Segments - PetIQ, LLC and Subsidiaries

6 Months Ended

Jun. 30, 2017

Pet, LLC and Subsidiaries (the "Company")

Note 7 - Segments

The Company has two operating segments, and thus two reportable segments, which are the procurement, packaging, and distribution of pet health and wellness products in the Domestic markets (U.S. and Canada) and in the International markets (primarily Europe). The determination of the operating segments is based on the level at which the chief operating decision maker reviews discrete financial information to assess performance and make resource allocation decisions, which is done based on these two geographic areas.

Financial information relating to the Company’s operating segments for the three and six months ended:


	Three months ended				Six months ended
	June 30, 2017		June 30, 2016		June 30, 2017		June 30, 2016
Net Sales
Domestic	$	85,857	$	60,095	$	151,767	$	111,279
International		1,321		1,185		2,440		2,299
Net Sales		87,178		61,280		154,207		113,578
Gross Profit
Domestic	$	15,375	$	8,493	$	27,100	$	17,759
International		576		468		1,051		974
Gross Profit		15,951		8,961		28,151		18,733
General and administrative expenses
Domestic	$	8,819	$	7,840	$	15,768	$	15,469
International		458		462		914		896
General and administrative expenses		9,277		8,302		16,682		16,365
Operating income
Domestic	$	6,556	$	653	$	11,332	$	2,290
International		118		6		137		78
Operating income		6,674		659		11,469		2,368