Home Estate Planning Pets at Home ‘not threatened’ by regulator probe as it holds firm on growth plans

Pets at Home ‘not threatened’ by regulator probe as it holds firm on growth plans

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Animal care retailer Pets At Home has held its guidance for the year and said its vet growth strategy is “not threatened” by the CMA’s review into the sector.

It comes just days after the competitions watchdog confirmed it would press ahead with an investigation into the UK’s vet industry following concerns pet owners are not getting value for money. 

Pets at Home, which has 400 surgeries across the UK, will be one of the companies examined by the body. 

Within its full year results, published on Wednesday, the retailer said it believes that its “vets growth strategy is not threatened by the CMA’s review into the vet sector”.

They said: “Our unique practice owner model has driven record growth and consistent market outperformance, with consumer revenues now £576m, acting as a material contributor to the overall group.”

“As more practices reach maturity it unlocks opportunities to drive additional growth through advanced capabilities, practice extensions, and the rollout of 5-15 new practices a year.”

On Friday the company said it would “continue to fully cooperate with the CMA to ensure our unique and pro-competitive business model of locally-owned vet practices is fully understood”. 

Its update for the year to March revealed a 13.7 per cent decline in statutory profit before tax to £105.7m, with the group blaming its office consolidation for the dip. 

Total group revenue growth of 5.2 per cent  to £1.5bn, while vet group revenue grew 16.8 per cent and retail revenue was up four per cent. 

Pets at Home also confirmed a £25m share buyback announced for FY25, having completed £100m in buybacks over the last two years. 

 Lyssa McGowan, chief executive officer, at Pets at Home, said: “Our medium-term strategy and financial framework is unchanged and, looking ahead, the fundamental strengths of the business position us well to deliver growth. 

“We hold a leading position in a structurally growing market, with an unrivalled retail store network, and a unique, differentiated and integrated vet business. We know the nation’s pets better than anyone else, with over 10 years of analytical data on 10 million pets, and we now have a best-in-class digital platform, and a modern efficient DC.”

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