How much of PetMed Express’ revenue comes from haram?

PetMed Express operates as an online pet pharmacy offering prescription and non-prescription pet medications, and other health products for dogs, cats, and horses.

The company operates through the following segments:

Non-Prescription Medications and supplies: 

Includes flea and tick control products, bone and joint care products, vitamins, treats, nutritional supplements, hygiene products, and supplies.

Prescription Medications: 

Includes heartworm, flea, and tick preventatives, arthritis, dermatitis, thyroid, diabetes, pain medications, heart/blood pressure, and other specialty medications, as well as generic substitutes.

Practical Islamic Finance concludes:

None of PetMed’s revenue comes from anything inherently haram.

Does PetMed Express rely on interest to operate?

Year-to-Date
for period ended
6/30/2021
Fiscal year
ended
3/31/2021
Fiscal year
ended
3/31/2020
Interest Income$85$314$1,747
Total Revenue$79,312$309,215$284,125
Interest Expense
Total Expenses$73,893$271,628$253,148
Interest Income / Revenue0.11%0.10%0.61%
Interest Expense / Total Expense
*Numbers in thousands, U.S. dollars

Practical Islamic Finance concludes:

Riba is used but not relied upon in PetMed’s operations.

What is PetMed Express’ Environmental, Social, and Governance (ESG) impact?

Environment

No notable environmental highlights.

Social

PetMed has a Glassdoor rating of 2.9 out of 5.0 from 17 current and previous employees compared to a 3.3 average for all other Glassdoor rated companies.

Governance

No notable governance highlights.

Practical Islamic Finance concludes:

While PetMeds’ employee reviews need improvement, it is in a business that is fundamentally good. In light of the positive impact its products have in the lives of its customers and their pets, we think it has a net positive ESG impact.

Comfort Rating

From PetMed Express’ business, financial, and ESG reviews, Practical Islamic Finance rates PetMed Express stock as:

Comfortable to invest in from a Halal perspective.

Sources

1800PetMeds Reviews

PetMed Q1 2021 10-Q

PetMed 2021 10-K