Musti Group delivers another robust quarter
The pet food company Musti Group reported a solid second quarter with revenues up by 8,2%. The longer-term trend for revenue growth has been gradually slowing, probably due to fewer stores being opened. The Like-for-Like (LfL) revenue growth remained higher with a 10,2% increase.
The improved profitability of the business contrasted with the growth slowdown as the profit margin increased from a healthy 2,6%-points. This was probably a result of cost-cutting as the gross margins contracted slightly from last year’s highs.
Online and Finland driving growth
The improved growth of the online channel drove the LfL growth. For the last three quarters, online has outgrown store revenues. This has led the online to represent 23,5% of the overall revenue. This is only slightly lower than the pandemic-era levels—a strong sign of the work done by the Musti Group with their online development.
Of the different operating countries, Finland continued to drive growth. Currently, Finland represents 44% of the overall revenue for the Musti Group. Finland accelerated growth to a strong 15,6% growth despite closing four stores during the quarter. Finland is also clearly the most profitable business for the group, with 21,1% EBITA margins.
Both Sweden and Norway saw revenue growth decline. For Sweden, the growth slowed down to only 1,2%. Sweden is the second biggest for Musti Group, with about 40% of revenues. Norway, as the smallest market, grew by 7,2%.
