Sam Boughedda

Investing.com — Chewy Inc (NYSE:) shares opened 15% lower Wednesday after tumbling in extended and premarket trading following the company’s earnings and revenue miss. 

On revenue of $2.39 trillion, the online pet retailer reported a $0.15 loss per share. Investing.com asked analysts to forecast a loss of $0.06 per share for a revenue of $2.42 Billion. However, sales rose to $2.04 trillion.

In its shareholder letter, the company said the results showed “the conflict between the fundamentally strong demand that underpins our business and the highly challenging operating environment.”

While Chewy said there were positive trends in site traffic and order volumes, it saw operating conditions in some regions “deteriorate” due to the omicron variant, which “disrupted already-weakened supply chains across our industry.”

The company does believe that the near-term pressures on the gross margin have peaked in fourth quarter and that they “already see signs of recovery” in current quarter.

Chewy expects first-quarter net sales to be between $2.4 billion & $2.43 Billion, and full-year net sales of $10.2 billion – $10.4 Billion – for fiscal 2022.