the fair value of which is being amortized over a one to three-year restriction period, with the exception of performance restricted shares which were issued to the Company's former Chief Executive Officer and the former Company's Chief Financial Officer.
For the three months ended December 31, 2025 and December 31, 2024, the Company recognized compensation expense (reversal) related to the 2016 and 2022 Employee Plan, the 2015 Director Plan, 2024 Omnibus Plan and 2024 Inducement Plan of $0.3 million and $0.5 million, respectively. For the nine months ended December 31, 2025 and December 31, 2024, the Company recognized compensation expense (reversal) of $1.1 million and $(7.2) million, respectively. All stock-based compensation expense is recognized as a payroll-related expense and it is included within the general and administrative expenses line item within the Company’s Consolidated Statements of Operations, and the offset is included in the additional paid-in capital line item of the Company’s Consolidated Balance Sheets. See Footnote 11, "Income Taxes" for tax impact of the Company's stock compensation expense.
Restricted Stock Awards
The fair value assigned to restricted stock awards (“RSAs”) is the market price of the Company’s stock at the grant date. The vesting period ranges from one to three years. Restricted stock award activity in the nine months ended December 31, 2025 was as follows:
 2015 Director Plan Number of Shares 2016 Employee Plan Number of Shares 2022 Employee Plan Number of Shares2024 Omnibus Plan Number of Shares2024 Inducement Plan Number of SharesAll Plans Number of Shares Weighted-Average Grant Date Fair Value
Non-vested restricted stock outstanding at March 31, 20259,207 8,686 — — — 17,893 $21.39 
Granted and issued— — — 346,950 27,000 373,950 $2.56 
Vested(6,166)(7,614)— — — (13,780)$21.59 
Forfeited(3,041)(947)— (1,000)— (4,988)$17.17 
Non-vested restricted stock outstanding at December 31, 2025– 125 — 345,950 27,000 373,075 $2.56 
At December 31, 2025 and 2024, there were 373,075 and 21,203 RSAs subject to restriction and forfeiture outstanding, respectively. For the three months ended December 31, 2025 and 2024, the Company recorded stock-based compensation expense related to RSAs of $0.1 million and $0.1 million, respectively. For the nine months ended December 31, 2025 and 2024, the Company recorded stock-based compensation expense (reversal) related to RSAs of $0.2 million and $(8.2) million, respectively.
Restricted Stock Units
The Company first granted restricted stock units (“RSUs”) in the year ended March 31, 2024. The fair value assigned to RSUs is the market price of the Company’s stock on the grant date. The vesting period for employees and members of the Board of Directors generally ranges from one to three years. For the nine months ended December 31, 2025, RSU activity under the 2022 Employee Plan, 2015 Director Plan, 2024 Omnibus Plan and 2024 Inducement Plan was as follows:
2015 Director Plan Number of Shares2022 Employee Plan Number of Shares2024 Omnibus Plan Number of Shares2024 Inducement Plan Number of SharesAll Plans Number of SharesWeighted-Average
 Grant Date
 Fair Value Per RSU
Balance at March 31, 202522,316 568,416 321,022 290,000 1,201,754 $4.49 
Granted — — 9,877 — 9,877 $2.97 
Vested and issued(10,097)(250,830)(77,002)(95,068)(432,997)$4.38 
Forfeited(7,219)(265,382)(133,269)(168,265)(574,135)$4.36 
Balance at December 31, 20255,000 52,204 120,628 26,667 204,499 $5.00 

The total grant-date fair value of RSUs granted during the three months ended December 31, 2025 and 2024 was $8 thousand and $0.2 million, respectively. For the three months ended December 31, 2025 and 2024, the Company recorded stock-based compensation expense related to RSUs of $0.1 million and $0.4 million, respectively.

The total grant-date fair value of RSUs granted during the nine months ended December 31, 2025 and 2024 was $29 thousand and $4.2 million, respectively. For the nine months ended December 31, 2025 and 2024, the Company recorded stock-based compensation expense related to RSUs of $1.0 million and $1.1 million, respectively.
Performance Stock Units

The fair value assigned to performance stock units (“PSUs”) is determined using the market price of the Company’s stock on the grant date for awards with a performance condition, and by using a Monte Carlo simulation for awards with a market condition. PSUs with a performance condition generally vest over one year. PSUs with a market condition generally vest over three years. Stock-based compensation expense associated with PSUs with a performance condition are
re-assessed each reporting period based upon the estimated performance attainment on the reporting date until the performance conditions are met. The ultimate number of shares of common stock that are issued to an employee is the result of the actual performance of the Company or individual at the end of the performance period compared to the performance targets.

For the nine months ended December 31, 2025, PSU activity under the 2022 Employee Plan, 2015 Director Plan, 2024 Omnibus Plan and 2024 Inducement Plan was as follows:
2015 Director Plan Number of Shares2022 Employee Plan Number of Shares2024 Omnibus Plan Number of Shares2024 Inducement Plan Number of SharesAll Plans Number of SharesWeighted-Average
 Grant Date
 Fair Value Per PSU
Balance at March 31, 2025146,772146,772$3.47 
Granted $— 
Vested and issued$— 
Forfeited(146,772)(146,772)$3.47 
Balance at December 31, 2025$— 
There were no PSU’s granted in the three months ended and nine months ended December 31, 2025 and 2024. For the three months ended December 31, 2025 and 2024, the Company did not recognize any stock-based compensation expense, net of forfeitures, related to PSUs. For the nine months ended December 31, 2025 and 2024, the Company recorded stock-based compensation expense (reversal) expense, net of forfeitures, related to PSUs of $(35) thousand and $(36) thousand, respectively.
v3.25.4
Fair Value
9 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value Fair Value
The Company carries cash and cash equivalents at fair value in the unaudited Condensed Consolidated Balance Sheets. Fair value is defined as an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. ASC Topic 820 (“Fair Value Measurement”) establishes a three-tier fair value hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value:
Level 1 - Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets.
Level 2 - Include other inputs that are directly or indirectly observable in the marketplace.
Level 3 - Unobservable inputs which are supported by little or no market activity.
The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. At December 31, 2025 and March 31, 2025, the Company had invested the majority of its $26.9 million and $54.7 million cash and cash equivalents balance in money market funds which are classified within Level 1.
v3.25.4
Intangible and Other Assets, Net
9 Months Ended
Dec. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible and Other Assets, Net Intangible and Other Assets, Net
Intangible assets and other assets, net consisted of the following (in thousands):

Useful LifeGross ValueAccumulated AmortizationNet Carrying ValueWeighted Average Remaining Useful Life (Years)
December 31, 2025
Intangible Assets
Toll-free telephone numberIndefinite$375 $– $375 Indefinite
Internet domain namesIndefinite485 – 485 Indefinite
Trade Names - PetCareRxIndefinite800 – 800 Indefinite
Customer Relationships -PetCareRx7 years6,700 (2,632)4,068 4.25 years
Developed Technology - PetCareRx3 years3,000 (2,750)250 0.25 years
$11,360 $(5,382)$5,978 
Other Assets
Minority interest investment in VetsterN/A5,300 – 5,300 N/A
Balance December 31, 2025
$16,660 $(5,382)$11,278 
March 31, 2025
Intangible Assets
Toll-free telephone numberIndefinite$375 $– $375 Indefinite
Internet domain namesIndefinite485 – 485 Indefinite
Trade Names - PetCareRxIndefinite1,400 – 1,400 Indefinite
Customer Relationships -PetCareRx7 years6,700 (1,914)$4,786 5 years
Developed Technology - PetCareRx3 years3,000 (2,000)$1,000 1 year
$11,960 $(3,914)$8,046 
Other Assets
Minority interest investment in VetsterN/A5,300 – 5,300 N/A
Balance March 31, 2025$17,260 $(3,914)$13,346 

