He then saw Kilgour bent over the dog holding a filleting knife.
Skipper had been stabbed in the right side of his neck and shoulder region, and blood was pooling on the floor.
Kilgour left and Skipper was taken to an after-hours vet.
The dog was showing signs of "considerable pain and distress" and appeared to be in shock.
"There was a single large linear wound extending down from Skipper's neck down through the muscles of his shoulder and reaching to cranial ribs," an SPCA spokesperson said.
"Skipper was required to undergo surgery to repair the wound. He was placed on pain relief and antibiotics for 14 days."
Skipper's owner told the court he still had clear images of the sight of the dog with blood "spurting from his neck".
"He recalled the noises and the yelping," the spokesperson said.
"He went on to say that Skipper is now very wary around other dogs, and does not socialise like he used to."
An SPCA inspector visited the victim's address the day after the offence and noted Skipper appeared to be uncomfortable and was vocalising and shaking.
Thanks to the care and dedication of his owner, Skipper made a full physical recovery.
"This is a mindless act of violence against an innocent animal," SPCA CEO Andrea Midgen said.
"It is extremely lucky that Skipper did not die from this incident.
"And while he has physically recovered, the emotional trauma he has suffered will no doubt stay with him for a long time.
"Not only is it against the Animal Welfare Act to cause unnecessary pain and suffering to an animal, it is disgusting that someone would commit such a heinous attack on a friend's much-loved pet.
"We sincerely hope this sentence allows Mr Kilgour to acknowledge the pain he has caused, and provides a sense of justice for Skipper and his owner."