PETS — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-08-13

• The Company’s fiscal year end is March 31, and references herein to fiscal 2027 or fiscal 2026 refer to the Company's fiscal years ending March 31, 2027 and 2026, respectively.

• There have been no material changes to our significant accounting policies as compared to the significant accounting policies described in our 2026 Annual Report on Form 10-K, filed on June 2, 2026.

• Macroeconomic factors, including inflation, increased interest rates, significant capital market and supply chain volatility, and political, global economic and geopolitical developments, have direct and indirect impacts on our results of operations that are difficult to isolate and quantify. In add…

• current macroeconomic environment and consumer discretionary spending to impact our revenue growth rates. We expect some or all of these factors to continue to impact our operations for the remainder of fiscal 2027.

• Loss before provision (benefit) for income taxes(15.0)(66.8)

Text removed vs the prior filing · source: 10-Q · 2026-02-05

• As described in the explanatory note in Note 1 to the unaudited condensed consolidated financial statements, we have restated our consolidated financial statements and Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations for the Affected Periods.

• Our discussion and analysis of our financial condition and the results of our operations contained herein are based upon our condensed consolidated financial statements and the data used to prepare them. Our condensed consolidated financial statements have been prepared in accordance with accounting…

• There have been no material changes to our significant accounting policies as compared to the significant accounting policies described in our Annual Report on Form 10-K, filed on October 14, 2025, except as noted below:

• 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 …

• 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…

Text added vs the prior filing · source: 10-Q · 2026-08-13

• As previously disclosed in “Management’s Report on Internal Control Over Financial Reporting” in Item 9A, “Controls and Procedures” of our Form 10-K for the fiscal year ended March 31, 2026, the Company’s previously disclosed material weaknesses relating to the following areas had not been fully rem…

• During the three months ended June 30, 2026, management, under the oversight of the Audit Committee of our Board of Directors, continued to implement and evaluate remediation activities related to these material weaknesses. As of June 30, 2026, these material weaknesses had not been fully remediated…

• Management will continue to implement, monitor and evaluate the design and operating effectiveness of the related controls. However, we will not be able to conclude that we have completely remediated the material weaknesses until the applicable controls are fully implemented and operated for a suffi…

• During the three months ended June 30, 2026, the Company implemented certain modules of SAP, its new enterprise resource planning “ERP” system, which replaced the Company’s primary legacy financial systems. In connection with the implementation, the Company modified certain financial reporting proce…

Text removed vs the prior filing · source: 10-Q · 2026-02-05

• over financial reporting. As discussed in “Management’s Report on Internal Control Over Financial Reporting” in Item 9A, “Controls and Procedures” of our 2025 Form 10-K, we identified unremediated material weaknesses as of March 31, 2025 and subsequent thereto that had not been remediated as of Dece…

• Management, with the oversight of the Audit Committee of our Board, continues to dedicate resources and efforts to improve our internal controls over financial reporting.

• During fiscal 2026, management has continued implementing the remediation actions outlined in the Company’s fiscal 2025 Form 10-K filed on October 14, 2025, “Remediation Plan and Status” under Item 9A, including executing ITGCs across key financial reporting systems (such as user access reviews and …

• The Company is committed to maintaining a strong internal control environment. Additional remediation measures continue to be considered and will be implemented as appropriate. The Company will continue to assess the effectiveness of our remediation efforts in connection with its evaluations of inte…

• Other than as disclosed in the “Remediation Plan and Status” under Item 9A. Controls and Procedures in the fiscal 2025 Form 10-K and as noted in the preceding paragraphs, during the most recent fiscal quarter of Fiscal 2026, there were no changes in our internal control over financial reporting duri…

Text added vs the prior filing · source: 10-Q · 2026-08-13

• (a) Employment Agreement Amendment and RSA Award with Interim Chief Executive Officer and President

• As reported on a Current Report on Form 8-K filed by the Company on October 21, 2025, on October 20, 2025, the Company entered into an Interim Executive Employment Agreement with Leslie C.G. Campbell that governs the terms of Ms. Campbell’s role as Interim Chief Executive Officer and President of th…

• On August 11, 2026, the Board of Directors of the Company (the “Board”), upon the recommendation of the Board’s Compensation and Human Capital Committee, approved and granted an award of 60,000 restricted shares of common stock (the “RSA Award”) to Ms. Campbell under the Company’s 2024 Omnibus Incen…

• The above description of Amendment No. 1 does not purport to be a complete description of Amendment No. 1 and is qualified in its entirety by reference to the full text of Amendment No. 1, which is attached as Exhibit 10.4 and incorporated herein by this reference.

• (c) During the three months ended June 30, 2026, no director or officer (as defined in Rule 16a-1(f) of the Exchange Act) of the Company adopted, modified, or terminated a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as each term is defined in Item 408(a) of Regulation…

Text removed vs the prior filing · source: 10-Q · 2026-02-05

• During the three months ended December 31, 2025, no director or officer (as defined in Rule 16a-1(f) of the Exchange Act) of the Company adopted, modified, or terminated a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as each term is defined in Item 408(a) of Regulation…