Pets at Home Group PLC (LSE:PETS) shares slipped 3.5% in early trading after the group reported a slight rise in overall consumer revenue but flagged ongoing softness in the pet retail market.
For the 16 weeks to 17 July, consumer revenue was up just 0.4% to £591 million, while statutory revenue fell 1.9% to £435 million.
The vet business remained a bright spot, with consumer revenue up 7.1% and strong growth in care plans and average transaction values. In contrast, retail sales were down 3%, reflecting continued weak demand across the sector.
Digital sales returned to double-digit growth as the company completed its transition to a new distribution centre.
Pets at Home has narrowed its full-year profit guidance, now expecting underlying pre-tax profit of £110 million to £120 million, citing lower-than-expected market growth.