Sunday, July 14, 2024
HomeAnimals & PetsPets at Home looks for more growth

Pets at Home looks for more growth

Upon the release of the latest Pets at Home Group financials, the business has said that despite profits falling during the last period, its revenues are up and the business is well-positioned to achieve more growth.

As the UK’s leading pet care business Pets at Home Group offer an established mix of pet care solutions across multiple channels, from retail pet products, pet grooming and veterinarian services.

In its 2024 Annual Report the business reported total revenue of £1.47bn, up 5.2 per cent from £1.4bn from the previous period, i.e. the 52-week period to 28 March 2024.

Pre-tax profits fell 13.7 per cent to £105.7m from £122.5m the previous year, whereas underlying profits fell a more modest 3.2 per cent at £132m, down from £136.4m from the previous year. The dividend per share remains the same as 2023, at 12.8p per share.

Aside from its core financials the 2024 Annual Report also highlighted the good causes that Pets at Home Group contribute to. £9.2m was raised for pet charities and a total of 16,000 hours was donated to local communities.

Chairperson Ian Burke commented “FY24 has been a pivotal year for the business, in delivering against our strategy to build the world’s best pet care platform. We have delivered some key foundations that will support long- term growth, alongside a resilient financial performance, in what remains a challenging economic environment. We have also made progress against our sustainability agenda.”

He added, “Looking ahead, the growth outlook for the pet care sector remains promising, and our fully integrated omnichannel model positions Pets at Home well to benefit from these favourable market trends.”

Market Leader

The UK pet care market is worth £8.2bn and Pets at Home Group have a 23% market share and with the UK pet owners spending over £5bn a year on veterinarian bills, Pets at Home continued growth in this sector bodes well for future growth, considering that the number of UK households with pets increased significantly over the last 3 years.

Pets at Home have the largest branded veterinary business in the UK, with practices located in two-thirds of stores, numbering some 447 in total.

Other milestones for the business, achieved in 2023 include a new distribution centre in Salford, a new digital platform including a new app, plus 5 new stores, 3 new branded vet practices and a further 36 vet practices acquired through joint venture and extensions to existing centres.

Lyssa McGowan, chief executive, said: “FY24 has been a pivotal year for the business, having delivered some key building blocks of our platform for long term growth.

“I am proud of the progress we have made in the year; we relaunched our brand, opened our new DC, built our new digital platform, made progress in our sustainability agenda, and enhanced our physical estate. The business has come together brilliantly to navigate any challenges faced this year, and we have delivered some key milestones of our strategy.”

She added: “Our medium-term strategy and financial framework is unchanged and, looking ahead, the fundamental strengths of the business position us well to deliver growth. We hold a leading position in a structurally growing market, with an unrivalled retail store network, and a unique, differentiated and integrated vet business. We know the nation’s pets better than anyone else, with over 10 years of analytical data on 10 million pets, and we now have a best-in-class digital platform, and a modern efficient DC.

“Above all else, we have the best colleagues in the industry, who use their passion and expertise to guide customers through their pet care journey every day. All of this positions us incredibly well as we continue to execute our strategy to build the world’s best pet care platform.”

Pets at Home Group Share Performance

The business has undertaken a share buyback programme which saw £100m in share buybacks over the past two year and they announced a further £25m buyback for the year ahead.

Although the divided per share has remained the same as last year at 12.8p per share the share price has fallen from a 2023 high of 394.2p in June 2023 to 289.71p as of today, June 14th. Shares were trading at their highest ever at 518p in September 2021.

Pets at Home Group
Image credit: Pets at Home Group

Business Chamber is focused on showcasing the UK’s small business news, events, innovations and press releases that usually dont get a look in by mainstream and national news outlets.

RELATED ARTICLES
- Advertisment -

Most Popular

Recent Comments