How Musti ramped up business by 9.5% in a year
A few days after the announcement of a bid to acquire the company, the Nordic pet retailer shares more about its yearly performance.
Musti posted net sales of €425.7 million ($464.5M) in the 12 months leading up to September 2023, up from €391.1 million ($428.3M) during the same period in FY2022.
Food and consumables represented over 70% of sales and remained strong sales pillars for the company. Most sales (76%) were performed in-store. Online sales accounted for 23% of Musti’s business, a slight increase of 1%.
Operating profit also showed a positive incline of nearly €7 million (€7.6M) to €37.8 million ($41.2M).
The retailer’s Annual Report 2023 points out that the average spend per loyal customer increased to €182.7 (€200) despite the effects of the unfavorable currency exchange rates. A year ago, the average expenditure was slightly lower, €181.5 (€198.9).
The number of loyal customers from October 2022 to September 2023 increased by 6.1% to 1,543 thousand across Finland, Sweden and Norway.
New pet food factory
The complete acquisition of Premium Pet Food Suomi Oy’s pet food plant in Lieto, Finland, earlier in the year is one of the drivers behind these numbers.
According to CEO David Rönnberg, the integration of the new factory is going “very well.”
“The benefits, both financial and operational, are already visible. The investment in the factory has strengthened our commitment to sustainably produced products and will be a key success driver going forward,” he says.
Musti believes that the investment in the factory has strengthened their commitment to sustainably produced products and “will be a key success driver going forward.”
Potential acquisition
After Portuguese multinational Sonae entered a bid of €868 million ($947M) to take over the Finnish company, a consortium has been formed for the voluntary recommended public cash tender offer of all outstanding shares in Musti Group.
The offer price is €26 ($28.3) cash settled for each share validly accepted during the offer. Musti’s Board of Directors has unanimously decided to recommend that the company’s shareholders accept the tender.
The offer period began on 18 December 2023 and will expire on 5 February 2024 unless there is an extension.
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