Pets at Home defies retail gloom with Q1 growth
Pets at Home upped its physical presence in the UK during the first quarter of its current financial year, adding new stores, grooming salons and vet outlets to its growing portfolio.
It has added three physical stores, taking it to 452, two more grooming salons, taking it to 312, and a further 24 practices operating under its First Opinion vet brand, taking it to 43 across the country.
The business has also formed a strategic partnership through an investment in Tailster.com, a leading online marketplace in the UK for pet walking, sitting and boarding services, which it said would “enhance our pet care services”.
Pets at Home upped its physical presence in the UK during the first quarter of its current financial year, adding new stores, grooming salons and vet outlets to its growing portfolio.
It has added three physical stores, taking it to 452, two more grooming salons, taking it to 312, and a further 24 practices operating under its First Opinion vet brand, taking it to 43 across the country.
The business has also formed a strategic partnership through an investment in Tailster.com, a leading online marketplace in the UK for pet walking, sitting and boarding services, which it said would “enhance our pet care services”.
The company also reported that group revenue was up by 9.9% to £303.4m, which comprised a 8.7% uplift in retail revenue to £266.4m and an 18.8% increase in its vet group business to £37m during the period from 29 March to 18 July, compared with the same period last year.
Like-for-like revenue growth was up by 8%, with retail revenue up by 8.2% and vet group revenue up by 6.6%.
Pets at Home said it now expected its underlying profit for its current financial year to be above current market expectations.
Peter Pritchard, group chief executive at Pets at Home, said: “The momentum with which we exited FY19 has continued into the first quarter of FY20.
“We have seen a strong sales performance across the business, particularly in retail where like-for-like sales were up by 8.2% – an impressive 14% on a two-year basis.
“We are also making good progress in our vet group. Our plans to buy out a number of joint venture vet practices have been carefully executed, while performance in the ongoing estate remains strong.
“We have the right foundations in place to accelerate the maturity of our vet practices in a sustainable way, delivering cashflow benefits to both joint venture partners and Pets at Home.
“At this early stage in the year, and with ongoing uncertainty across the wider retail sector, we remain cautiously optimistic and focused on delivering our pet care strategy.”
To send feedback, e-mail louise.dransfield@egi.co.uk or tweet @DransfieldL or @estatesgazette
