Pets at Home has maintained its full-year guidance despite reporting softer third quarter trading in its retail arm following a “more challenging UK consumer backdrop”.
Retail sales for the pet specialist fell 2.4% in the 12 weeks to 2 January, down 2.8% on a like-for-like basis, which it blamed on “a more challenging UK consumer backdrop with particularly weak footfall from October”.
However, it noted an “improved” digital performance and strong growth in its subscriptions.
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Total revenue slipped 0.2% to £361.6m or 1% on a like-for-like basis during the quarter, as 21.3% growth in the specialist retailer’s vet business helped to offset a weaker performance across its stores.
The retailer said the double digit increase in its vet practices was supported by an increase in subscriptions, visits, and average transaction values.
Pets at Home said its underlying profit guidance for the year remains unchanged and that it is on track to deliver “modest growth” in profits.
It added: “Against a still subdued consumer backdrop, we have maintained a discipline gross margin performance, supported by strong Christmas seasonal sell through”.
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