3rd Nov 2021 10:20
(Alliance News) - Pets At Home Group PLC said Wednesday that Chief Executive Peter Pritchard will leave the company next summer.
Shares in the Cheshire, England-based animal products retailer were down 2.0% in London on Wednesday morning at 489.20 pence each.
Pritchard has been with the company for 11 years, taking over as CEO in 2018, but it said he has decided now is the time to move on.
"This follows the successful turnaround of the business, in which he developed and implemented the group's pet care strategy, in support of its ambition to become the best petcare business in the world," Pets At Home said.
"Peter will remain fully engaged in his role as chief executive officer until late May 2022, to oversee the presentation of the group's 2022 preliminary results to investors and to ensure a smooth transition period to his successor."
Pets At Home said the search for Pritchard's successor has started and will include internal and external candidates.
The company noted its market cap has increased fourfold since Pritchard took over as CEO in 2018.
Turning to trading, Pets At Home said the UK pet market remains "robust".
"The strong performance witnessed across both parts of the business during the second half of last year has continued throughout the past six months," it continued.
Pets At Home now expects underlying pretax profit for financial 2022, ending March 31, to be at the top end of current market expectations - which is ahead of previous guidance the company noted.
Company-compiled consensus puts underlying pretax profit at GBP131 million, with a range between GBP128 million and GBP135 million.
In financial 2021, Pets At Home recorded underlying pretax profit of GBP87.5 million.
"The market reaction to Pets at Home's CEO walking away is simple disappointment," commented Sophie Lund-Yates, an equity analyst at Hargreaves Lansdown. "Pritchard has overseen an impressive turnaround, and guided the Pet superstore through astonishing growth during the pandemic. However, this is a natural time to walk away."
By Paul McGowan; [email protected]
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