Pets at Home achieved record sales in the year to March 30, 2023, according to its Preliminary Results issued today.
The group achieved total revenue growth of 6.6% to £1,404.2m, with like-for-like revenue up 7.9%. Retail revenue growth was 5.9% (7.5% like-for-like), with vet group revenue up by 13.3%. Within retail, food grew at 11.4% while accessories declined by 0.9%, with a better performance from commodity-type accessories. Retail services, which includes grooming, pet sales and insurance commissions, were flat year-on-year.
Pre-tax profit was down 17.7% to £122.5m, with the dip attributed to last year’s sale of its Specialist Group and the costs of bringing the company’s new distribution centre onstream. The underlying pre-tax profit of £136.4m is up 4.8% (+8.0% on a 52-week basis), with strong trading performance partly offset by higher energy costs and increased investment in digital assets, the company added.
The new distribution centre is now onstream, and the company is aiming to move from using three centres to one by Spring 2024. The group is also building a new pet care digital platform which will enable customers to fulfil a range of pet care needs, including booking surgical appointments, ordering repeat prescription deliveries, managing subscriptions and buying products from a single app.
Pets at Home operates 457 pet care centres and 444 vet practices, and claims a 24% share of the £7.2bn UK pet care market. It aims to grow sales by 7% per annum over the medium term against overall market growth of 4% per year.
Chief executive Lyssa McGowan said: “Our record performance over the past year demonstrates that our compelling pet care offer continues to resonate strongly with consumers. Through our unique blend of products, services and expert advice we were able to serve pet owners better, grow our consumer base, and win more market share, building on our leading position in the UK pet care market.
“We are committed to creating a better world for pets and the people that love them. I am incredibly proud that, through our foundation, we have raised over £50m to date for pets in need, making us the largest grant-maker to pet charities in the UK. This year in partnership with pet charity Blue Cross we also rolled out foodbank donation points in over 200 of our pet care centres, donating over 1m meals to help support pets and their owners during the cost-of-living crisis.”