Pets at Home performance boosted by vet practices
Cheshire-based pet care company Pets at Home has enjoyed 7.2% growth in revenue to £834.2m and a 1.1% increase in pre-exceptional pre-tax profits to £96.4m.
The Handforth company’s performance has been boosted significantly by a 24.6% increase in its joint venture vet practices to £47.1m in the year to March 31.
The company is also reporting a positive response to the launch of pricing initiatives in advanced nutrition private labels and every day pet essentials.
During the period the company has opened 15 superstores, 50 vet practices and 50 grooming salons. A further two veterinary specialist referral centres acquired.
It said a total dividend was payable of 7.5p per share.
Group chief executive Ian Kellett said: “We have delivered a solid performance over the year with profits in line with expectations, reflecting in part the strength of our Joint Venture vet practices where our total income grew 24.6%.
“We are uniquely positioned as the only UK pet business delivering an integrated omnichannel and services offer, supported by our fast-growing Vet Group, market leading private labels and expert colleagues.
“In an evolving consumer environment, we are taking steps to reposition prices on own label Advanced Nutrition and pet essentials and have made some initial changes to branded food lines.
“Encouraged by the reaction of our customers and having seen an improvement in Merchandise LFL to 1.0% in the 16 weeks since launch, we will move swiftly to deliver even better value.
“We are confident this is the right path for success and will give us a strong platform for sustainable future growth.”
Meanwhile, Pets at Home has announced that independent non-executive directors Paul Coby and Amy Stirling will step down from the board at the company’s annual meeting on July 11.
Coby will be succeeded by Stansilas Laurent, who was formerly president and CEO of Photobox and COO of AOL Europe. He is currently entrepreneur in residence with Highland Capital Partners Europe.
Stirling has been a director of Pets at Home and chairman of the audit committee since 2014.
She will be succeeded by Sharon Flood, chairman of ST Du Pont SA, the Paris-based luxury goods company and audit chair at Crest Nicholson and Network Rail. Flood will take on the chairmanship of the audit and risk committee.
