The Hong Kong-based health and nutrition corporation H&H Group could record a total turnover of CNY3.15 billion ($457M/€416M) from 1 January to 31 March 2023 which is a growth of 17.3% compared to the same period in the previous year.
The Group’s pet business grew by 28% in Q1. Pet nutrition and care products mainly contributed to the increase accounting for CNY447.9 million ($65M/€59M).
Although, the Group did not disclose any regional numbers, the company stated the category has recorded a “steady growth” of 13.9% in China’s mainland. The brand is available across 7,9000 supermarkets, pet stores, an pet hospitals.
According to Interim CEO Akash Bedi, the company intends to expand the brand online as well as offline. “These wins were supported by our focus on remaining at the forefront of consumer and industry trends, such as the increase in pet adoption rates and spending on premium pet nutrition,” he stated.
From January to March, Zesty Paws and Solid Gold have increased by 23% which can be ascribed to the aquisition of Zesty Paws in 2021.
After extending its distribution network adding CVS Pharmacy and Tractor Supply, as well as Walmart, Target, PetSmart, and others. Bedi stated, that both brands are available across 10,100 stores in whole China.
The company has further expansion plans for Europe and mainland China. According to Bedi, H&H searches for achieving organic growth as well as expansion through product strategies.
“2023 has kicked off with an encouraging Q1, setting the group up for a promising growth outlook for the rest of the year.” He added that the group expects “macroeconomic challenges” and takes precautions against risks for the rest of 2023.
He also said the company is anticipating “macroeconomic challenges” and taking steps to mitigate risks for the rest of the year.