Exhibit 99.1

PETMED EXPRESS D/B/A 1-800-PETMEDS ANNOUNCES ITS THIRD FISCAL QUARTER FINANCIAL RESULTS

Pompano Beach, Florida, January 22, 2013 - PetMed Express, Inc. (NASDAQ: PETS) today announced its financial results for the quarter ended December 31, 2012.  Net income was $4.6 million, or $0.23 diluted per share, for the quarter ended December 31, 2012, compared to net income of $3.9 million, or $0.19 diluted per share, for the quarter ended December 31, 2011, a 19% increase to EPS.  Net income was $12.6 million, or $0.63 diluted per share, for the nine months ended December 31, 2012, compared to net income of $12.7 million, or $0.61 diluted per share, for the nine months ended December 31, 2011, a 3.2% increase to EPS.  Net sales for the quarter ended December 31, 2012 were $49.6 million, compared to $50.5 million for the quarter ended December 31, 2011, a decrease of 1.8%.  Net sales for the nine months ended December 31, 2012 were $176.7 million, compared to $182.3 million for the nine months ended December 31, 2011, a decrease of 3.1%.  Online sales increased slightly for the quarter ended December 31, 2012, with approximately 78% of all sales being generated via the Internet, compared to 77% for the same period the prior year.

Menderes Akdag, President & CEO, commented: “We were able to increase our gross margins and decrease our operating expenses to improve our bottom line results this quarter.  For the quarter ending December 31, 2012 our gross profit increased by 75 basis points, this increase can be attributed to a change in our product mix to higher margin items, including generics.  For the quarter ending December 31, 2012 our operating expenses decreased by 170 basis points, mainly due to a reduction in advertising spending.  The advertising costs of acquiring a new customer were reduced to $35 for the quarter ended December 31, 2012, compared to $36 for the same quarter the prior year.  Cash from operation for the nine months ended December 31, 2012 increased 59% to $21.8 million, compared to $13.7 million for the same period the prior year.  Although sales were slightly down during the quarter ended December 31, 2012, reorder sales increased by 1.2%.  The unavailability of Novartis brands, due to the manufacturer’s suspended production, continued to negatively impact our sales.  Looking to the future, we will continue to focus on advertising efficiency to improve new order sales and shift sales to higher margin items, including generics, while continuing to expand our product offerings.”

This morning at 8:30 A.M. Eastern Time, Mr. Akdag will host a conference call to review the quarter’s financial results.  To access the call, which is open to the public, please dial (888) 455-1758 (toll free) or (203) 827-7025.  Callers will be required to supply PETMEDS as the passcode.  For those unable to participate in the live event, the call will be available for replay from 10:00 A.M. Eastern Time on January 22, 2013 until February 5, 2013 at 11:59 P.M. Eastern Time.  To access the replay, call (800) 839-1163 (toll free) or (402) 998-1073, and enter passcode 5500.

Founded in 1996, PetMed Express is America’s Largest Pet Pharmacy, delivering prescription and non-prescription pet medications and other health products for dogs and cats at competitive prices direct to the consumer through its 1-800-PetMeds toll free number and on the Internet through its website at www.1800petmeds.com.

This press release may contain “forward-looking” statements, as defined in the Private Securities Litigation Reform Act of 1995 or by the Securities and Exchange Commission, that involve a number of risks and uncertainties, including the Company’s ability to meet the objectives included in its business plan.  Important factors that could cause results to differ materially from those indicated by such “forward-looking” statements are set forth in Management’s Discussion and Analysis of Financial Condition and Results of Operations in the PetMed Express Annual Report on Form 10-K for the year ended March 31, 2012.  The Company’s future results may also be impacted by other risk factors listed from time to time in its SEC filings, including, but not limited to, the Company's Form 10-Q and its Annual Report on Form 10-K.

For investment relations contact PetMed Express, Inc., Bruce S. Rosenbloom, CFO, 954-979-5995.