Amortization expense for intangible assets was $0.5 million for both the three months ended December 31, 2025 and 2024. Amortization expense for intangible assets was $1.5 million for both the nine months ended December 31, 2025 and 2024. The indefinite life intangibles are not being amortized and are subject to an annual review for impairment in accordance with the ASC Topic 350 (“Goodwill and Other Intangible Assets”). The Company recorded a $0.6 million trade name impairment for the nine months ended December 31, 2025.
On April 19, 2022, the Company engaged in a three-year partnership agreement with Vetster Inc. (“Vetster”), a Canadian veterinary telehealth company. The Company also purchased a 5% minority interest in Vetster in the amount of $5.0 million and received warrants for additional equity in Vetster, which are tied to future performance milestones. Under the terms of the agreement, Vetster became the exclusive provider of telehealth and telemedicine services to the Company. The minority interest investment is being valued on the cost basis and the investment will be evaluated periodically for any impairment. On October 3, 2023, the Company purchased additional shares in Vetster in the amount of $0.3 million, which increased the minority interest investment to $5.3 million. Following this round, the Company’s minority ownership changed to approximately 4.8% of Vetster’s outstanding shares.
v3.25.4
Commitments and Contingencies
9 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Legal Matters and Routine Proceedings
On April 18, 2024, Plaintiff Timothy Fitchett (“Plaintiff”) filed an action against the Company in the Court of Common Pleas of Allegheny County, Pennsylvania, on behalf of himself and purportedly on behalf of a class of others
similarly situated. Plaintiff alleges that the Company violated Pennsylvania’s Unfair Trade Practices and Consumer Protection Law by representing “reg.” prices for products which the Company allegedly never charged for those products. On May 13, 2024, the Company removed the matter to the U.S. District Court for the Western District of Pennsylvania in Pittsburgh. The Company successfully opposed the Plaintiff's motion to remand the case back to the Court of Common Pleas. On the face of the complaint, Plaintiff is seeking damages for himself in the amount of the allegedly illusory discounts he allegedly believed he was receiving when purchasing products from the Company or, in the alternative, a complete refund of amounts he paid to the Company, and he is also seeking a liability determination for members of the proposed class. The Company denies liability in this matter and intends to defend the action accordingly. The Company cannot determine materiality or estimate a range of potential liability, if any, at this time if the Company were determined to be liable.
The Company may from time to time be involved in various other claims and lawsuits in the ordinary course of business, including claims related to products, product warranties, contracts, employment, intellectual property, consumer protection, pharmacy and other regulatory matters. The Company has settled complaints that had been filed with various states’ pharmacy boards in the past. There can be no assurances made that other states will not attempt to take similar actions against the Company in the future. The Company also intends to vigorously defend its trade or service marks. There can be no assurance that the Company will be successful in protecting its trade or service marks. Legal costs related to the above matters are expensed as incurred. From time to time, the Company may be involved in and subject to disputes and legal proceedings, as well as demands, claims and threatened litigation that arise in the ordinary course of its business. These proceedings may include allegations involving business practices, infringement of intellectual property, employment or other matters. The ultimate outcome of any legal proceeding is often uncertain, there can be no assurance that the Company will be successful in any legal proceeding, and unfavorable outcomes could have a negative impact on our results of operations and financial condition. In accordance with ASC Topic 450-20 ("Loss Contingencies"), the Company records a liability in its financial statements for these matters when a loss is known or considered probable and the amount can be reasonably estimated. The Company reviews the status of each significant matter each accounting period as additional information is known and adjusts the loss provision when appropriate. If a matter is both probable to result in a liability and the amounts of loss can be reasonably estimated, the Company estimates and discloses the possible loss or range of loss to the extent necessary to make the financial statements not misleading. If the loss is not probable and cannot be reasonably estimated, a liability is not recorded in the Company’s financial statements. Gain contingencies are not recorded until they are realized. Legal costs related to any legal matters are expensed as incurred.
v3.25.4
Changes in Shareholders’ Equity
9 Months Ended
Dec. 31, 2025
Equity [Abstract]  
Changes in Shareholders’ Equity Changes in Shareholders Equity:
Changes in Shareholders’ Equity for the three and nine months ended December 31, 2025 is summarized below (in thousands):
Common StockAdditional
Paid-In
Capital
Retained
Earnings
ShareAmounts
Beginning balance at March 31, 2025:20,657$21 $18,560 $66,544 
Net share settlement of restricted stock units178 — (28)— 
Stock based compensation — — 591 — 
Dividends forfeited— — — 
Net loss— — — (34,152)
Ending balance at June 30, 2025:20,835$21 $19,123 $32,393 
Net share settlement of restricted stock units180— (209)— 
Stock based compensation expense— — 247 — 
Net loss— — — (8,520)
Ending balance at September 30, 2025:21,016$21 $19,161 $23,873 
Net share settlement of restricted stock units367 — — — 
Stock based compensation expense— — 255 — 
Net loss— — — (10,553)
Ending balance at December 31, 2025:21,383$21 $19,416 $13,320 
Changes in Shareholders’ Equity for the three and nine months ended December 31, 2024 is summarized below (in thousands):
Common StockAdditional
Paid-In
Capital
Retained
Earnings
ShareAmounts
Beginning balance at March 31, 2024:21,149$21 $25,146 $71,555 
Cancellation of restricted stock, net(548)— — — 
Stock based compensation (reversal) — — (8,204)— 
Dividends forfeited— — — 1,250 
Net loss— — — 3,754 
Ending balance at June 30, 2024:20,601$21 $16,942 $76,559 
Issuance of restricted stock, net62
Stock based compensation expense— — 573 — 
Dividends declared— — — 
Net income— — — 2,326 
Ending balance at September 30, 2024:20,663$21 $17,515 $78,889 
Cancellation of restricted stock, net(7)— — 
Stock based compensation expense— — 452 — 
Dividends declared— — — 
Net loss— — — (707)
Ending balance at December 31, 2024:20,656$21 $17,967 $78,187 
There were 76,260 shares of common stock that were purchased for net settlement in the nine months ended December 31, 2025. There were no shares of common stock that were purchased or retired in the nine months ended December 31, 2024.
On December 2, 2024, the Board of Directors (the “Board”) of the Company adopted a rights agreement and declared a dividend of one right (a “Right”) for each outstanding share of Company common stock, to shareholders of record at the close of business on December 16, 2024 (the “Record Date”). The description and terms of the Rights are set forth in a rights agreement, dated as of December 3, 2024 (the “Rights Agreement”), between the Company and Continental Stock Transfer & Trust Company, a federally chartered trust company, as rights agent.
The Board adopted the Rights Agreement to protect the investment of shareholders during a period in which it believes shares of the Company do not reflect the inherent value of the business or its long-term growth potential, and during which there have been recent significant accumulations of common stock by certain shareholders. The Rights Agreement is intended to enable shareholders to realize the long-term value of their investment in the Company by reducing the likelihood that any entity, person, or group is able to gain a control or control-like position in the Company through open market accumulation without paying all shareholders an appropriate control premium or providing the Board sufficient opportunity to make informed judgments and take actions that are in the best interests of all shareholders.
In general terms, the Rights Agreement imposes significant dilution upon any person or group (other than the Company and certain other excluded persons and exempt persons), that is or becomes the beneficial owner of 12.5% or more of the common stock without the prior approval of the Board following the first public announcement by the Company of the adoption of the Rights Agreement. The term “beneficial ownership” is defined in the Rights Agreement and includes, among other things, certain derivative arrangements.
In general, each Right entitles its registered holder, subject to the terms of the Rights Agreement, to purchase from the Company one one-thousandth of a share of Series A Junior Participating Preferred Stock, par value $0.001 per share (“Preferred Stock”), of the Company at an exercise price of $27.00 per Right, subject to adjustment under certain circumstances (the “Purchase Price”). The Rights will become exercisable if (among other things) any person or group acquires 12.5% or more of the outstanding common stock, including through derivatives agreements, without the approval of the Board (an “Acquiring Person”). If a person or group becomes an Acquiring Person, all holders of Rights except the
Acquiring Person or any associate or affiliate thereof may, upon exercise of a Right, purchase for the Purchase Price shares of Common Stock with a market value of two times the Purchase Price, based on the market price of the Common Stock prior to such acquisition. If the Company is acquired in a merger or similar transaction after an Acquiring Person becomes such, all holders of Rights except the Acquiring Person or any associate or affiliate thereof may, upon exercise of a Right, purchase for the Purchase Price shares of the acquiring company with a market value of two times the Purchase Price, based on the market price of the acquiring company’s stock prior to such transaction. Any Rights held by an Acquiring Person will be void and may not be exercised.
On November 26, 2025, the Board unanimously approved an amendment to the Rights Agreement, pursuant to which the expiration date of the Rights Agreement was extended for one year from the close of business on December 2, 2025 until the close of business on December 2, 2026. All other terms and conditions of the Rights Agreement remain unchanged.
After giving effect to such amendment, the Rights will expire on the earliest to occur of (a) the close of business on December 2, 2026, (b) the time at which the Rights are redeemed by the Company (as provided in the Rights Agreement), or (c) the time at which the Rights are exchanged by the Company (as provided in the Rights Agreement). There was no impact to the Company’s current period financial statements from adopting this Rights Agreement.
In connection with the adoption of the Rights Agreement, the Board adopted Articles of Amendment to the Amended and Restated Articles of Incorporation of the Company (the “Articles of Amendment”), which designates the rights, preferences, and privileges of 100,000 shares of a new series of the Company’s preferred stock, par value $0.001 per share, designated as Series A Junior Participating Preferred Stock. The Company filed the Articles of Amendment with the Secretary of State of the State of Florida on December 3, 2024.
v3.25.4
Income Taxes
9 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
For the three months ended December 31, 2025 and 2024, the Company recorded an income tax provision of approximately $11 thousand and an income tax provision of approximately $0.5 million, respectively, and for the nine months ended December 31, 2025 and 2024, the Company recorded an income tax provision of $29 thousand and an income tax provision of $22 thousand, respectively. The effective tax rate for the three months ended December 31, 2025 was approximately (0.1)%, compared to approximately (192.1)% for the three months ended December 31, 2024, and the effective tax rate for the nine months ended December 31, 2025 was approximately (0.1)%, compared to approximately 0.4% for the nine months ended December 31, 2024. The effective tax rate for the three months ended December 31, 2025 differs from the statutory rate primarily as a result of the goodwill impairment and the Company maintaining a valuation allowance against the majority of our deferred tax assets.

