Pets at Home benefits from pet ‘humanisation’

PET shop chain Pets at Home is confident the increasing “humanisation” of pets will help it work towards its long-term target of 400 stores.

The business opened 19 new shops during the year to March taking its total to 232.

In its annual accounts the Cheshire-based group, which is owned by the private equity house Bridgepoint, said the pet business was showing resilience during the recession because pets are “increasingly viewed as an important family member”.

Chief executive Matthew Davies said this was clear from the loyalty pet owners show to particular food brands and the increasing focus on pet healthcare.

“The market continues to see investment in new product development, more product premiumisation and a growth in services, all of which will, we believe, support a continuation of growth in the overall UK pet market,” said Mr Davies.

He added: “Pet ownership remains robust with approximately 27 million pets in the UK benefitting from the continued humanisation of pets, be it through increased awareness of nutrition, or the extension of accessories form the purely functional to fashionable.”

Figures released by the company earlier this year show sales rose 14% to £404m while pre-tax profits jumped 37% to £23m. The business, which has bank debts of £285.7m, paid down £22.4m in interest during the year.

Mr Davies added: “We will continue to invest in the growth and future development of the business towards our long-term target of more than 400 UK superstores and are confident of delivering another year of progress.”

Pets at Home, which employs 2,773 people, rewarded its highest paid director with a salary and pension package of £401,000.