Central Garden & Pet Reports Fourth Quarter and Fiscal Year 2025 Financial Results and Provides Fiscal 2026 Outlook

WALNUT CREEK, Calif.--( BUSINESS WIRE)--Central Garden & Pet Company (NASDAQ: CENT) (NASDAQ: CENTA) ("Central"), a leading company in the pet and garden industries, today announced results for its fourth quarter and fiscal year ended September 27, 2025.

"This was a record year on the bottom line, marked by continued margin expansion and disciplined execution of our Cost and Simplicity agenda," said Niko Lahanas, CEO of Central Garden & Pet.

"This was a record year on the bottom line, marked by continued margin expansion and disciplined execution of our Cost and Simplicity agenda," said Niko Lahanas, CEO of Central Garden & Pet. "Our teams delivered strong profits in Pet and Garden, successfully navigated weather and a fluid macro backdrop, and ended the year with a record cash position, giving us the flexibility to invest in our business and return value to shareholders. While the external landscape remains dynamic, we are confident that our Central to Home strategy and exceptional team position us to build on this momentum in fiscal 2026."

Cost and Simplicity Agenda

Central continued to make strong progress on its multi-year Cost and Simplicity agenda—a comprehensive initiative spanning procurement, manufacturing, logistics, portfolio management, and administrative efficiency. The initiative is simplifying operations, reducing complexity, and strengthening margins across the organization.

During the fourth quarter, Central largely completed its multi-year Supply Network Design project, a major milestone that enhanced customer alignment, improved service speed, and increased cost efficiency across logistics. The project also established enterprise-wide eCommerce fulfillment capabilities and modernized the Company’s logistics footprint. Together with the sale of the garden distribution business to the independent channel and the strategic exit from the pottery business, these actions have enabled Central to close 16 legacy facilities to date.

Fiscal 2025 Results

(All comparisons versus fiscal 2024)

Net sales were $3.1 billion compared to $3.2 billion, a decrease of 2%. Pet segment sales were $1.8 billion, decreasing 2%, while Garden segment sales were $1.3 billion compared to $1.4 billion, a decrease of 3%.

Gross margin expanded 240 basis points to 31.9% from 29.5%. Non-GAAP gross margin expanded 210 basis points to 32.1%, driven by Central's productivity agenda.

Operating income was $250 million compared with $185 million. Non-GAAP operating income was $265 million compared with $223 million. Operating margin expanded to 8.0% from 5.8% and non-GAAP operating margin to 8.5% from 7.0% reflecting improved gross margin and cost discipline.

Net interest expense was $33 million, down from $38 million, benefiting from higher interest income.

Other expense was $0.5 million compared with $5.1 million, reflecting the non-cash impairment of two minority investments recorded in fiscal 2024.

Net income was $163 million versus $108 million, and non-GAAP net income rose to $174 million from $142 million. GAAP EPS was $2.55 compared with $1.62, and non-GAAP EPS increased to $2.73 from $2.13.

Adjusted EBITDA was $371 million compared with $334 million.

The effective tax rate was 24.4% compared with 23.2% due primarily to the non-deductibility for tax purposes of losses incurred in connection with the wind-down of Central's U.K. operations.

Fourth Quarter Fiscal 2025 Results

(All comparisons versus Q4 FY 2024)

Net sales were $678 million compared to $669 million, an increase of 1% driven by strong consumer demand in Garden.

Gross margin expanded 380 basis points to 29.0% compared with 25.2%, primarily due to the impairment of grass seed inventory in the prior year. Improved productivity during the year also helped offset the initial impact of tariffs. Non-GAAP gross margin expanded 310 basis points to 29.1%.

Operating loss was $6 million compared with $32 million. Non-GAAP operating loss was $0.6 million compared with $11 million, reflecting improved gross margin partially offset by the timing of investments tied to productivity and commercial initiatives. Operating margin expanded to (0.9)% from (4.8)%, and non-GAAP operating margin expanded to (0.1)% from (1.7)%.

Other expense was $1 million compared with $6 million.