As of December 31, 2025, the Company maintained a valuation allowance against the majority of our deferred tax assets for which realization cannot be considered more likely than not at this time. Management assesses the need for the valuation allowance on a quarterly basis. In assessing the need for a valuation allowance, the Company considers all positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax planning strategies, and past financial performance.

On July 4, 2025, the “One Big Beautiful Bill Act”, or “OBBBA”, was signed into law, which represents the enactment date under U.S. GAAP. Key corporate tax provisions include the restoration of 100% bonus depreciation, immediate expensing for domestic research and experimental expenditures, changes to Section 163(j) interest limitations, updates to Global Intangible Low-Taxed Income (“GILTI”), and Foreign-Derived Intangible Income (“FDII”) rules, amendments to energy credits, and expanded Section 162(m) aggregation requirements.

In accordance with ASC 740, the effects of the new tax legislation are recognized in the period of enactment. Management has evaluated the provisions of the OBBBA, recalculated temporary differences, reassessed valuation allowances, and considered any necessary adjustments. Based on this evaluation, management concluded that the effects of the OBBBA are not material to the Company’s consolidated financial statements for the three and nine months ended December 31, 2025. Management will continue to monitor forthcoming guidance, interpretations, and technical clarifications to assess whether any future adjustments or additional disclosures may be required.
v3.25.4
Unsolicited and Non-Binding Acquisition Proposals
9 Months Ended
Dec. 31, 2025
Business Combination, Asset Acquisition, Transaction between Entities under Common Control, and Joint Venture Formation [Abstract]  
Unsolicited and Non-Binding Acquisition Proposals Unsolicited and Non-Binding Acquisition Proposals
In December, 2025, the Company received public unsolicited and non-binding acquisition proposals to acquire all of the outstanding shares of the Company at prices ranging from $4 to $4.25 per share in cash, subject to various conditions such as due diligence and the execution of a mutually acceptable definitive agreement, but not subject to any financing
contingency. The Company’s Board, consistent with its fiduciary duties and in consultation with its financial and legal advisors, are carefully reviewing and considering the acquisition proposals to determine the course of action that it believes is in the best interests of the Company and its stockholders.
v3.25.4
Insider Trading Arrangements
3 Months Ended
Dec. 31, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.4
Summary of Significant Accounting Policies (Policies)
9 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Basis of Presentation and Consolidation
Basis of Presentation and Consolidation
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and, therefore, do not include all of the information and footnotes required by accounting principles generally accepted in the United States ("GAAP") for complete financial statements. In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position of the Company at December 31, 2025, the Statements of Operations for the three and nine months ended December 31, 2025 and 2024, and Cash Flows for the nine months ended December 31, 2025 and 2024. The results of operations for the three and nine months ended December 31, 2025 are not necessarily indicative of the operating results expected for the fiscal year ending March 31, 2026. These financial statements should be read in conjunction with the audited financial statements and notes thereto contained in our 2025 Form 10-K. The unaudited condensed consolidated financial statements include the accounts of PetMed Express, Inc. and its direct and indirect wholly owned subsidiaries. All significant intercompany transactions have been eliminated in consolidation.
Use of Estimates
Use of Estimates
The preparation of unaudited condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from those estimates and assumptions.
Fair Value of Financial Instruments
Fair Value of Financial Instruments
The carrying amounts of the Company's cash and cash equivalents, accounts receivable, and accounts payable approximate fair value due to the short-term nature of these instruments.
Deferred Revenue
Deferred Revenue

Deferred revenue is recorded when payments are received or due in advance of performing our service obligations and revenue is recognized over the service period. Deferred revenue includes prepayments of PetPlus memberships with PetCareRx, Inc. (“PetCareRx”). The total deferred revenue as of December 31, 2025 and March 31, 2025 for these memberships was $0.8 million and $1.0 million, respectively. Memberships provide discounted pricing, free standard shipping, veterinary telehealth services and local Caremark Pharmacy prescription pickup. The membership fee is an annual charge and automatically renews one year from the initial enrollment date. The Company generally recognizes the revenue ratably over the term of the membership. Deferred revenue at March 31, 2025 also includes $1.1 million collected from our customers prior to delivery of AutoShip products, which is recorded as deferred revenue on the condensed consolidated balance sheets.
Long-lived Assets
Long-lived Assets
Long-lived assets, which primarily includes fixed assets, definite lived intangibles, right-of-use assets, and other assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of the asset group to the undiscounted cash flows expected to be generated by the asset group from its use and eventual disposition of that asset group. Assets are considered to be impaired if the carrying amount of an asset group exceeds the future undiscounted cash flows. If impairment is determined to exist, any related impairment loss is calculated based on estimated fair value. Impairment losses on assets to be disposed of, if any, are based on the estimated proceeds to be received, less cost of disposal. The Company determined that all of its long-lived assets are part of a single entity-wide asset group for the purpose of long-lived asset impairment assessment.

During the three months ended June 30, 2025, the Company identified triggering events for the Company’s long-lived asset group. These triggering events included a downward revision to the Company’s forecast and a decrease in the Company’s market capitalization which fell below the Company’s carrying value for a sustained period beginning in the fourth quarter of fiscal 2025. As a result of the identified triggering events, the Company performed a recoverability test for the identified long-lived asset group. The undiscounted cash flow projections were based on estimates made by management of current and future strategic and operational plans and future financial performance projected, using various assumptions including, but not limited to: revenues, gross profits, operating expenses, and working capital through the remaining useful life of the primary asset in the asset group. The results of the test indicated that the carrying amounts for the long-lived asset group were expected to be recoverable. During the third quarter of fiscal year 2026, there was no impairment triggering event identified.
Goodwill
Goodwill
Goodwill represents the excess of the purchase price over the fair value of net assets acquired in a business combination. The Company is required to assess goodwill for impairment annually, or more frequently if circumstances indicate impairment may have occurred. The Company performs its annual impairment assessment in the fourth fiscal quarter of each year. An impairment test of goodwill consists of comparing the carrying amount of the single reporting unit to the fair value of the unit. An impairment loss is recognized by the amount that the carrying amount exceeds the fair value, limited to the amount of goodwill. The Company has concluded that it has one reporting unit and has assigned the entire balance of goodwill to this reporting unit.

For the three months ended June 30, 2025, the Company identified potential impairment triggering events indicating that the fair value of its reporting unit was more likely than not less than its carrying value as of June 30, 2025. These triggering events included a downward revision to the Company’s forecast due to continued revenue declines and a decrease in the Company’s stock price and market capitalization that was sustained in the first quarter of fiscal 2026. In accordance with Accounting Standards Codification (“ASC”) 350, Intangibles - Goodwill and Other, the Company performed a quantitative goodwill impairment test as of June 30, 2025.

The fair value of the single reporting unit was estimated using an income approach, employing a discounted cash flow model. As part of the discounted cash flow model, the Company developed estimates, assumptions and judgments about future results. The discounted cash flow projections were based on estimates made by management of current and future strategic and operational plans and future financial performance. Valuation assumptions used in the Company's discounted cash flow valuation also include projected capital expenditures, earnings before interest expense, income taxes, depreciation and amortization expense (EBITDA), depreciation expense, working capital, discount rates, tax rates and terminal growth rates. The Company applied a terminal growth rate of 3%, income tax rate of 25.3% and discount rate of
14.0% based on a weighted average cost of capital adjusted for the relevant risk associated with the characteristics of the single reporting unit. As a result of this impairment test, the Company determined the carrying value of the reporting unit exceeded its fair value, resulting in a goodwill impairment charge of $26.7 million during the three months ended June 30, 2025, which represented the entirety of the goodwill balance previously recorded. There was no tax impact to the impairment as goodwill is not tax deductible.

In accordance with ASC 820, Fair Value Measurement, the fair value measurement, on a non-recurring basis, for the goodwill impairment is categorized as a Level 3 fair value measurement. This is due to the significant unobservable inputs used in the valuation, including the forecasted revenues, discount rate, and terminal growth rate, which require significant management judgment and estimation.
Intangible Assets
Intangible Assets

The Company acquired definite-lived intangible assets in the acquisition of PetCareRx (“PCRx”), that are being amortized based on their estimated useful lives in accordance with ASC Topic 350, Intangibles - Goodwill and Other. These definite-lived intangible assets are being amortized over periods ranging from three to seven years. Acquired trade name is not being amortized and is subject to a review for impairment on an annual basis, or more frequently if circumstances indicate an impairment may have occurred. If the carrying amount of an indefinite lived intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess.

During the first quarter of our fiscal year ending 2026, because of the triggering events the Company performed the quantitative test which resulted in additional impairment related to the PCRx trade name of $0.6 million, due to a reduction in actual and forecasted revenues. During the third quarter of fiscal year 2026, there was no impairment triggering event identified.

The fair value of the trade name was determined using the "relief from royalty" method.

This method estimates the value of the trade name by calculating the present value of the royalty payments that would have been avoided by owning the trade name rather than licensing it. Key assumptions used in this valuation include:

Royalty Rate: A hypothetical royalty rate of 0.5% was applied, based on comparable market transactions and industry benchmarks for similar trade names. This rate reflects the estimated arm's-length royalty that a market participant would be willing to pay for the use of the trade name.

