Key facts
- ME Group has rolled out dog wash machines to 200 locations in the UK, France, and the Republic of Ireland.
- The machines offer shampoo, conditioner, and anti-parasitic treatment, priced at €10 for small dogs and €15 for large dogs.
- ME Group's revenue slipped 1% to £152m in the six months to April, with pre-tax profit falling 6% to £32m.
- The company previously cut profit expectations to between £69m and £74m.
- ME Group's laundry business, Wash.ME, reported a 16% revenue increase to £55m.
- Shares in ME Group have declined 30% year-to-date.
ME Group, Europe's largest photobooth operator, is diversifying into user-operated dog washing machines as part of its strategy to recover from profit hits. The company has installed 200 of these machines, which resemble automated carwashes and offer various treatments, across the UK, France, and the Republic of Ireland.
These dog wash machines are priced at €10 for a small dog and €15 for a large dog, representing approximately 10% of the cost of professional grooming services. ME Group stated that the machines are proving popular with customers.
This expansion comes as ME Group reported a 1% revenue slip to £152m and a 6% pre-tax profit decrease to £32m in the six months ending April. The company had previously cut its profit expectations to between £69m and £74m, a forecast it reiterated. The firm attributed a previous revenue slump in April partly to reduced demand for passport photos due to the Middle East conflict impacting travel.
Growth is also being driven by its laundry business, Wash.ME, which saw revenue jump 16% to £55m. ME Group has secured a significant partnership agreement with Asda to install and operate laundry machines in its UK stores.
Shares in ME Group have fallen 30% year-to-date, closing at 103p on Friday.