Net interest expense of $7 million was in line with prior year.

Net loss was $10 million compared with $34 million. Non-GAAP net loss was $5 million compared with $12 million. GAAP loss per share was $0.16 compared with $0.51, and non-GAAP loss per share was $0.09 compared with $0.18.

Adjusted EBITDA was $26 million compared with $17 million.

Pet Segment Fourth Quarter Fiscal 2025 Results

(All comparisons versus Q4 FY 2024)

Net sales in the Pet segment were $428 million compared with $435 million, primarily due to the closure of Central's U.K. operations and lower durables sales.

Operating income was $28 million compared with $14 million, and non-GAAP operating income was $31 million compared with $35 million reflecting the timing of investments tied to productivity and commercial initiatives. Operating margin rose to 6.4% from 3.3%, and non-GAAP operating margin was 7.2% compared with 8.0%.

Adjusted EBITDA was $41 million compared with $45 million.

Garden Segment Fourth Quarter Fiscal 2025 Results

(All comparisons versus Q4 FY 2024)

Net sales in the Garden segment were $250 million, up from $234 million, reflecting improved consumer demand driven by an extended selling season, strong retail execution, and additional product placements.

Operating loss was $2 million compared with $29 million, and non-GAAP operating income was $1 million compared with an operating loss of $25 million primarily due to the impairment of grass seed inventory in the prior year. Operating margin expanded to (0.7)% from (12.3)%, and non-GAAP operating margin expanded to 0.4% from (10.6)%.

Adjusted EBITDA was $11 million compared with Adjusted EBITDA loss of $(14) million.

Liquidity and Debt

(All comparisons versus fiscal 2024)

Cash and cash equivalents at September 27, 2025, were $882 million compared with $754 million, reflecting strong cash generation from inventory reductions and lower capital expenditures.

Cash provided by operations was $333 million, compared with $395 million, driven by changes in working capital.

Total debt was $1.2 billion, unchanged from the prior year. Gross leverage, calculated using the definitions for Indebtedness and EBITDA in Central's credit agreement, ended the year at 2.8x, below both the prior year and Central’s target range of 3.0 to 3.5x. Central had no borrowings outstanding under its credit facility at year-end.

Central did not repurchase any shares during the fourth quarter. As of September 27, 2025, $46.5 million remained available for future stock repurchases.

Non-GAAP Adjustments

Central recognized $15 million in non-GAAP charges in fiscal 2025, all related to Cost and Simplicity initiatives.

In the Garden segment, these charges primarily reflected the consolidation of two legacy distribution facilities—one in Ontario, California, and another in Salt Lake City, Utah—into a single, larger, and more modern site in Salt Lake City. That work began in the third quarter and continued into the fourth, resulting in $5 million in SG&A charges.

In the Pet segment, the charges were related to the strategic wind-down of Central's U.K. operations and the transition to a more profitable, direct export–only model. This initiative took place over the second through fourth quarters and resulted in $10 million in total charges—$6 million in cost of goods and $4 million in SG&A.

Non-GAAP charges for the quarter totaled $6 million — including $3 million related to Central's U.K. operations and $3 million associated with the Garden facility consolidation. Of the total, $5 million was recorded in SG&A, and $1 million in cost of goods sold.

Outlook for Fiscal 2026

Central currently expects fiscal 2026 non-GAAP EPS to be $2.70 or better, reflecting continued margin discipline, cost efficiencies and portfolio optimization.

The outlook incorporates current assumptions around a competitive and promotional retail environment, a value seeking consumer, current tariffs, and inflation in certain commodity categories, all set against a dynamic macroeconomic and geopolitical backdrop.

Capital spending is projected at approximately $50 million to $60 million, focused on maintenance, productivity, and targeted growth initiatives across both segments.

This outlook excludes any potential impacts from acquisitions, divestitures or restructuring activities that may occur during fiscal 2026, including projects under Central's Cost and Simplicity agenda.