Forecasted Revenues: Future revenue projections associated with the use of the trade name were based on the Company's internal forecasts, incorporating expectations for market growth. These forecasts were adjusted to reflect the impact of the identified triggering event.

Discount Rate: A discount rate of 14.0% was utilized, representing the Company's weighted average cost of capital (WACC) adjusted for the specific risks associated with the trade name and the relevant industry.

Capitalization Rate: A capitalization growth rate of 11.0% was applied to project cash flows beyond the discrete forecast period, reflecting long-term sustainable growth expectations.

In accordance with ASC 820, Fair Value Measurement, the fair value measurement, on a non-recurring basis, for the trade name impairment is categorized as a Level 3 fair value measurement. This is due to the significant unobservable inputs used in the relief from royalty valuation, including the royalty rate, forecasted revenues, discount rate, and terminal growth rate, which require significant management judgment and estimation.
Inventory Write-downs
Inventory Write-down
During the quarter ended December 31, 2025, the Company evaluated the recoverability of certain inventory originally acquired for a wholesale distribution transaction that did not materialize. As a result, the inventory was then offered through alternative wholesale channels and the Company’s direct-to-consumer platform, including at significant promotional discounts. Despite these efforts, sell-through was limited.

As of December 31, 2025, the Company held approximately $2.3 million of unsold inventory related to this unrealized wholesale transaction. The inventory is primarily comprised of non-prescription pet medication products, pet food, and supplements, approximately 70% of which is subject to expiration risk. In addition, the Company did not have
committed buyers, and efforts to obtain executable third-party liquidation pricing were unsuccessful. Based on these factors, management concluded that the carrying value of the inventory exceeded its net realizable value.

Accordingly, during the quarter ended December 31, 2025, the Company recorded a non-cash inventory write-down of approximately $2.1 million to reduce the inventory to its estimated net realizable value. The write-down was recorded as a component of cost of goods sold within income from continuing operations. The resulting inventory balance reflects management’s best estimate of expected recoverability as of the balance sheet date.
Recent Accounting Pronouncements
Recent Accounting Pronouncements
Recently Adopted Accounting Standard
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The FASB issued this ASU to update reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. This update became effective with the Company’s fiscal year 2025 annual reporting period and with the Company’s fiscal year 2026 interim reporting periods. The adoption of this standard did not have a material impact on the Company’s condensed consolidated financial statements and resulted in additional segment disclosures within Footnote 4, “Segment Reporting.”
Accounting Standards Not Yet Adopted
In December 2023, the FASB issued Update 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures". This Update applies to all entities that are subject to Topic 740. The amendments in this Update revise income tax disclosures primarily related to the rate reconciliation and income taxes paid information as well as the effectiveness of certain other income tax disclosures. The Update is effective for annual periods beginning after December 15, 2024. Early adoption is permitted. The Update should be applied on a prospective basis, but retrospective application is permitted. The Company is currently evaluating the impact of adopting this Update.

In November 2024, the FASB issued ASU No.2024-03, Income Statement – Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (“ASU 2024-03”) to require public companies to disclose, in the notes to financial statements, specified information about certain costs and expenses at each interim and annual reporting period. This ASU is effective for annual reporting periods beginning after December 15, 2026, and interim reporting periods within annual reporting periods beginning after December 15, 2027, and may be applied on a retrospective or prospective basis. Early adoption is permitted. The Company is currently evaluating the impact of adopting this Update.

In July 2025, the FASB issued ASU No. 2025-05, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets (“ASU 2025-05”) to simplify the estimation of credit losses on current accounts receivable and current contract assets arising from transactions accounted for under ASC 606. The amendments allow all entities to elect a practical expedient to assume that the current conditions as of the balance sheet date will remain unchanged for the remaining life of the asset when developing a reasonable and supportable forecast as part of estimating expected credit losses on these assets. This ASU is effective for annual reporting periods beginning after December 15, 2025, and interim reporting periods within those fiscal years. Early adoption is permitted. Entities that elect the practical expedient and, if applicable, make the accounting policy election are required to apply the amendments prospectively. The Company is currently evaluating the impact of adopting this Update.

In September 2025, the FASB issued ASU 2025-06, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software (“ASU 2025-06”) to modernize the accounting for internal-use software costs, primarily by simplifying the requirements to capitalize software development costs. This ASU is effective for fiscal years beginning after December 15, 2027, and interim periods within those fiscal years and may be applied using a prospective, retrospective or modified transition approach. Early adoption is permitted. The Company is currently evaluating the impact of adopting this Update.
In December 2025, the FASB issued ASU No. 2025-11, Interim Reporting (Topic 270): Narrow-Scope Improvements (“ASU 2025-11”) to improve the guidance in Topic 270, Interim Reporting by improving navigability of the required interim disclosures, clarifying when that guidance is applicable. The amendments also provide additional guidance on what disclosures should be provided in interim reporting periods. The guidance is effective for interim periods within annual reporting periods beginning after December 15, 2027. The Company is currently evaluating the impact of adopting this Update.

In December 2025, the FASB issued ASU 2025-12, Codification Improvements (“ASU 2025-12”), to address suggestions received from stakeholders on the Accounting Standards Codification and to make other incremental improvements to GAAP. The update represents changes to the Codification that (1) clarify, (2) correct errors, or (3) make minor improvements. The amendments make the Codification easier to understand and apply. The guidance is effective for fiscal years beginning after December 15, 2026, including interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact of adopting this Update.
v3.25.4
Restatement of Previously Issued Consolidated Financial Statements (Tables)
9 Months Ended
Dec. 31, 2025
Accounting Changes and Error Corrections [Abstract]  
Schedule of Error Corrections and Prior Period Adjustments
The following table summarizes the effect of the errors on the Company’s consolidated statements of operations for the three and nine months ended December 31, 2024:

