Musti earns €1.4 million more in last quarter despite inflation

Group total sales accounted for €391.1 million from October 2021 to September 2022. In the same period of 2021, Musti sales amounted to €340.9 million.

The company’s operating profit increased 8.8% to €30.9 million, representing 7.9% of net sales last year. The share of sales of their brands increased to 52.7%, a “great achievement,” according to the company.

For CEO David Rönnberg, these numbers “highlight once again the unique defensive growth characteristics of the pet category” during a period when “accelerating inflation has placed incremental pressure” on consumers.

Musti added 39 new directly operated stores to their network this year, reaching 335 across Finland, Sweden, and Norway.

In the last quarter, from July to September 2022, sales of the Helsinki-based pet chain totaled €101.8 million (+11.3%). In the same period of 2021, sales accounted for €91.5 million. The growth in the quarter was 32% on a two-year basis and 58% on a 3-year basis. Conversely, the operating profit decreased by 0.6% to €8.5 million.

Norway business skyrockets

Net sales in Finland increased by 11.2% to €169.7 million in FY 2022. The same trend was observed in the last quarter, with sales accounting for €44.3 million (+10.1%).

Sweden also performed well, with yearly net sales of €164.9 million (+11.8%) and €42.5 million (+7%) in the last quarter. During Q4, three directly operated stores were opened, and two stores were acquired in Norway.

Norwegian net sales boomed by 38.7% to €56.5 million in the last year, with the same trend in the previous quarter (€15 million, 31.1% more than the same period of 2021).

Road to 2024

Finland represents most of Musti’s share of the total pet food and products market with 31%, followed by Sweden (29%) and Norway (13%).

CEO David Rönnberg told investors he has “firm confidence” in the company’s business model and ability to adapt to a changing environment.

“We are progressing as planned in executing our long-term financial targets,” he said.

Musti aims to reach €500 million in net sales in 2024, betting on “customer acquisition momentum and increasing share of wallet.”