callerone22 Jun 2017 22:08
In response to your earlier post (retail business up 2.9% but services/vets business up a massive 44% which will offset any reduction in retail sales with another 40-50 vet practices opening soon) : -
Pets at Home in rude health thanks to veterinary operations
Annual results for the company, which operates almost 440 superstore outlets and the UK’s largest veterinary business with 438 practices, showed strong top-line growth. Group revenue climbed 7.2pc to £834.2m in the year to March 24, while pre-tax-profit was 5.8pc higher at £95.4m.
However, splitting the retail side of the business from the services operations reveals a dramatic difference in performance.
Sales growth in the retail business - which sells items such as collars, animal food and toys - was 2.9pc higher at £716.7m.
By comparison, the services side, which includes joint-venture vets practices and dog grooming, streaked ahead, up 44.5pc at £117.5m.
Ian Kellett, chief executive, called the performance “solid”, with the business hitting expectations and "reflecting the strength of our joint venture vet practices where our total income grew 24.6pc”.
Pets at Home is a major player in the UK pet market, which is worth almost £7bn a year and has grown at a compound annual growth rate of 4.5pc for the past two years.
To reflect this, Mr Kellet said the company was investing in expanding its offering with plans to open a further 10 superstores, between 40 and 50 vets practices and the same amount of grooming salons.
http://www.telegraph.co.uk/business/2017/05/25/pets-home-rude-health-thanks-veterinary-operations/
Sign In
Follow the stocks