Three Months Ended December 31, 2024
As ReportedAdjustmentAs Restated
Net sales$52,984 $(1,023)$51,961 
Cost of sales$38,075 $(2,245)$35,830 
Gross profit$14,909 $1,222 $16,131 
Advertising$2,987 $1,222 $4,209 
Total operating expenses$15,359 $1,222 $16,581 
Advertising Costs of Acquiring a New Customer$47 $66 
Advertising Costs as a Percentage of Sales5.6 %8.1 %
Nine Months Ended December 31, 2024
As ReportedAdjustmentAs Restated
Net sales$180,506 $(4,294)$176,212 
Cost of sales$130,315 $(8,044)$122,271 
Gross profit$50,191 $3,750 $53,941 
Advertising$14,583 $3,750 $18,333 
Total operating expenses$45,701 $3,750 $49,451 
Advertising Costs of Acquiring a New Customer$56 $70 
Advertising Costs as a Percentage of Sales8.1 %10.4 %
v3.25.4
Revenue Recognition (Tables)
9 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
Schedule of Deferred Revenue
The following table presents changes in deferred revenue associated with the Company's PetPlus and other programs:
(amounts in millions)20252024
Deferred revenue, March 31$2.1 $2.6 
Deferred memberships fees and others received1.7 2.3 
Deferred membership fee revenue and others recognized (3.0)(3.7)
Deferred revenue, December 31$0.8 $1.2 
Schedule of Disaggregation of Revenue The following table illustrates sales in those categories:
Three Months Ended December 31,Increase (Decrease)
Net Sales (in thousands)2025%2024 As Restated%
$
%
Reorder sales$34,020 83.7 %$44,174 85.0 %$(10,154)(23.0)%
New order sales5,030 12.4 %5,954 11.5 %(924)(15.5)%
Membership fees1,610 4.0 %1,833 3.5 %(223)(12.2)%
Total net sales$40,660 100.0 %$51,961 100.0 %$(11,301)(21.7)%
Nine Months Ended December 31,
Increase (Decrease)
Net Sales (in thousands)2025%2024 As Restated%
$
%
Reorder sales$112,733 82.8 %$145,687 82.7 %$(32,954)(22.6)%
New order sales18,607 13.7 %24,299 13.8 %(5,692)(23.4)%
Membership fees4,864 3.6 %6,226 3.5 %(1,362)(21.9)%
Total net sales$136,204 100.0 %$176,212 100.0 %$(40,008)(22.7)%
v3.25.4
Segment Reporting (Tables)
9 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment
The table below provides a summary of significant expense categories regularly provided to the CODM reconciled to Adjusted EBITDA, as well as a reconciliation of Adjusted EBITDA to net income (loss), for the three and nine months ended December 31, 2025 and 2024. The CODM does not review segment assets at a different asset level or category than those disclosed within the consolidated balance sheets.
Three Months Ended
($ in thousands)December 31,
2025
December 31, 2024 (As Restated)
Net Sales$40,660 $51,961 
Significant expense categories:
Cost of sales (4)
31,20435,830
Advertising5,3324,209
  Other segment expenses (1)
11,6819,920
Adjusted EBITDA$(7,557)$2,002 
(Add) subtract:
Share-based compensation expense (reversal)255452
Income taxes11465
Depreciation and amortization2,3991,586
Interest (income) expense, net (2)
221(28)
Acquisition/Partnership transactions and other items25
Employee severance9209
Professional fees (3)
101
Net (loss) income$(10,553)$(707)
Nine Months Ended
($ in thousands)December 31,
2025
December 31, 2024 (As Restated)
Net Sales$136,204 $176,212 
Significant expense categories:
Cost of sales (4)
99,930122,271
Advertising15,71918,333
  Other segment expenses (1)
33,12533,045
Adjusted EBITDA$(12,570)$2,563 
(Add) subtract:
Share-based compensation (reversal) expense1,093(7,179)
Income taxes2922
Depreciation and amortization6,9604,965
Interest (income) expense, net (2)
745(308)
Acquisition/Partnership transactions and other items205
Employee severance1,328663
Sales tax expense (income)(1,178)
Professional fees (3)
3,242
Impairment of goodwill and intangible assets
27,258
Net (loss) income$(53,225)$5,373 
(1) Consists of all other expenses on an Adjusted EBITDA basis, including salaries and wages, operating expenses such as utilities, insurance, professional fees, etc.
(2) For the three months ended December 31, 2025 and 2024: $0.4 million and $0.4 million of interest expense related to the sales tax liability, and $0.2 million and $0.5 million of interest income, respectively. For the nine months ended December 31, 2025 and 2024: $1.5 million and $1.2 million of interest expense related to the sales tax liability, and $0.8 million and $1.5 million of interest income, respectively.
(3) Consists of professional fees related to the investigation (see Note 1 for additional information).
(4) Cost of sales includes a non-cash inventory write-down of approximately $2.1 million (see Note 2 for additional information).
v3.25.4
Net (Loss) Income Per Share (Tables)
9 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
Schedule of Earnings Per Share
The following is a reconciliation of the numerators and denominators of the basic and diluted net (loss) income per share computations for the periods presented (in thousands, except for share and per share amounts):
Three Months Ended December 31,Nine Months Ended
December 31,
2025202420252024
Net (loss) income (numerator):  
Net (loss) income$(10,553)$(707)$(53,225)$5,373 
Shares (denominator):  
Weighted average number of common shares outstanding used in basic computation21,008,521 20,634,651 20,884,822 20,581,913 
Common shares issuable upon vesting of restricted stock— — — 395,222 
Common shares issuable upon conversion of preferred shares— — — 10,125 
Weighted average number of common shares outstanding used in diluted computation
21,008,521 20,634,651 20,884,822 20,987,260 
Net (loss) income per common share:
Basic$(0.50)$(0.03)$(2.55)$0.26 
Diluted$(0.50)$(0.03)$(2.55)$0.26 
v3.25.4
Share-Based Compensation (Tables)
9 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Schedule of Share-Based Compensation Arrangements by Share-Based Payment Award The following table presents the number of common shares issued under each of the Company's plans:
Plan Name
Common Shares Issued
2016 Employee Plan
422,438 
2015 Director Plan
247,307 
2022 Employee Plan
417,446 
2024 Omnibus Plan
526,590 
2024 Inducement Plan
148,735 
Schedule of Restricted Stock Awards Restricted stock award activity in the nine months ended December 31, 2025 was as follows:
 2015 Director Plan Number of Shares 2016 Employee Plan Number of Shares 2022 Employee Plan Number of Shares2024 Omnibus Plan Number of Shares2024 Inducement Plan Number of SharesAll Plans Number of Shares Weighted-Average Grant Date Fair Value
Non-vested restricted stock outstanding at March 31, 20259,207 8,686 — — — 17,893 $21.39 
Granted and issued— — — 346,950 27,000 373,950 $2.56 
Vested(6,166)(7,614)— — — (13,780)$21.59 
Forfeited(3,041)(947)— (1,000)— (4,988)$17.17 
Non-vested restricted stock outstanding at December 31, 2025– 125 — 345,950 27,000 373,075 $2.56 
Schedule of RSU Activity For the nine months ended December 31, 2025, RSU activity under the 2022 Employee Plan, 2015 Director Plan, 2024 Omnibus Plan and 2024 Inducement Plan was as follows:
2015 Director Plan Number of Shares2022 Employee Plan Number of Shares2024 Omnibus Plan Number of Shares2024 Inducement Plan Number of SharesAll Plans Number of SharesWeighted-Average
 Grant Date
 Fair Value Per RSU
Balance at March 31, 202522,316 568,416 321,022 290,000 1,201,754 $4.49 
Granted — — 9,877 — 9,877 $2.97 
Vested and issued(10,097)(250,830)(77,002)(95,068)(432,997)$4.38 
Forfeited(7,219)(265,382)(133,269)(168,265)(574,135)$4.36 
Balance at December 31, 20255,000 52,204 120,628 26,667 204,499 $5.00 
Schedule of PSU Activity
For the nine months ended December 31, 2025, PSU activity under the 2022 Employee Plan, 2015 Director Plan, 2024 Omnibus Plan and 2024 Inducement Plan was as follows:
2015 Director Plan Number of Shares2022 Employee Plan Number of Shares2024 Omnibus Plan Number of Shares2024 Inducement Plan Number of SharesAll Plans Number of SharesWeighted-Average
 Grant Date
 Fair Value Per PSU
Balance at March 31, 2025146,772146,772$3.47 
Granted $— 
Vested and issued$— 
Forfeited(146,772)(146,772)$3.47 
Balance at December 31, 2025$— 
v3.25.4
Intangible and Other Assets, Net (Tables)
9 Months Ended
Dec. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Intangible Assets and Other Assets
Intangible assets and other assets, net consisted of the following (in thousands):

