(Reuters) – Britain’s Pet Home Group cut its full-year profit forecast on Tuesday after its retail business saw weaker-than-expected growth, as consumers curbed spending on their pet accessories.
The group, which also offers grooming and veterinary services, said it expected underlying profit before tax to be around 132 million pounds ($167.5 million) for the year, compared with its previous target of around 136 million pounds. .
Pet ownership, which increased during pandemic lockdowns when people worked from home, drove demand for the company’s veterinary services and food products.
However, amid an uncertain economic environment, consumers are more cautious about discretionary spending for their beloved companions.
The company grew retail revenue by 3.7 percent on a like-for-like basis and exited the third quarter with a clean inventory position.
Chief executive Lisa McGowan said in a statement, “While the slower pace from the market peak means our sales growth has not been as high as we expected, the business is well-positioned to benefit from long-term growth in the sector. in.”
($1 = 0.7883 pounds)
(Reporting by Radhika Anil Kumar in Bangalore; Editing by Saiva D’Souza and Dhanya N Thopal)