Pets at Home has swerved the gloom felt by peers over the past few years.
But recently it has faced several challenges that have put investors on edge.
The pet supplies retailer has been dogged by uncertainty after the competition watchdog declared it would probe the veterinary sector to ensure customers were being offered competitive prices.
Pets at Home has a vets division, Vets for Pets and Companion Care Vets, which falls under the Competition and Markets Authority (CMA)’s probe.
Investors have been spooked and shares have fallen 24 per cent since the investigation was announced in September.
The company has also had a headache with its new distribution centre, resulting in some stores having noticeable gaps on shelves due to stock unavailability.
Even so, the firm has retained buoyant consumer demand post-Covid.
Meanwhile, other retail park staples, including Kingfisher’s B&Q and Screwfix, have struggled to maintain their lockdown momentum.
So investors will be curious to see if this resilience shows any signs of wavering at its second quarter trading statement next Tuesday.
Boss Lyssa McGowan has previously said that consumers are splashing out on luxuries for their pets despite the cost-of-living crisis. But there is nervousness among investors that consumers could be focusing on essential products like pet food rather than pricey outfits or toys.
