Trading at the UK’s largest pet shop group, Pets at Home, began in earnest for its new fiscal year, as the pet specialist posted a 10% rise in full-year earnings. It also announced intentions to roll out roughly 25 extra stores across the UK over the next year.
The retailer, which floated on the London stock exchange last year, saw sales at stores open over a year rise by 4.2%, helped by strengthened nutrition and health lines and additional services such as grooming and veterinary care.
Merchandise revenues, made up of everything a pet needs from accessories to food, increased 8% YOY to £666.1m and the group’s own-brand pet food label Wainwright’s enjoyed a 44% rise in sales to £40.1m.
Pets at Home opened 25 outlets (store count now 400) and in the medium-term, the group is aiming to hit the 500 store marks.
Pets at Home will shuffle its business, splitting it into two halves; its new retail division will be run by recently appointed Ian Kellett.
“I am delighted to announce another year of progress as we continue to deliver on our targets for growth, with strong cash flows allowing us to deliver a dividend payment at the top end of our commitment,” said Nick Wood, Chief Executive Officer.
“With our business growing strongly, we have decided that now is the right time to implement a new divisional structure to drive performance further. It’s a sign of our strength that we have two people of the calibre of Ian Kellett and Sally Hopson to take responsibility for our Retail and Services Divisions, as we look forward to another year of expansion and profitable growth.”