Wynnstayplanschain of pet stores

MANUFACTURER and supplier of agricultural products and services Wynnstay Group is establishing a dedicated pet retail chain.

The Aim-listed company, which has its headquarters in Mid Wales and which operates a network of 24 stores selling a wide range of products for farmers and country dwellers, is looking to roll out its Just for Pets stores in large conurbations across the UK.

Wynnstay, which sells a wide range of pet products, like bird feed, said that bringing that offer under one roof was a positive move for the company strategically.

The first pilot store will open in Telford, Shropshire, in March. A further two are planned for the group's current financial year at locations which are yet to be decided.

This week the company reported what it described as "creditable results" against a backdrop of challenging trading conditions for its financial year to the end of October.

The group's managing director, Bernard Harris said, "Last year was especially challenging with the commencement of the European Union and rising fuel and power prices.

"However, as anticipated, we saw an improvement in trading conditions in the second half. Against this backdrop, our results are creditable and reflect the strength of our diversified base.

"Looking forward the launch of Just for Pets stores is an exciting development."

Mr Harris said the company was well placed to exploit this market.

"There are 12 million pet owners in the UK and it is a business we already understand through our current retail stores and the supply chain."

Just for Pets will sell animals, but they will be mainly birds and small mammals.

Last year the company acquired Glasson, which operates a port in Lancashire and supplies raw materials to feed manufacturers for £2.4m. Glasson contributed a turnover of £8.8m (three months period) to the end of year figures.

Mr Harris said, "Given the timing of this acquisition, it has not made an impact on group profits this year, but I believe it will be earnings enhancing in the current financial year."

Wynnstay posted revenues of £110.9m, compared to £100m in 2005 - which included the contribution from Glasson.

However, pre-tax profits fell from £2.9m to £2.5m.

Source: icwales.icnetwork.co.uk