Popular American pet supply chain shuts down locations nationwide — see if your local store is affected

Store closures are becoming an all-too-familiar story in retail, as many established brands face pressure to adapt or scale back. Over the past year, several long-established stores have reduced the number of their physical locations, sought bankruptcy protection, or, in some cases, closed their doors for good. While some retailers are struggling to stay afloat, others, like Petco, are taking a more strategic approach to their future in a changing market.

As reported by Fast Company, Petco Health and Wellness Company, the beloved pet retailer, has been reevaluating the size of its store network. While it's not facing the same level of crisis as other companies in the sector, Petco is still feeling the weight of financial pressures. Declining sales and rising operating costs have led to the difficult decision to close 25 store locations in 2025, the same number that shuttered in 2024.

In a recent earnings release, Petco reported a 2.3% drop in net sales, totaling $1.5 billion for the second quarter of the year. Comparable sales also fell 1.4%. As reported by Newsweek, CEO Joel Anderson noted that while Petco’s financial results were not ideal, the company’s efforts to streamline its operations would eventually pay off. He said, "As we look ahead to the remainder of this year, we will continue to execute on our objectives while also leaning into select targeted investments that we believe will help set the stage for a return to sustainable profitable growth." Despite the setbacks, the company remains optimistic about its long-term prospects.

The closures of Petco locations are part of a broader strategy to strengthen its business model. Sabrina Simmons, the company’s CFO, explained during a second-quarter earnings call that 10 stores had already been closed so far this year, bringing the total number of U.S. locations to 1,388. The company is focusing on optimizing its fleet of more than 1,500 stores across the U.S., Mexico, and Puerto Rico, a move aimed at positioning Petco for future growth.

As part of its ongoing efforts to streamline operations, Petco has already shut down several store locations across the U.S. this year. The 13 closures span a wide range of states and cities, including Exton, Pennsylvania; Walla Walla, Washington; Washington, D.C.; Fountain Hills, Arizona; Tualatin, Oregon; and Keller, Texas. Other confirmed closures include stores in Milltown, New Jersey; Milford and Topsfield, Massachusetts; Roseville, Michigan; Chicago, Illinois; Oklahoma City, Oklahoma; and Los Gatos, California.

Newsweek further reported that while the closures may appear to be a short-term response, they come as many large retailers streamline operations to stay profitable amid rising costs, tariffs, and changing consumer habits. Petco, like many other businesses, has to balance growth with operational efficiency to maintain its market position. In fact, the company also cited potential challenges related to tariffs under President Donald Trump’s administration, which are expected to weigh further on its earnings as 2025 progresses. Looking forward, Petco has maintained its full-year sales outlook, forecasting a modest decline in sales while adjusting its earnings guidance.