Conference Call

Central will hold a conference call today at 4:30 p.m. Eastern Time (1:30 p.m. Pacific Time), hosted by CEO Niko Lahanas and CFO Brad Smith, to discuss these results and to provide a general business update. The conference call and related materials can be accessed at http://ir.central.com.

Alternatively, to listen to the call by telephone, dial (201) 689-8345 (domestic and international) using confirmation #13755410.

About Central Garden & Pet

Central Garden & Pet Company (NASDAQ: CENT) (NASDAQ: CENTA) understands home is central to life and has proudly nurtured happy and healthy homes for over 45 years. With fiscal 2025 net sales of $3.1 billion, Central is on a mission to lead the future of the pet and garden industries. The Company’s innovative and trusted products are dedicated to helping lawns grow greener, gardens bloom bigger, pets live healthier, and communities grow stronger. Central is home to a leading portfolio of more than 60 high-quality brands including Amdro ®, Aqueon ®, Best Bully Sticks ®, Cadet ®, C&S ®, Farnam ®, Ferry-Morse ®, Kaytee ®, Nylabone ®, Pennington ®, Sevin ® and Zoёcon ®, strong manufacturing and distribution capabilities, and a passionate, entrepreneurial growth culture. Central is based in Walnut Creek, California, with over 6,000 employees primarily across North America. Visit www.central.com to learn more.

Safe Harbor Statement

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: The statements contained in this release which are not historical facts, including statements concerning evolving consumer demand and unfavorable retailer dynamics, productivity initiatives, estimated capital spending, and earnings guidance for fiscal 2026, are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by forward-looking statements. All forward-looking statements are based upon Central's current expectations and various assumptions. There are a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements contained in this release including, but not limited to, the following factors:

These and other risks are described in greater detail in Central’s Annual Report on Form 10-K for the fiscal year ended September 28, 2024, filed with the Securities and Exchange Commission on November 27, 2024, and our upcoming Annual Report on Form 10-K for the fiscal year ended September 27, 2025 expected to be filed on November 26, 2025. Central has not filed its Form 10-K for the fiscal year ended September 27, 2025. As a result, all financial results described here should be considered preliminary, and are subject to change to reflect any necessary adjustments or changes in accounting estimates that are identified prior to the time we file the Form 10-K. Central assumes no obligation to publicly update these forward-looking statements to reflect new information, future events, or any other development.

CENTRAL GARDEN & PET COMPANY

CONSOLIDATED BALANCE SHEETS

September 27, 2025

September 28, 2024

(in thousands, except share and per share amount)

ASSETS

Current assets:

Cash and cash equivalents

882,488

753,550

Restricted cash

15,945

14,853

Accounts receivable, net

325,297

326,220

Inventories, net

722,106

757,943

Prepaid expenses and other

30,294

34,240

Total current assets

1,976,130

1,886,806

Plant, property and equipment, net

363,188

379,166

Goodwill

554,692

551,361

Other intangible assets, net

447,643

473,280

Operating lease right-of-use assets

222,863

205,137

Other assets

61,127

57,689

Total

3,625,643

3,553,439

LIABILITIES AND EQUITY

Current liabilities:

Accounts payable

234,618

212,606

Accrued expenses

247,213

245,226

Current lease liabilities

56,865

57,313

Current portion of long-term debt

239

Total current liabilities

538,758

515,384

Long-term debt

1,191,641

1,189,809

Long-term lease liabilities

191,739

173,086

Deferred income taxes and other long-term obligations

118,572

117,615

Equity:

Common stock ($0.01 par value; 80 million shares authorized; 9,650,221 and 11,074,620 outstanding at September 27, 2025 and September 28, 2024, respectively)

111

Class A common stock ($0.01 par value; 100 million shares authorized; 51,618,682 and 54,446,194 outstanding at September 27, 2025 and September 28, 2024, respectively)

516

544

Class B stock ($0.01 par value; 3 million shares authorized; 1,602,374 and 1,602,374 outstanding at September 27, 2025 and September 28, 2024, respectively)

Additional paid-in capital

571,392

598,098

Retained earnings

1,015,096

959,511

Accumulated other comprehensive loss

(3,849

)