Useful LifeGross ValueAccumulated AmortizationNet Carrying ValueWeighted Average Remaining Useful Life (Years)
December 31, 2025
Intangible Assets
Toll-free telephone numberIndefinite$375 $– $375 Indefinite
Internet domain namesIndefinite485 – 485 Indefinite
Trade Names - PetCareRxIndefinite800 – 800 Indefinite
Customer Relationships -PetCareRx7 years6,700 (2,632)4,068 4.25 years
Developed Technology - PetCareRx3 years3,000 (2,750)250 0.25 years
$11,360 $(5,382)$5,978 
Other Assets
Minority interest investment in VetsterN/A5,300 – 5,300 N/A
Balance December 31, 2025
$16,660 $(5,382)$11,278 
March 31, 2025
Intangible Assets
Toll-free telephone numberIndefinite$375 $– $375 Indefinite
Internet domain namesIndefinite485 – 485 Indefinite
Trade Names - PetCareRxIndefinite1,400 – 1,400 Indefinite
Customer Relationships -PetCareRx7 years6,700 (1,914)$4,786 5 years
Developed Technology - PetCareRx3 years3,000 (2,000)$1,000 1 year
$11,960 $(3,914)$8,046 
Other Assets
Minority interest investment in VetsterN/A5,300 – 5,300 N/A
Balance March 31, 2025$17,260 $(3,914)$13,346 
v3.25.4
Changes in Shareholders’ Equity (Tables)
9 Months Ended
Dec. 31, 2025
Equity [Abstract]  
Schedule of Changes in Shareholders' Equity
Changes in Shareholders’ Equity for the three and nine months ended December 31, 2025 is summarized below (in thousands):
Common StockAdditional
Paid-In
Capital
Retained
Earnings
ShareAmounts
Beginning balance at March 31, 2025:20,657$21 $18,560 $66,544 
Net share settlement of restricted stock units178 — (28)— 
Stock based compensation — — 591 — 
Dividends forfeited— — — 
Net loss— — — (34,152)
Ending balance at June 30, 2025:20,835$21 $19,123 $32,393 
Net share settlement of restricted stock units180— (209)— 
Stock based compensation expense— — 247 — 
Net loss— — — (8,520)
Ending balance at September 30, 2025:21,016$21 $19,161 $23,873 
Net share settlement of restricted stock units367 — — — 
Stock based compensation expense— — 255 — 
Net loss— — — (10,553)
Ending balance at December 31, 2025:21,383$21 $19,416 $13,320 
Changes in Shareholders’ Equity for the three and nine months ended December 31, 2024 is summarized below (in thousands):
Common StockAdditional
Paid-In
Capital
Retained
Earnings
ShareAmounts
Beginning balance at March 31, 2024:21,149$21 $25,146 $71,555 
Cancellation of restricted stock, net(548)— — — 
Stock based compensation (reversal) — — (8,204)— 
Dividends forfeited— — — 1,250 
Net loss— — — 3,754 
Ending balance at June 30, 2024:20,601$21 $16,942 $76,559 
Issuance of restricted stock, net62
Stock based compensation expense— — 573 — 
Dividends declared— — — 
Net income— — — 2,326 
Ending balance at September 30, 2024:20,663$21 $17,515 $78,889 
Cancellation of restricted stock, net(7)— — 
Stock based compensation expense— — 452 — 
Dividends declared— — — 
Net loss— — — (707)
Ending balance at December 31, 2024:20,656$21 $17,967 $78,187 
v3.25.4
Restatement of Previously Issued Consolidated Financial Statements - Consolidated Statements of Operations (Details)
$ in Thousands
3 Months Ended 9 Months Ended
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
$ / customer
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
$ / customer
Error Corrections and Prior Period Adjustments Restatement [Line Items]        
Net sales $ 40,660 $ 51,961 $ 136,204 $ 176,212
Cost of sales   35,830   122,271
Gross profit 9,456 16,131 36,274 53,941
Advertising 5,332 4,209 15,719 18,333
Total operating expenses $ 19,925 $ 16,581 $ 89,255 $ 49,451
Advertising Costs of Acquiring a New Customer (in dollars per customer) | $ / customer   66   70
Advertising Costs as a Percentage of Sales   8.10%   10.40%
As Reported        
Error Corrections and Prior Period Adjustments Restatement [Line Items]        
Net sales   $ 52,984   $ 180,506
Cost of sales   38,075   130,315
Gross profit   14,909   50,191
Advertising   2,987   14,583
Total operating expenses   $ 15,359   $ 45,701
Advertising Costs of Acquiring a New Customer (in dollars per customer) | $ / customer   47   56
Advertising Costs as a Percentage of Sales   5.60%   8.10%
Adjustment        
Error Corrections and Prior Period Adjustments Restatement [Line Items]        
Net sales   $ (1,023)   $ (4,294)
Cost of sales   (2,245)   (8,044)
Gross profit   1,222   3,750
Advertising   1,222   3,750
Total operating expenses   $ 1,222   $ 3,750
v3.25.4
Summary of Significant Accounting Policies (Details)
$ in Thousands
3 Months Ended 9 Months Ended
Dec. 31, 2025
USD ($)
Jun. 30, 2025
USD ($)
Dec. 31, 2024
USD ($)
Dec. 31, 2025
USD ($)
reportingUnit
Dec. 31, 2024
USD ($)
Mar. 31, 2025
USD ($)
Mar. 31, 2024
USD ($)
Disaggregation of Revenue [Line Items]              
Deferred revenue $ 832   $ 1,200 $ 832 $ 1,200 $ 2,085 $ 2,600
Number of reporting units | reportingUnit       1      
Goodwill impairment   $ 26,700          
Unsold inventory from unrealized wholesale transaction $ 2,300     $ 2,300      
Percentage of inventory subject to expiration risk 70.00%     70.00%      
Inventory write-down $ 2,126   $ 0 $ 2,126 $ 0    
Trade Names - PetCareRx              
Disaggregation of Revenue [Line Items]              
Impairment of indefinite lived intangible assets   $ 600   $ 600      
Minimum              
Disaggregation of Revenue [Line Items]              
Useful Life 3 years     3 years      
Maximum              
Disaggregation of Revenue [Line Items]              
Useful Life 7 years     7 years      
Measurement Input, Terminal Growth Rate              
Disaggregation of Revenue [Line Items]              
Goodwill measurement input   0.03          
Measurement Input. Income Tax Rate              
Disaggregation of Revenue [Line Items]              
Goodwill measurement input   0.253          
Measurement Input, Discount Rate              
Disaggregation of Revenue [Line Items]              
Goodwill measurement input   0.140          
Measurement Input, Discount Rate | Trade Names - PetCareRx              
Disaggregation of Revenue [Line Items]              
Indefinite lived intangible assets measurement input   0.140          
Measurement Input, Royalty Rate | Trade Names - PetCareRx              
Disaggregation of Revenue [Line Items]              
Indefinite lived intangible assets measurement input   0.005          
Measurement Input, Capitalized Growth Rate | Trade Names - PetCareRx              
Disaggregation of Revenue [Line Items]              
Indefinite lived intangible assets measurement input   0.110          
Membership              
Disaggregation of Revenue [Line Items]              
Deferred revenue $ 800     $ 800   1,000  
Annual renewal term 1 year     1 year      
Autoship Products              
Disaggregation of Revenue [Line Items]              
Deferred revenue           $ 1,100  
v3.25.4
Revenue Recognition - Narrative (Details)
$ in Thousands
3 Months Ended 9 Months Ended
Dec. 31, 2025
USD ($)
performanceObligation
model
Dec. 31, 2024
USD ($)
Dec. 31, 2025
USD ($)
performanceObligation
model
Dec. 31, 2024
USD ($)
Mar. 31, 2025
USD ($)
Mar. 31, 2024
USD ($)
Disaggregation of Revenue [Line Items]            
Number of performance obligations | performanceObligation 1   1      
Revenue recognition period membership | model 2   2      
Deferred revenue $ 832 $ 1,200 $ 832 $ 1,200 $ 2,085 $ 2,600
Membership fees earned $ 40,660 51,961 $ 136,204 176,212    
Autoship Products            
Disaggregation of Revenue [Line Items]            
Deferred revenue         $ 1,100  
Membership Customers            
Disaggregation of Revenue [Line Items]            
Annual membership fees renewal period 1 year   1 year      
Revenue recognition period 1 year   1 year      
Membership Customers | Partner Program            
Disaggregation of Revenue [Line Items]            
Membership fees earned $ 1,100 $ 900 $ 3,200 $ 2,800    
Minimum            
Disaggregation of Revenue [Line Items]            
Cash settlement period     2 days      
Maximum            
Disaggregation of Revenue [Line Items]            
Cash settlement period     3 days      
v3.25.4
Revenue Recognition - Schedule of Deferred Revenue (Details) - USD ($)
$ in Thousands
9 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Contract With Customer, Liability, Current [Roll Forward]    
Deferred revenue, beginning balance $ 2,085 $ 2,600
Deferred memberships fees and others received 1,700 2,300
Deferred membership fee revenue and others recognized (3,000) (3,700)
Deferred revenue, ending balance $ 832 $ 1,200
v3.25.4
Revenue Recognition - Schedule of Disaggregation of Revenue (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Disaggregation of Revenue [Line Items]        
Net sales $ 40,660 $ 51,961 $ 136,204 $ 176,212
Sales, percentage 100.00% 100.00% 100.00% 100.00%
Sales, variance $ (11,301)   $ (40,008)  
Sales, variance, percentage (21.70%)   (22.70%)  
Reorder sales        
Disaggregation of Revenue [Line Items]        
Net sales $ 34,020 $ 44,174 $ 112,733 $ 145,687
Sales, percentage 83.70% 85.00% 82.80% 82.70%
Sales, variance $ (10,154)   $ (32,954)  
Sales, variance, percentage (23.00%)   (22.60%)  
New order sales        
Disaggregation of Revenue [Line Items]        
Net sales $ 5,030 $ 5,954 $ 18,607 $ 24,299
Sales, percentage 12.40% 11.50% 13.70% 13.80%
Sales, variance $ (924)   $ (5,692)  
Sales, variance, percentage (15.50%)   (23.40%)  
Membership fees        
Disaggregation of Revenue [Line Items]        
Net sales $ 1,610 $ 1,833 $ 4,864 $ 6,226
Sales, percentage 4.00% 3.50% 3.60% 3.50%
Sales, variance $ (223)   $ (1,362)  
Sales, variance, percentage (12.20%)   (21.90%)  
v3.25.4
Segment Reporting - Narrative (Details)
9 Months Ended
Dec. 31, 2025
segment
Segment Reporting [Abstract]  
Number of operating segments 1
Number of reportable segments 1
v3.25.4
Segment Reporting - Summary of Expense Categories and Reconciliation of Adjusted EBITDA to Net (Loss) Income (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Segment Reporting Information [Line Items]        
Net sales $ 40,660 $ 51,961 $ 136,204 $ 176,212
Cost of sales   35,830   122,271
Advertising 5,332 4,209 15,719 18,333
(Add) subtract:        
Income taxes 11 465 29 22
Depreciation and amortization 2,399 1,586 6,960 4,965
Interest (income) expense, net 221 (28) 745 (308)
Impairment of goodwill and intangible assets 0 0 27,258 0
