Pets at Home revenue tops £1.4bn; launches buyback

Wilmslow-based pet and vet retailer Pets at Home Group reported revenue growth of 6.6% to £1.404 billion in the 52-week period to March 30, 2023, and announced a £50 million share buyback for the year ahead, following £50 million completed in FY23.

Full year dividend per share will be 12.8p, up 8.5%.

Statutory profit before tax was £122.5 million, down 17.7%, “reflecting the gain on the sale of our Specialist Group in FY22 and the costs of bringing our new DC onstream in FY23, which are treated as non-underlying.”

Underlying profit before tax of £136.4 million was up 4.8% “ahead of previous guidance, with strong trading performance partly offset by higher energy costs and increased investment in digital assets as we build out our platform.”

On current trading and outlook, Pets at Home said: “Current trading remains strong; sales in the first few weeks continue in line with the FY23 exit rate with strong consumer loyalty supporting continued volume growth across the business alongside continued consumer acquisition.

“Our relative price position remains compelling as we continue to make pet care as affordable as possible, in line with our strategy of growing share in growing market.”

For FY24, the company said it is comfortable with current analyst consensus for underlying profit before tax, currently £136 million.

Pets at Home CEO 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.

“I would like to thank all of our incredible colleagues for their continued passion and dedication to our great business. It is our unique culture that sets us apart and will continue to underpin everything we do …

Today I am also delighted to announce our updated strategic ambition to build the world’s best pet care platform.

“I am incredibly excited about the opportunity ahead, building on the tremendous success the business has enjoyed in recent years, and capitalising on our unique growth opportunity.”