Pets at Home still on track to post full year profit of £92 million
Pets at Home has said it remains on track to post an underlying pre-tax profit of £92 million for the year to 26 March, in line with previous guidance.
The group said its retail turnaround plan is progressing well, with both volume and like-for-like sales growth delivered in the second half. During the year, it invested in price and and completed £20 million of group overhead savings.
Subscribe to TRBIt expects the retail business to deliver an underlying pre-tax profit of around £30 million for the year.
Its vet group business, meanwhile, is forecast to post a pre-tax profit of around £83 million despite a likely slowdown in sales growth as customer cohorts reach a typical lull in activity. The performance has been underpinned by an increase in average transaction values alongside growth in Care Plan revenues and plans.
Pets at Home said it will finish its current financial year in a net debt position of £20 million after having returned around £85 million to shareholders via dividends and buybacks.
In November, Pets at Home launched a turnaround plan for its retail business as it reported declines in group first half revenue and profit. A month later, it confirmed the appointment of former Waitrose managing director James Bailey as its new chief executive, with effect from the end of this month.
