PetIQ layoffs, on the record
Every job cut, severance charge and restructuring PetIQ reported in its annual reports, 2021 to 2023, quoted from the filings. Headcount went from approximately 1,929 to approximately 1,933.
Headcount, as reported
| Annual report | Employees | As of |
|---|---|---|
| 10-K for 2021 | approximately 1,929 | December 31, 2021 |
| 10-K for 2022 | approximately 1,888 | December 31, 2022 |
| 10-K for 2023 | approximately 1,933 | December 31, 2023 |
Job cuts, severance and restructuring
Our summaryThe filing reports integration costs that include personnel costs such as severance, but the amounts are not separately stated as a layoff or workforce reduction program for 2021.
Word for word“Integration costs and costs of discontinued clinics represent costs related to integrating the acquired businesses including personnel costs such as severance and signing bonuses, consulting costs, contract termination, and IT conversion costs.” 10-K for 2021
Our summaryThe company ran a Services segment optimization that closed 149 underperforming wellness centers during 2023 and recorded restructuring charges.
Word for word“As a result of the optimization, the Company closed 149 wellness centers during the year ended December 31, 2023.” 10-K for 2023
Our summaryThe company reported total restructuring and related charges from the optimization, including depreciation, inventory adjustments, and severance and other termination costs.
Word for word“These charges include approximately $11.0 million of depreciation and amortization as well as $0.9 million inventory valuation adjustments, and variable lease expenses, severance and other termination costs of approximately $2.6 million.” 10-K for 2023
Our summaryThe company recorded severance costs as part of the restructuring, and these were fully paid in cash during 2023.
Word for word“Severance 966 Total in Cost of services $ 1,854 Included in Restructuring Accelerated depreciation - property, plant and equipment $ 8,165 Accelerated amortization - operating lease right of use assets 2,876 Lease termination gain ( 897 ) Variable lease expenses 1,607 Total in Restructuring 11,751 Total Restructuring Expenses $ 13,605 A roll forward of our liability related to the optimization, which is included in accrued liabilities on our consolidated balance sheets, is as follows (in thousands): 78 Table of Contents $'s in 000's Expenses (Gains) Original Lease Liability Cash Payments Non-Cash Amounts Liability at December 31, 2023 Accelerated depreciation - property, plant and equipment $ 8,165 $ — $ — $ ( 8,165 ) $ — Accelerated amortization - operating lease right of use assets 2,876 — — ( 2,876 ) — Inventory reserve 888 — — ( 888 ) — Severance 966 — ( 966 ) — — Lease termination gain ( 897 ) 2,722 — — 1,825 Variable lease expenses 1,607 — ( 597 ) — 1,010 Total Restructuring $ 13,605 $ 2,722 $ ( 1,563 ) $ ( 11,929 ) $ 2,835 Note 16 - Related Parties Chris Christensen, the brother of CEO, McCord Christensen, acts as the Company’s agent at Moreton Insurance, which acts as a broker for a number of the Company’s insurance policies.” 10-K for 2023
| Fiscal year ended | Severance costs | Restructuring charges | Restructuring costs incurred | Cash paid for restructuring |
|---|---|---|---|---|
| 2021-12-31 | — | $0 | — | — |
| 2022-12-31 | — | $0 | — | — |
| 2023-12-31 | $966,000 | $11.8 million | $13.6 million | $1.6 million |
PetIQ has filed no restructuring notice (Form 8-K, Item 2.05) since 2016. Companies file one only for a cut they judge material, so many announced layoffs never appear as one. This page shows what the company reported to the SEC, not news reports or state layoff notices.
Read from PetIQ’s annual reports (10-K for 2023, 10-K for 2022, 10-K for 2021) and the financial data it files with the SEC, as of 2024-02-29. Every quotation is word for word from the filing linked beside it; how these pages are built and checked. The full record is in its company data sheet.