(2,626

)

Total Central Garden & Pet shareholders’ equity

1,583,268

1,555,654

Noncontrolling interest

1,665

1,891

Total equity

1,584,933

1,557,545

Total

3,625,643

3,553,439

CENTRAL GARDEN & PET COMPANY

CONSOLIDATED STATEMENTS OF OPERATIONS

Three Months Ended

Fiscal Year Ended

September 27, 2025

September 28, 2024

September 27, 2025

September 28, 2024

(in thousands, except per share amounts)

Net sales

678,178

669,489

3,129,064

3,200,460

Cost of goods sold

481,634

500,537

2,131,728

2,256,725

Gross profit

196,544

168,952

997,336

943,735

Selling, general and administrative expenses

202,944

201,360

747,294

758,348

Operating (loss) income

(6,400

)

(32,408

)

250,042

185,387

Interest expense

(14,357

)

(14,115

)

(57,697

)

(57,527

)

Interest income

7,476

7,639

24,885

19,655

Other income (expense), net

(576

)

(6,137

)

(480

)

(5,090

)

Income (loss) before income taxes and noncontrolling interest

(13,857

)

(45,021

)

216,750

142,425

Income tax (benefit) expense

(3,421

)

(10,621

)

52,787

33,112

Net income (loss) including noncontrolling interest

(10,436

)

(34,400

)

163,963

109,313

Net income (loss) attributable to noncontrolling interest

(630

)

(242

)

1,120

1,330

Net income (loss) attributable to Central Garden & Pet Company

(9,806

)

(34,158

)

162,843

107,983

Net income (loss) per share attributable to Central Garden & Pet Company:

Basic

(0.16

)

(0.52

)

2.58

1.64

Diluted

(0.16

)

(0.51

)

2.55

1.62

Weighted average shares used in the computation of net income per share:

Basic

61,714

65,939

63,094

65,711

Diluted

62,445

66,917

63,815

66,860

CENTRAL GARDEN & PET COMPANY

CONSOLIDATED STATEMENTS OF CASH FLOWS

Fiscal Year Ended

September 27, 2025

September 28, 2024

September 30, 2023

(in thousands)

Cash flows from operating activities:

Net income

163,963

109,313

126,097

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

84,894

90,807

87,700

Amortization of deferred financing costs

2,695

2,687

2,698

Non-cash lease expense

60,076

56,180

51,868

Stock-based compensation

21,060

20,583

27,990

Gain on sale of business

—

(5,845

)

Deferred income taxes

(2,101

)

(14,482

)

(12,253

)

Facility closures and business exit costs

9,339

27,842

15,674

Impairment of intangibles

1,018

12,790

—

Other asset impairments

—

7,462

750

Other

2,438

906

(525

)

Changes in assets and liabilities (excluding businesses acquired):

Receivables

629

11,857

43,980

Inventories

31,278

84,306

86,980

Prepaid expenses and other assets

(2,740

)

11,944

8,813

Accounts payable

20,107

18,373

(19,962

)

Accrued expenses

1,348

17,152

6,766

Other long-term obligations

986

(12,631

)

9,595

Operating lease liabilities

(62,484

)

(50,197

)

(48,692

)

Net cash provided by operating activities

332,506

394,892

381,634

Cash flows from investing activities:

Additions to property, plant and equipment

(41,418

)

(43,135

)

(53,966

)

Business acquired, net of cash acquired

(3,318

)

(60,226

)

—

Proceeds from sale of business

—

20,000

Payments for investments

—

(1,650

)

(500

)

Other investing activities

(150

)

(175

)

(115

)

Net cash used in investing activities

(44,886

)

(105,186

)

(34,581

)

Cash flows from financing activities:

Repayments on revolving line of credit

—

(48,000

)

Borrowings on revolving line of credit

—

48,000

Repayments of long-term debt

(231

)

(370

)

(338

)

Repurchase of common stock, including shares surrendered for tax withholding

(155,066

)

(24,075

)

(37,161

)

