A resilient quarter for Pets at Home

Pets at Home reports total group revenue of £441.1 million ($563M/€522.1M) in the 3 months to 18 July 2024, the first quarter (Q1) of the company’s fiscal year (FY) 2025. This is a 1% increase from £436.8 million ($557.5M/€517M) during the same period in 2023. 

Consumer revenue stood at £576.6 million ($736M/€682.5M) in Q1 FY2025. This is an increase of 1.5% against the same period in 2023 when revenue hit £568.2 million ($725.3M/€672.5M).

In a trading statement, the pet retailer says this was supported by an increase in average customer spend and growth in its Pets Club, which improved 3% year on year (YoY) to 8 million active users. The average yearly expenditure of these members increased from £172 ($219.05/€202.71) to £176 ($224.15/€207.42) in the past 12 months. 

CEO Lyssa McGowan qualified the first quarter of the fiscal year 2025 as “resilient.” “The benefits of our investments in logistics, stores and digital are coming through, and our unique joint venture vets continued to deliver differentiated performance, growing visits and attracting new customers, driven by our passionate, independent practice owners,” she notes.

Vet and subscriptions overview

Pets at Home’s vet business grew 17.1%. This “strong” growth was attributed to higher average spending and increased customer visits led by improved clinical capacity and strong customer sign-up momentum.

Retail revenue fell by 0.8%, which is in line with the company’s expectations. The performance was stronger between May and July, driven by consistent market share gains in key categories.

According to the trading statement, subscription revenue accounted for 10.5% of customer revenue, up from 9.6% in Q1 FY24.

“Our digital platform is seeing a positive response from customers, and improved conversion rates show the platform can deliver on our ambitions, leaving us optimistic for the future,” the company’s press release notes.

Pets at Home says that their investment program is “on track,” with the opening of 2 new pet care centers since January.

Unchanged guidance

The British pet retailer is making no changes to its FY2025 guidance. It expects £144 million ($183.8M/€179.4M) in profit before tax (PBT).

The profits for H1 and H2 are expected to be “broadly in line” with last year. 

Pets at Home reported a PBT of £132 million ($168.5M/€156.2M) in FY2024.