CEO Expresses Confidence in Long-Term Growth Potential

  • Pets at Home’s underlying profit-before-tax dropped 3.2% year-on-year
  • Total group revenue grew 5.2% to £1.5bn
  • Vet group revenue increased by 16.8% with LFL up 16.5%
  • Retail revenue grew 4.0%, up 4.1% LFL in Q4
  • Low double-digit growth in vet group, retail fell 2% in the first six weeks of FY25
  • CEO Lyssa McGowan highlights progress made in strategy and sustainability efforts

Pets at Home has announced a 3.2% year-on-year drop in its underlying profit-before-tax to £132m for the year ended 28 March 2024, attributing this to short-term availability issues and weaker performance of discretionary accessories. Despite the decline, total group revenue grew by 5.2% to reach £1.5bn, with a 5.1% increase in group like-for-like revenue. The company’s vet group saw a 16.8% rise in revenue and a 16.5% growth in like-for-like sales due to higher average transaction value, mix, and visits. Retail revenue also grew by 4.0%, with Q4 like-for-like figures meeting expectations amidst slowing inflation in food. The company has not changed its underlying profit before tax guidance for FY25 and expects continued growth. CEO Lyssa McGowan highlighted progress made in the relaunch of their brand, opening a new distribution center, advancing sustainability efforts, and enhancing their physical estate. She expressed confidence in the business’s position in the structurally growing market with an unrivaled retail network, unique integrated vet services, and best-in-class digital platform.

Factuality Level: 8
Factuality Justification: The article provides accurate information about Pets at Home’s financial performance and CEO’s comments on their strategy and market positioning.
Noise Level: 3
Noise Justification: The article provides relevant information about Pets at Home’s financial performance and CEO’s comments on their strategy and progress. It includes specific numbers and details about revenue growth, profit drops, and the company’s outlook for the future. The article stays focused on the topic and supports its claims with data.
Financial Relevance: Yes
Financial Markets Impacted: Pets at Home’s profit-before-tax and revenue
Financial Rating Justification: The article discusses Pets at Home’s financial performance, including profit-before-tax dropping and total group revenue growth. It also mentions the company’s guidance for FY25, which can impact investors and financial markets.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the article.

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