Payments of contingent consideration

—

(95

)

(54

)

Distribution to noncontrolling interest

(1,346

)

(899

)

—

Net cash used in financing activities

(156,643

)

(25,438

)

(37,553

)

Effect of exchange rate changes on cash and equivalents

(947

)

1,261

1,189

Net increase in cash, cash equivalents and restricted cash

130,031

265,530

310,689

Cash, cash equivalents and restricted cash at beginning of year

768,403

502,873

192,184

Cash, cash equivalents and restricted cash at end of year

898,433

768,403

502,873

Supplemental information:

Cash paid for interest

57,698

57,531

57,143

Cash paid for income taxes – net of refunds

61,634

53,582

17,910

Non-cash investing and financing activities:

Capital expenditures incurred but not paid

3,146

1,936

2,243

Liability for contingent performance based payments

(20

)

(374

)

Shares of common stock repurchased but not settled

—

536

—

Lease liabilities arising from obtaining right-of-use assets

74,007

95,391

42,777

Use of Non-GAAP Financial Measures

We report our financial results in accordance with GAAP. However, to supplement the financial results prepared in accordance with GAAP, we use non-GAAP financial measures including non-GAAP net income and diluted net income per share, non-GAAP operating income, non-GAAP gross profit and gross margin, non-GAAP selling, general and administrative expense and adjusted EBITDA.

Management uses these non-GAAP financial measures that exclude the impact of specific items (described below) in making financial, operating and planning decisions and in evaluating our performance. Management believes that these non-GAAP financial measures may be useful to investors in their assessment of our ongoing operating performance and provide additional meaningful comparisons between current results and results in prior operating periods. While management believes that non-GAAP measures are useful supplemental information, such adjusted results are not intended to replace our GAAP financial results and should be read in conjunction with those GAAP results.

Adjusted EBITDA is defined by us as income before income tax, net other expense, net interest expense, depreciation and amortization and stock-based compensation expense (or operating income plus depreciation and amortization expense and stock-based compensation expense). Adjusted EBITDA further excludes one-time charges related to facility closures, exits of businesses, intangible and investment impairments and gains from litigation. We present adjusted EBITDA because we believe that adjusted EBITDA is a useful supplemental measure in evaluating the cash flows and performance of our business and provides greater transparency into our results of operations. Adjusted EBITDA is used by our management to perform such evaluations. Adjusted EBITDA should not be considered in isolation or as a substitute for cash flow from operations, income from operations or other income statement measures prepared in accordance with GAAP. We believe that adjusted EBITDA is frequently used by investors, securities analysts and other interested parties in their evaluation of companies, many of which present adjusted EBITDA when reporting their results. Other companies may calculate adjusted EBITDA differently and it may not be comparable.

The reconciliations of these non-GAAP measures to the most directly comparable financial measures calculated and presented in accordance with GAAP are shown in the tables below.

Non-GAAP financial measures reflect adjustments based on the following items:

From time to time in the future, there may be other items that we may exclude if we believe that doing so is consistent with the goal of providing useful information to investors and management.

We have not provided a reconciliation of non-GAAP measures to the corresponding GAAP measures on a forward-looking basis as we cannot do so without unreasonable efforts due to the potential variability and limited visibility of excluded items; these excluded items may include facility closures and exit costs, impairment charges and restructuring costs, among others.

The non-GAAP adjustments made reflect the following:

(1)

During fiscal 2025, we recognized incremental expense of $5.0 million in our Garden segment in the consolidated statement of operations related to closing a distribution facility in Ontario, California and executing the consolidation of our Western distribution network. Additionally, the charge includes costs related to the closure of a live goods facility.

(2)

During fiscal 2025, we recognized incremental expense of $10.0 million in our Pet segment in the consolidated statement of operations related to our decision to wind-down our operations in the U.K. and the related facility as we move to a direct-export model.

