Pets at Home CEO Quits After Shock Profit Forecast Cut — What It Means for Pet Owners
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Pets at Home CEO Steps Down After Profit Forecast Slashed — What It Means for Pet Owners
Hold onto your leashes, because the world of pet care just got a little more dramatic! In a twist worthy of a doggy soap opera, Lyssa McGowan, CEO of Pets at Home, has stepped down with immediate effect after the UK’s biggest pet retailer cut its profit outlook.
The Scoop: What’s Actually Happening?
Pets at Home, the go-to spot for all things pets in the UK, reduced its profit guidance and confirmed leadership changes. Here are the key facts:
- Profit forecast cut: Underlying pre-tax profit now expected to be £90–£100 million, down from prior expectations (about a 17% reduction).
- Share price reaction: Shares fell by roughly 20% on the announcement.
- Retail pressure: In-store sales are down about 5% so far this year.
- Bright spots: Digital sales are growing, and the veterinary division is up by around 13%.
- Leadership change: CEO Lyssa McGowan has stepped down; the board is moving to steady the ship while searching for long-term leadership.
Why This Is Happening
Several trends are squeezing big pet retailers right now:
- Cost-of-living pressures: Many shoppers are cutting back on non-essential pet purchases.
- Rising operating costs: Wage, energy, and supply-chain costs have climbed, pressuring margins.
- Shifts in shopping habits: More customers are moving to online orders and subscriptions, dampening footfall in stores.
Pets at Home has been investing in digital upgrades, subscriptions, loyalty schemes, and veterinary capacity—areas that continue to show resilience even as retail stores face headwinds.
What This Means for You (and Your Wallet)
- More promos likely: Expect a greater focus on loyalty rewards and selective discounting in retail.
- Vet services remain strong: Growth in veterinary services may continue; appointment availability could improve as practices expand.
- Subscriptions = convenience: Repeat-delivery programs can help you save on essentials and avoid last-minute markups.
- Choose where to splurge: With discretionary items under scrutiny, prioritise meaningful purchases over impulse buys.
Smart Ways to Keep Pampering Your Pet
Even when the big players are tightening budgets, you can still celebrate your love for your pet without spending more on day-to-day pet care. One great way? Choosing gifts that make you smile every day.
At theTailed, we create personalised products designed for pet parents — from cosy hoodies to mugs and phone cases — each customised with a one-of-a-kind illustration of your pet. It’s the perfect way to keep your furry (or feathered) friend close to you, without adding to their growing list of expenses.
