Pets at Home's third-quarter sales may have increased by 3.5%, but this was less than expected, prompting the retailer to cut its full-year profit forecast to £132m, ahead of its previous target of £100m. Revised downward from £36m.
In its latest statement, Pets at Home cited a “slowing market” and reported that accessory sales remained “sluggish.” Volume growth and share growth was seen across food categories.
Additionally, the veterinary side of the business continues to perform well, with revenue up 13.4% and LFL up 13.3%. Pets at Home said this was supported by veterinary staff and a shift to more advanced procedures.
Lissa McGowan, chief executive of Pets at Home, said:
“Although our sales growth did not reach the expected levels due to a slowdown in the market over-peak, we continue to gain share across food products, increase sales volumes and deliver differentiated performance. We are well positioned to benefit from the long-term growth of this sector through our unique veterinary business. ”
Looking to the future, the pet care retailer will soon be implementing a new digital platform after successful trials and testing with a group of colleagues. The new platform is designed to improve customer experience and functionality for both apps and websites.
“Our new digital platform is a key cornerstone of our growth strategy, delivering a significantly improved user experience to consumers, creating opportunities to improve cross-selling into accessories and further expand our share of wallet. ,” McGowan explained.
In addition, Pets at Home plans to launch a new dedicated distribution center to support its omnichannel capabilities.
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