(3)

During fiscal 2024, we recognized incremental expense of $20.3 million in our Garden segment in the consolidated statement of operations, from the closure of a manufacturing facility in California, the consolidation of our Southeast distribution network, the decision to exit the pottery business, the closure of a live goods distribution facility in Delaware, the relocation of our grass seed research facility related, and facility closures announced in fiscal 2023

(4)

During fiscal 2024, we recognized incremental expense of $7.5 million in our Pet segment in the consolidated statement of operations, from the closure of manufacturing facilities in California and Arizona.

(5)

During fiscal 2024, we recognized a non-cash impairment charge in our Pet segment of $12.8 million related to the impairment of intangible assets due primarily to changing market conditions resulting from the decline in demand for durable products and increased international competition.

(6)

In fiscal 2024, within corporate, we received $3.2 million in settlement of litigation, the gain of which is included in selling, general and administrative expense. Additionally, we recognized a $7.5 million non-cash impairment charge for two related private company investments that is included within Other income (expense) in the consolidated statement of operations.

Net Income and Diluted Net Income Per Share

GAAP to Non-GAAP Reconciliation

Three Months Ended

Fiscal Year Ended

September 27, 2025

September 28, 2024

September 27, 2025

September 28, 2024

(in thousands, except per share amount)

GAAP net (loss) income attributable to Central Garden & Pet Company

(9,806

)

(34,158

)

162,843

107,983

Facility closures & business exits

(1)(2)(3)(4)

5,751

11,457

15,005

27,842

Intangible impairments

(5)

—

12,790

—

12,790

Litigation settlement

(6)

—

(3,200

)

—

(3,200

)

Investment impairment

(6)

—

7,461

—

7,461

Tax effect of adjustments

(1,396

)

(6,725

)

(3,654

)

(10,437

)

Non-GAAP net (loss) income attributable to Central Garden & Pet Company

(5,451

)

(12,375

)

174,194

142,439

GAAP diluted net income per share

(0.16

)

(0.51

)

2.55

1.62

Non-GAAP diluted net income per share

(0.09

)

(0.18

)

2.73

2.13

Shares used in GAAP and non-GAAP diluted net income per share calculation

62,445

66,917

63,815

66,860

Operating Income

GAAP to Non-GAAP Reconciliation

Three Months Ended September 27, 2025

Fiscal Year Ended September 27, 2025

GAAP

Adjustments (1)(2)

Non-GAAP

GAAP

Adjustments (1)(2)

Non-GAAP

(in thousands)

Net sales

678,178

—

678,178

3,129,064

—

3,129,064

Cost of goods sold and occupancy

481,634

921

480,713

2,131,728

5,582

2,126,146

Gross profit

196,544

(921

)

197,465

997,336

(5,582

)

1,002,918

Selling, general and administrative expenses

202,944

4,830

198,114

747,294

9,423

737,871

Income (loss) from operations

(6,400

)

(5,751

)

(649

)

250,042

(15,005

)

265,047

Gross margin

29.0

29.1

31.9

32.1

Operating margin

(0.9

(0.1

8.0

8.5

Operating Income

GAAP to Non-GAAP Reconciliation

Three Months Ended September 28, 2024

Fiscal Year Ended September 28, 2024

GAAP

Adjustments (3)(4)(5)(6)

Non-GAAP

GAAP

Adjustments (3)(4)(5)(6)

Non-GAAP

(in thousands)

Net sales

669,489

—

669,489

3,200,460

—

3,200,460

Cost of goods sold and occupancy

500,537

5,209

495,328

2,256,725

16,349

2,240,376

Gross profit

168,952

(5,209

)

174,161

943,735

(16,349

)

960,084

Selling, general and administrative expenses

201,360

15,838

185,522

758,348

21,083

737,265

Income (loss) from operations

(32,408

)

(21,047

)

(11,361

)

185,387

(37,432

)

222,819

Gross margin

25.2

26.0

29.5

30.0

Operating margin

(4.8

(1.7

5.8

7.0

Pet Segment Operating Income

GAAP to Non-GAAP Reconciliation

Three Months Ended

Fiscal Year Ended

September 27, 2025

September 28, 2024

September 27, 2025

September 28, 2024

(in thousands)