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Exhibit 99.1 Page 1 of 4

December 31,

March 31,

2012

2012

(Unaudited)

ASSETS

Current assets:

Cash and cash equivalents

$

30,018

$

46,801

Short term investments - available for sale

15,455

10,347

Accounts receivable, less allowance for doubtful
accounts of $2 and $5, respectively

744

1,572

Inventories - finished goods

18,719

26,217

Prepaid expenses and other current assets

1,578

1,241

Deferred tax assets

1,062

1,230

Prepaid income taxes

-

199

Total current assets

67,576

87,607

Property and equipment, net

2,295

2,597

Intangible asset

860

860

Total assets

$

70,731

$

91,064

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Accounts payable

$

5,974

$

6,619

Accrued expenses and other current liabilities

2,194

2,772

Income taxes payable

246

-

Total current liabilities

8,414

9,391

Deferred tax liabilities

247

492

Total liabilities

8,661

9,883

Commitments and contingencies

Shareholders' equity:

Preferred stock, $.001 par value, 5,000 shares authorized;
3 convertible shares issued and outstanding with a
liquidation preference of $4 per share

9

9

Common stock, $.001 par value, 40,000 shares authorized;
20,001 and 20,338 shares issued and outstanding, respectively

20

20

Retained earnings

62,055

81,108

Accumulated other comprehensive (loss) gain

(14

)

44

Total shareholders' equity

62,070

81,181

Total liabilities and shareholders' equity

$

70,731

$

91,064

Three Months Ended

Nine Months Ended

December 31,

December 31,

2012

2011

2012

2011

Sales

$

49,609

$

50,523

$

176,709

$

182,326

Cost of sales

32,397

33,369

117,823

121,128

Gross profit

17,212

17,154

58,886

61,198

Operating expenses:

General and administrative

5,147

5,244

16,440

16,952

Advertising

4,602

5,449

21,876

23,453

Depreciation

254

359

831

1,046

Total operating expenses

10,003

11,052

39,147

41,451

Income from operations

7,209

6,102

19,739

19,747

Other income:

Interest income, net

141

70

264

228

Other, net

(3

)

(1

)

(3

)

62

Total other income

138

69

261

290

Income before provision for income taxes

7,347

6,171

20,000

20,037

Provision for income taxes

2,770

2,273

7,437

7,372

Net income

$

4,577

$

3,898

$

12,563

$

12,665

Net income per common share:

Basic

$

0.23

$

0.19

$

0.63

$

0.61

Diluted

$

0.23

$

0.19

$

0.63

$

0.61

Weighted average number of common shares outstanding:

Basic

19,808

20,082

19,963

20,788

Diluted

19,923

20,180

20,077

20,886

Comprehensive income

$

4,494

$

3,907

$

12,505

$

12,816

Cash dividends declared per common share

$

1.150

$

0.125

$

1.450

$

0.375

Nine Months Ended

December 31,

2012

2011

Cash flows from operating activities:

Net income

$

12,563

$

12,665

Adjustments to reconcile net income to net cash
provided by operating activities:

Depreciation

831

1,046

Share based compensation

1,496

1,686

Deferred income taxes

(77

)

(175

)

Bad debt expense

37

40

(Increase) decrease in operating assets
and increase (decrease) in liabilities:

Accounts receivable

791

306

Inventories - finished goods

7,498

(806

)

Prepaid income taxes

199

562

Prepaid expenses and other current assets

(337

)

(977

)

Accounts payable

(645

)

(182

)

Accrued expenses and other current liabilities

(761

)

(443

)

Income taxes payable

246

-

Net cash provided by operating activities

21,841

13,722

Cash flows from investing activities:

Net change in investments

(5,166

)

10,877

Purchases of property and equipment

(529

)

(624

)

Net cash (used in) provided by investing activities

(5,695

)

10,253

Cash flows from financing activities:

Dividends paid

(28,896

)

(7,914

)

Purchases of treasury stock

(3,865

)

(23,685

)

Tax adjustment related to restricted stock

(168

)

(71

)

Net cash used in financing activities

(32,929

)

(31,670

)

Net decrease in cash and cash equivalents

(16,783

)

(7,695

)

Cash and cash equivalents, at beginning of period

46,801

49,660

Cash and cash equivalents, at end of period

$

30,018

$

41,965

Supplemental disclosure of cash flow information:

Cash paid for income taxes

$

7,237

$

7,056

Dividends payable in accrued expenses

$

351

$

167