Petsense to close approximately 75 stores

Pet supply retailer Petsense, owned by Tractor Supply Company, has announced plans to close approximately 75 of its stores. The closures will primarily affect locations that are not generating sufficient revenue to cover their operational costs.

Tractor Supply Company CEO Harry Lawton confirmed the closures during the company's second-quarter earnings call. "We believe these actions will improve returns, simplify business, and allow us to direct resources towards higher growth, higher return opportunities," Lawton stated.

He explained that the stores marked for closure are experiencing negative cash flow. The company intends to reinvest the saved resources into developing its core business operations. Petsense, which currently operates 208 stores across more than 20 states, will be reduced to approximately 133 locations following the closures.

Lawton also commented on shifts in consumer purchasing behavior. While customers continue to prioritize pet care, they are shopping more deliberately, consolidating trips, and focusing on needs-based items. This trend is impacting various sectors of retail.

Tractor Supply Company's stock has fallen significantly year-to-date, declining nearly 38%. The company has also lowered its full-year financial outlook. Despite the reduction in the Petsense footprint, Tractor Supply Company continues to operate over 2,400 of its namesake stores throughout the United States.