Net (loss) income (10,553) (707) (53,225) 5,373
Interest expense 400 400 1,500 1,200
Interest income 200 500 800 1,500
Inventory write-down 2,126 0 2,126 0
Reportable Segment        
Segment Reporting Information [Line Items]        
Net sales 40,660 51,961 136,204 176,212
Cost of sales 31,204 35,830 99,930 122,271
Advertising 5,332 4,209 15,719 18,333
Other segment expenses 11,681 9,920 33,125 33,045
Adjusted EBITDA (7,557) 2,002 (12,570) 2,563
(Add) subtract:        
Share-based compensation expense (reversal) 255 452 1,093 (7,179)
Income taxes 11 465 29 22
Depreciation and amortization 2,399 1,586 6,960 4,965
Interest (income) expense, net 221 (28) 745 (308)
Acquisition/Partnership transactions and other items 0 25 0 205
Employee severance 9 209 1,328 663
Sales tax expense (income)     0 (1,178)
Professional fees 101 0 3,242 0
Impairment of goodwill and intangible assets     27,258 0
Net (loss) income $ (10,553) $ (707) $ (53,225) $ 5,373
v3.25.4
Net (Loss) Income Per Share - Schedule of Earnings Per Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
3 Months Ended 9 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Net (loss) income (numerator):        
Net (loss) income $ (10,553) $ (707) $ (53,225) $ 5,373
Shares (denominator):        
Weighted average number of common shares outstanding used in basic computation (in shares) 21,008,521 20,634,651 20,884,822 20,581,913
Common shares issuable upon vesting of restricted stock (in shares) 0 0 0 395,222
Common shares issuable upon conversion of preferred shares (in shares) 0 0 0 10,125
Weighted average number of common shares outstanding used in diluted computation (in shares) 21,008,521 20,634,651 20,884,822 20,987,260
Net (loss) income per common share:        
Basic (in dollars per share) $ (0.50) $ (0.03) $ (2.55) $ 0.26
Diluted (in dollars per share) $ (0.50) $ (0.03) $ (2.55) $ 0.26
v3.25.4
Net (Loss) Income Per Share - Narrative (Details) - shares
3 Months Ended 9 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Shares Issuable Upon Vesting of Restricted Stock        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities (in shares) 577,569 986,378 671,972 519,852
Convertible Preferred Stock        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities (in shares) 10,125 10,125 10,125 0
v3.25.4
Share-Based Compensation - Narrative (Details) - USD ($)
$ / shares in Units, $ in Thousands
1 Months Ended 3 Months Ended 9 Months Ended
Jul. 31, 2015
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Mar. 31, 2025
Sep. 27, 2024
Aug. 08, 2024
Jul. 31, 2022
Jul. 31, 2016
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Common stock, par value (in dollars per share)   $ 0.001   $ 0.001   $ 0.001        
Share based compensation   $ 300 $ 500 $ 1,093 $ (7,179)          
2024 Omnibus Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Common stock, capital shares reserved for future issuance (in shares)               850,000    
Common stock, par value (in dollars per share)               $ 0.001    
2024 Inducement Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Common stock, capital shares reserved for future issuance (in shares)             350,000      
Common stock, par value (in dollars per share)             $ 0.001      
2016 Employee Plan and 2015 Director Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Share based compensation       $ 1,100 (7,200)          
Restricted Stock                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   373,075   373,075   17,893        
Share-based compensation expense (reversal)   $ 100 $ 100 $ 200 $ (8,200)          
Restricted Stock | Minimum                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Restriction period       1 year            
Vesting period       1 year            
Restricted Stock | Maximum                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Restriction period       10 years            
Vesting period       3 years            
Restricted Stock | 2016 Employee Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Common stock, capital shares reserved for future issuance (in shares)   422,438   422,438           1,000,000
Non-vested restricted shares issued and outstanding (in shares)   125   125   8,686        
Restricted Stock | 2015 Director Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Common stock, capital shares reserved for future issuance (in shares) 400,000 247,307   247,307            
Common stock available for issuance, automatic annual increase, percent 10.00%                  
Non-vested restricted shares issued and outstanding (in shares)   0   0   9,207        
Restricted Stock | 2015 Director Plan | Minimum                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Restriction period       1 year            
Restricted Stock | 2015 Director Plan | Maximum                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Restriction period       3 years            
Restricted Stock | 2022 Employee Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Common stock, capital shares reserved for future issuance (in shares)   417,446   417,446         1,000,000  
Non-vested restricted shares issued and outstanding (in shares)   0   0   0        
Restricted Stock | 2024 Omnibus Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Common stock, capital shares reserved for future issuance (in shares)   526,590   526,590            
Non-vested restricted shares issued and outstanding (in shares)   345,950   345,950   0        
Restricted Stock | 2024 Inducement Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Common stock, capital shares reserved for future issuance (in shares)   148,735   148,735            
Non-vested restricted shares issued and outstanding (in shares)   27,000   27,000   0        
Restricted Stock | 2016 Employee Plan and 2015 Director Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   373,075 21,203 373,075 21,203          
RSUs                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   204,499   204,499   1,201,754        
Share-based compensation expense (reversal)   $ 100 $ 400 $ 1,000 $ 1,100          
Total grant-date fair value   $ 8 200 $ 29 4,200          
RSUs | Minimum                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Vesting period       1 year            
RSUs | Maximum                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Vesting period       3 years            
RSUs | 2015 Director Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   5,000   5,000   22,316        
RSUs | 2022 Employee Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   52,204   52,204   568,416        
RSUs | 2024 Omnibus Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   120,628   120,628   321,022        
RSUs | 2024 Inducement Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   26,667   26,667   290,000        
PSUs                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   0   0   146,772        
Share-based compensation expense (reversal)       $ (35) (36)          
Total grant-date fair value   $ 0 $ 0 $ 0 $ 0          
PSUs | Share-Based Payment Arrangement, Tranche One                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Vesting period       1 year            
PSUs | Share-Based Payment Arrangement, Tranche Two                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Vesting period       3 years            
PSUs | 2015 Director Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   0   0   0        
PSUs | 2022 Employee Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   0   0   0        
PSUs | 2024 Omnibus Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   0   0   146,772        
PSUs | 2024 Inducement Plan                    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]                    
Non-vested restricted shares issued and outstanding (in shares)   0   0   0        
v3.25.4
Share-Based Compensation - Issuance of Common Shares (Details) - shares
Dec. 31, 2025
Sep. 27, 2024
Aug. 08, 2024
Jul. 31, 2022
Jul. 31, 2016
Jul. 31, 2015
2024 Omnibus Plan            
Class of Stock [Line Items]            
Common stock, capital shares reserved for future issuance (in shares)     850,000      
2024 Inducement Plan            
Class of Stock [Line Items]            
Common stock, capital shares reserved for future issuance (in shares)   350,000        
Restricted Stock | 2016 Employee Plan            
Class of Stock [Line Items]            
Common stock, capital shares reserved for future issuance (in shares) 422,438       1,000,000  
Restricted Stock | 2015 Director Plan            
Class of Stock [Line Items]            
Common stock, capital shares reserved for future issuance (in shares) 247,307         400,000
Restricted Stock | 2022 Employee Plan            
Class of Stock [Line Items]            
Common stock, capital shares reserved for future issuance (in shares) 417,446     1,000,000    
Restricted Stock | 2024 Omnibus Plan            
Class of Stock [Line Items]            
Common stock, capital shares reserved for future issuance (in shares) 526,590          
Restricted Stock | 2024 Inducement Plan            
Class of Stock [Line Items]            
Common stock, capital shares reserved for future issuance (in shares) 148,735          
v3.25.4
Share-Based Compensation - Rollforward of Restricted Stock Awards (Details) - Restricted Stock
9 Months Ended
Dec. 31, 2025
$ / shares
shares
All Plans Number of Shares  
Beginning balance (in shares) 17,893
Granted and issued (in shares) 373,950
Vested (in shares) (13,780)
Forfeited (in shares) (4,988)
Ending balance (in shares) 373,075
Weighted-Average Grant Date Fair Value  
Non-vested beginning balance (in dollars per share) | $ / shares $ 21.39
Granted and issued (in dollars per share) | $ / shares 2.56
Vested (in dollars per share) | $ / shares 21.59
Forfeited (in dollars per share) | $ / shares 17.17
Non-vested ending balance (in dollars per share) | $ / shares $ 2.56
2015 Director Plan Number of Shares  
All Plans Number of Shares  
Beginning balance (in shares) 9,207
Granted and issued (in shares) 0
Vested (in shares) (6,166)
Forfeited (in shares) (3,041)
Ending balance (in shares) 0
2016 Employee Plan Number of Shares  
