CVS Group plc Reports Strong Financial Results for FY2023 and Announces Market Review by CMA

CVS Group plc, a UK listed veterinary group, has announced its final results for the year ended 30 June 2023. The company reported a 9.8% increase in revenue to £608.3 million, with like-for-like sales growth of 7.3%. Adjusted EBITDA grew by 13.0% to £121.4 million, while adjusted profit before tax increased by 13.1% to £85.4 million. Operating profit rose by 45.6% to £62.3 million, and profit before tax increased by 49.7% to £53.9 million. Basic earnings per share also saw a significant increase of 62.4% to 58.8p. Net bank borrowings increased to £74.0 million, and the company's leverage ratio increased to 0.73x.

CVS Group highlighted several operational and strategic achievements during the year. The company increased the average number of vets employed by 6.5%, despite the industry-wide shortage of vets. CVS Group also invested £45.7 million in its people, facilities, and equipment, completing 21 refurbishment and relocation projects. The company published its second standalone Sustainability Report and introduced targets across its ESG working groups. CVS Group made 11 acquisitions, comprising 16 practice sites, as part of its inorganic growth strategy. The company's client Net Promoter Score (NPS) increased to 73.0, reflecting its focus on delivering high-quality clinical care, and its employee NPS increased to 14.6, reflecting its efforts in supporting and developing its colleagues.

The Competition and Markets Authority (CMA) announced a Market Review of the Veterinary sector for household pets in the UK on 7 September 2023. CVS Group stated that it will work closely with the CMA in support of the review, and the CMA will provide a further update in early 2024.

CVS Group reported that current trading is in line with expectations, and the new financial year has started well. The company is pleased with the momentum in the business and continues to trade in line with market expectations. The Healthy Pet Club, CVS Group's membership program, saw growth to 494,000 members, representing a 4% increase compared to 31 August 2022.