GAAP operating income

27,618

14,310

215,688

203,425

Facility closures

(2)(4)

3,008

7,549

10,018

7,549

Intangible impairments

(5)

—

12,790

—

12,790

Non-GAAP operating income

30,626

34,649

225,706

223,764

GAAP operating margin

6.4

3.3

12.0

11.1

Non-GAAP operating margin

7.2

8.0

12.5

12.2

Garden Segment Operating Income

GAAP to Non-GAAP Reconciliation

Three Months Ended

Fiscal Year Ended

September 27, 2025

September 28, 2024

September 27, 2025

September 28, 2024

(in thousands)

GAAP operating income

(1,741

)

(28,806

)

142,402

81,893

Facility closures

(1)(3)

2,743

3,908

4,987

20,293

Non-GAAP operating (loss) income

1,002

(24,898

)

147,389

102,186

GAAP operating margin

(0.7

(12.3

10.7

6.0

Non-GAAP operating margin

0.4

(10.6

11.1

7.5

Adjusted EBITDA

Fiscal Year Ended September 27, 2025

GAAP to Non-GAAP Reconciliation

Pet

Garden

Corp

Total

(in thousands)

Net income attributable to Central Garden & Pet

—

162,843

Interest expense, net

—

32,812

Other expense

—

480

Income tax expense

—

52,787

Net income attributable to noncontrolling interest

—

1,120

Income (loss) from operations

215,688

142,402

(108,048

)

250,042

Depreciation & amortization

39,916

42,301

2,677

84,894

Noncash stock-based compensation

—

21,060

Non-GAAP adjustments

(1)(2)

10,018

4,987

—

15,005

Adjusted EBITDA

265,622

189,690

(84,311

)

371,001

Adjusted EBITDA

Fiscal Year Ended September 28, 2024

GAAP to Non-GAAP Reconciliation

Pet

Garden

Corp

Total

(in thousands)

Net income attributable to Central Garden & Pet

—

107,983

Interest expense, net

—

37,872

Other expense

—

5,090

Income tax expense

—

33,112

Net income attributable to noncontrolling interest

—

1,330

Income (loss) from operations

203,425

81,893

(99,931

)

185,387

Depreciation & amortization

43,642

44,403

2,762

90,807

Noncash stock-based compensation

—

20,583

Non-GAAP adjustments

(3)(4)(5)(6)

20,339

20,293

(3,200

)

37,432

Adjusted EBITDA

267,406

146,589

(79,786

)

334,209

Adjusted EBITDA

Three Months Ended September 27, 2025

GAAP to Non-GAAP Reconciliation

Pet

Garden

Corp

Total

(in thousands)

Net income attributable to Central Garden & Pet

—

(9,806

)

Interest expense, net

—

6,881

Other expense

—

576

Income tax benefit

—

(3,421

)

Net loss attributable to noncontrolling interest

—

(630

)

Income (loss) from operations

27,618

(1,741

)

(32,277

)

(6,400

)

Depreciation & amortization

9,947

10,344

540

20,831

Noncash stock-based compensation

—

5,488

Non-GAAP adjustments

(1)(2)

3,008

2,743

—

5,751

Adjusted EBITDA

40,573

11,346

(26,249

)

25,670

Adjusted EBITDA

Three Months Ended September 28, 2024

GAAP to Non-GAAP Reconciliation

Pet

Garden

Corp

Total

(in thousands)

Net income attributable to Central Garden & Pet

—

(34,158

)

Interest expense, net

—

6,476

Other expense

—

6,137

Income tax benefit

—

(10,621

)

Net loss attributable to noncontrolling interest

—

(242

)

Income (loss) from operations

14,310

(28,806

)

(17,912

)

(32,408

)

Depreciation & amortization

10,741

11,375

622

22,738

Noncash stock-based compensation

—

5,445

Non-GAAP adjustments

(3)(4)(5)(6)

20,339

3,908

(3,200

)

21,047

Adjusted EBITDA

45,390

(13,523

)

(15,045

)

16,822