All Plans Number of Shares  
Beginning balance (in shares) 8,686
Granted and issued (in shares) 0
Vested (in shares) (7,614)
Forfeited (in shares) (947)
Ending balance (in shares) 125
2022 Employee Plan Number of Shares  
All Plans Number of Shares  
Beginning balance (in shares) 0
Granted and issued (in shares) 0
Vested (in shares) 0
Forfeited (in shares) 0
Ending balance (in shares) 0
2024 Omnibus Plan Number of Shares  
All Plans Number of Shares  
Beginning balance (in shares) 0
Granted and issued (in shares) 346,950
Vested (in shares) 0
Forfeited (in shares) (1,000)
Ending balance (in shares) 345,950
2024 Inducement Plan Number of Shares  
All Plans Number of Shares  
Beginning balance (in shares) 0
Granted and issued (in shares) 27,000
Vested (in shares) 0
Forfeited (in shares) 0
Ending balance (in shares) 27,000
v3.25.4
Share-Based Compensation - Rollforward of RSU and PSU Activity (Details)
9 Months Ended
Dec. 31, 2025
$ / shares
shares
RSUs  
All Plans Number of Shares  
Beginning balance (in shares) 1,201,754
Granted (in shares) 9,877
Vested and issued (in shares) (432,997)
Forfeited (in shares) (574,135)
Ending balance (in shares) 204,499
Weighted-Average Grant Date Fair Value  
Beginning Balance (in dollars per share) | $ / shares $ 4.49
Granted (in dollars per share) | $ / shares 2.97
Vested and issued (in dollars per share) | $ / shares 4.38
Forfeited (in dollars per share) | $ / shares 4.36
Ending Balance (in dollars per share) | $ / shares $ 5.00
RSUs | 2015 Director Plan Number of Shares  
All Plans Number of Shares  
Beginning balance (in shares) 22,316
Granted (in shares) 0
Vested and issued (in shares) (10,097)
Forfeited (in shares) (7,219)
Ending balance (in shares) 5,000
RSUs | 2022 Employee Plan Number of Shares  
All Plans Number of Shares  
Beginning balance (in shares) 568,416
Granted (in shares) 0
Vested and issued (in shares) (250,830)
Forfeited (in shares) (265,382)
Ending balance (in shares) 52,204
RSUs | 2024 Omnibus Plan  
All Plans Number of Shares  
Beginning balance (in shares) 321,022
Granted (in shares) 9,877
Vested and issued (in shares) (77,002)
Forfeited (in shares) (133,269)
Ending balance (in shares) 120,628
RSUs | 2024 Inducement Plan  
All Plans Number of Shares  
Beginning balance (in shares) 290,000
Granted (in shares) 0
Vested and issued (in shares) (95,068)
Forfeited (in shares) (168,265)
Ending balance (in shares) 26,667
PSUs  
All Plans Number of Shares  
Beginning balance (in shares) 146,772
Granted (in shares) 0
Vested and issued (in shares) 0
Forfeited (in shares) (146,772)
Ending balance (in shares) 0
Weighted-Average Grant Date Fair Value  
Beginning Balance (in dollars per share) | $ / shares $ 3.47
Granted (in dollars per share) | $ / shares 0
Vested and issued (in dollars per share) | $ / shares 0
Forfeited (in dollars per share) | $ / shares 3.47
Ending Balance (in dollars per share) | $ / shares $ 0
PSUs | 2015 Director Plan Number of Shares  
All Plans Number of Shares  
Beginning balance (in shares) 0
Granted (in shares) 0
Vested and issued (in shares) 0
Forfeited (in shares) 0
Ending balance (in shares) 0
PSUs | 2022 Employee Plan Number of Shares  
All Plans Number of Shares  
Beginning balance (in shares) 0
Granted (in shares) 0
Vested and issued (in shares) 0
Forfeited (in shares) 0
Ending balance (in shares) 0
PSUs | 2024 Omnibus Plan  
All Plans Number of Shares  
Beginning balance (in shares) 146,772
Granted (in shares) 0
Vested and issued (in shares) 0
Forfeited (in shares) (146,772)
Ending balance (in shares) 0
PSUs | 2024 Inducement Plan  
All Plans Number of Shares  
Beginning balance (in shares) 0
Granted (in shares) 0
Vested and issued (in shares) 0
Forfeited (in shares) 0
Ending balance (in shares) 0
v3.25.4
Fair Value (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Mar. 31, 2025
Fair Value Disclosures [Abstract]    
Cash and cash equivalents $ 26,914 $ 54,720
v3.25.4
Intangible and Other Assets, Net - Schedule of Intangible Assets and Other Assets (Details) - USD ($)
$ in Thousands
9 Months Ended 12 Months Ended
Dec. 31, 2025
Mar. 31, 2025
Oct. 03, 2023
Gross Value      
Intangibles $ 11,360 $ 11,960  
Accumulated Amortization (5,382) (3,914)  
Net Carrying Value      
Intangibles 5,978 8,046  
Other Assets      
Minority interest investment in Vetster     $ 5,300
Intangibles and Other Assets      
Intangible, Gross Value 16,660 17,260  
Accumulated Amortization (5,382) (3,914)  
Intangible, Net Carrying Value 11,278 13,346  
Partnership Agreement with Vetster      
Other Assets      
Minority interest investment in Vetster 5,300 5,300  
Minority interest investment in Vetster $ 5,300 $ 5,300  
Customer Relationships -PetCareRx      
Finite-Lived Intangible Assets [Line Items]      
Useful Life 7 years 7 years  
Gross Value      
Finite-lived intangibles $ 6,700 $ 6,700  
Accumulated Amortization (2,632) (1,914)  
Net Carrying Value      
Finite-lived intangibles $ 4,068 $ 4,786  
Weighted Average Remaining Useful Life (Years) 4 years 3 months 5 years  
Developed Technology - PetCareRx      
Finite-Lived Intangible Assets [Line Items]      
Useful Life 3 years 3 years  
Gross Value      
Finite-lived intangibles $ 3,000 $ 3,000  
Accumulated Amortization (2,750) (2,000)  
Net Carrying Value      
Finite-lived intangibles $ 250 $ 1,000  
Weighted Average Remaining Useful Life (Years) 3 months 1 year  
Toll-free telephone number      
Gross Value      
Indefinite-lived intangibles $ 375 $ 375  
Net Carrying Value      
Indefinite-lived intangibles 375 375  
Internet domain names      
Gross Value      
Indefinite-lived intangibles 485 485  
Net Carrying Value      
Indefinite-lived intangibles 485 485  
Trade Names - PetCareRx      
Gross Value      
Indefinite-lived intangibles 800 1,400  
Net Carrying Value      
Indefinite-lived intangibles $ 800 $ 1,400  
v3.25.4
Intangible and Other Assets, Net - Narrative (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Oct. 03, 2023
Apr. 19, 2022
Dec. 31, 2025
Jun. 30, 2025
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Intangible Asset, Acquired, Finite-Lived [Line Items]              
Amortization expense     $ 0.5   $ 0.5 $ 1.5 $ 1.5
Term of agreement   3 years          
Payments to acquire equity method investments $ 0.3 $ 5.0          
Minority interest investment in Vetster $ 5.3            
Vetster Inc              
Intangible Asset, Acquired, Finite-Lived [Line Items]              
Equity method investment, ownership percentage 4.80% 5.00%          
Trade Names - PetCareRx              
Intangible Asset, Acquired, Finite-Lived [Line Items]              
Impairment of indefinite lived intangible assets       $ 0.6   $ 0.6  
v3.25.4
Changes in Shareholders’ Equity - Schedule of Changes in Shareholders' Equity (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Dec. 31, 2025
Sep. 30, 2025
Jun. 30, 2025
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Dec. 31, 2025
Dec. 31, 2024
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Beginning balance (in shares)     20,656,822       20,656,822  
Beginning balance     $ 85,134       $ 85,134  
Net (loss) income $ (10,553)     $ (707)     $ (53,225) $ 5,373
Ending balance (in shares) 21,382,521           21,382,521  
Ending balance $ 32,766           $ 32,766  
Common Stock                
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Beginning balance (in shares) 21,016,000 20,835,000 20,657,000 20,663,000 20,601,000 21,149,000 20,657,000 21,149,000
Beginning balance $ 21 $ 21 $ 21 $ 21 $ 21 $ 21 $ 21 $ 21
Net share settlement of restricted stock units (in shares) 367,000 180,000 178,000 (7,000) 62,000 (548,000)    
Ending balance (in shares) 21,383,000 21,016,000 20,835,000 20,656,000 20,663,000 20,601,000 21,383,000 20,656,000
Ending balance $ 21 $ 21 $ 21 $ 21 $ 21 $ 21 $ 21 $ 21
Additional Paid-In Capital                
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Beginning balance 19,161 19,123 18,560 17,515 16,942 25,146 18,560 25,146
Net share settlement of restricted stock units   209 28          
Stock based compensation (reversal) 255 247 591 452 573 (8,204)    
Ending balance 19,416 19,161 19,123 17,967 17,515 16,942 19,416 17,967
Retained Earnings                
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Beginning balance 23,873 32,393 66,544 78,889 76,559 71,555 66,544 71,555
Dividends forfeited     1 5 4 1,250    
Net (loss) income (10,553) (8,520) (34,152) (707) 2,326 3,754    
Ending balance $ 13,320 $ 23,873 $ 32,393 $ 78,187 $ 78,889 $ 76,559 $ 13,320 $ 78,187
v3.25.4
Changes in Shareholders’ Equity - Narrative (Details) - $ / shares
9 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 02, 2025
Mar. 31, 2025
Dec. 03, 2024
Dec. 02, 2024
Class of Stock [Line Items]            
Net share settlement for taxes on equity awards (in shares) 76,260          
Stock purchased and retired (in shares)   0        
Number of outstanding right shares (in shares)           1
Beneficial ownership threshold percentage           12.50%
Rights agreement, extension term     1 year      
Series A Junior Participating Preferred Stock            
Class of Stock [Line Items]            
Preferred stock, par value (in dollars per share) $ 0.001     $ 0.001 $ 0.001  
Preferred stock, shares authorized (in shares) 100,000     100,000 100,000  
Series A Junior Participating Preferred Stock            
Class of Stock [Line Items]            
Number of outstanding right shares (in shares)         0.001  
Exercise price (in dollars per share)         $ 27.00  
Percentage of common stock exercise threshold         12.50%  
Market value purchase price rate         2  
v3.25.4
Income Taxes (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Income Tax Disclosure [Abstract]        
Provision for income taxes $ 11 $ 465 $ 29 $ 22
Effective income tax rate, percent (0.10%) (192.10%) (0.10%) 0.40%
v3.25.4
Unsolicited and Non-Binding Acquisition Proposals (Details) - Acquisition Proposal of PetMed Express, Inc.
Dec. 31, 2025
$ / shares
Minimum  
Business Combination [Line Items]  
Proposed business combination of company, price per share (in dollars per share) $ 4
Maximum  
Business Combination [Line Items]  
Proposed business combination of company, price per share (in dollars per share) $ 4.25