Central Garden & Pet Co (CENTA) News & EventsCENTACentral Garden & Pet Co

Central Garden & Pet Company Acquires Majority Stake in TRIXIE

Central Garden & Pet Company entered into a definitive agreement to acquire a majority interest in TRIXIE Heimtierbedarf GmbH & Co., a European pet supplies and pet snacks company from founder, Bonnik Hansen, and current shareholders Dirk Jessen and Volker Haak. The acquisition aligns with the Central to Home strategy of strengthening Central's portfolio of pet and garden brands and represents a major step in expanding the Company's presence in Europe. Founded in 1974 and headquartered in Tarp, Germany, TRIXIE has grown into the leading European pet supplies and pet snacks company. The company employs close to 600 people and serves over 30,000 pet retail stores internationally, offering a broad assortment of more than 6,000 products for dogs, cats, birds, reptiles, and small animals, including accessories, toys, treats, snacks, habitats, apparel, bedding, and travel solutions. Approximately 90% of sales are generated from TRIXIE's own-brand portfolio, supported by strong in-house design team that introduces around 500 new products per year. TRIXIE is recognized for its product innovation, category expertise, and industry-leading logistics and fulfillment capabilities. Together, Central and TRIXIE create the leading global player in pet supplies. The European pet supplies and snacks market, representing approx. EUR 10B in annual sales, is expected to grow at a mid-single digit growth rate, supported by favorable long-term trends including increased focus on pet health, pet tech, humanization and premiumization. TRIXIE's established portfolio and market position allow it to participate in these trends while providing Central with an attractive platform for future expansion in Europe. The combination is expected to drive organic growth through winning innovation and a strong channel presence, and to accelerate pet supplies growth, particularly in Europe, by leveraging TRIXIE's logistics and fulfillment capabilities along with its expertise in navigating diverse European markets. This also gives Central a differentiated presence with approx. 10% of net sales generated outside of the United States and establishes a scaled platform to consolidate the fragmented European pet specialty market. TRIXIE will operate within Central's Pet segment. Central plans to leverage its scale, sourcing capabilities, and product development expertise to support TRIXIE's continued growth while preserving the entrepreneurial culture, customer focus, and market strengths that have made the company a leader in the European pet supplies market. TRIXIE's proven leadership will remain in place following completion of the transaction. Management will continue to be led by Dirk Jessen, Burkhard Friedrichsen, and Danny Bollerey. In addition, Dirk Jessen and Volker Haak will remain minority shareholders in TRIXIE. Their continued involvement underscores their long-term confidence in the company's future and provides continuity for employees, customers, trading partners, and suppliers. Volker Haak will also continue to support TRIXIE as a consultant, contributing his extensive experience to the company's ongoing development and its activities across European markets. The transaction is expected to close in the first half of Central's fiscal 2027, subject to regulatory approval and other customary closing conditions.

Central Garden & Pet Reports Q2 Revenue of $906M

Reports Q2 revenue $906M, consensus $845.15M. "We continued to build on our solid start to the year, ending the quarter with higher sales, expanded operating margins, and increased earnings per share versus last year, driven by consistent execution and improving performance across the organization," said Niko Lahanas, CEO of Central Garden & Pet. "Following the quarter, we entered into a pet distribution partnership with Phillips, which allows us to simplify our business and strengthen our focus on our branded portfolio. While much of the garden season remains ahead of us and the macroeconomic and geopolitical environment continues to evolve, we are reaffirming our fiscal year outlook. We expect the distribution partnership to have a minimal impact on earnings per share."

Central Maintains Fiscal 2026 EPS Outlook at $2.70

Central maintains its outlook for fiscal 2026 non-GAAP diluted EPS of $2.70 or better, reflecting continued margin discipline, ongoing investment in growth initiatives, and portfolio optimization. The Company does not expect the distribution joint venture to have a significant impact on EPS. The outlook incorporates current assumptions regarding a competitive and promotional retail environment, a value-oriented consumer, existing tariffs, and inflation in select commodities, with continued stability across key categories despite a dynamic macroeconomic and geopolitical environment. Capital expenditures are projected to be approximately $50 million to $60 million, focused on maintenance, productivity initiatives, and targeted growth investments across both segments. This outlook excludes any potential impacts from further acquisitions, divestitures, or restructuring activities that may occur during the remainder of fiscal 2026, including projects under Central's Cost and Simplicity agenda, as well as any tariff refunds.