THG interim revenues up 6.5pc, reiterates FY guidance

24th Jun 2026 07:11

(Sharecast News) - Retailer THG said on Wednesday that first‑half revenues had grown around 6.5%, with earnings and cash flow improving, as the group reiterated full‑year guidance ahead of its annual general meeting.

THG expects H1 adjusted underlying earnings of at least £40m, almost double the prior year once adjusted for its disposal of Claremont Ingredients, while free cash flow was set to be the strongest since 2021. Over the 12 months ended May 2026, adjusted EBITDA rose to about £94m, supported by cost control, stable margins and targeted category expansion.

In its beauty division, growth was driven by strong skincare demand, with Lookfantastic outperforming the UK prestige market and delivering around 48% year‑on‑year revenue growth on TikTok Shop in Q2, while its nutrition business was said to have continued to grow across online and retail channels, with a shift toward higher‑margin products helping offset elevated whey costs. THG also said its pivot to a licensing model in Asia remained on track, with nutrition revenue excluding Asia up roughly 11% in H1.

THG added that its Term Loan B traded above par for the first time since issuance, reflecting improved lender confidence. THG also said it was still awaiting HMRC's response to £78m in retrospective VAT claims.

Chief executive Matthew Moulding said: "We are on track with our growth and margin expansion strategy across the Group. By prioritising home markets and trending categories in THG Beauty, we continue to drive high-quality growth across an expanding customer base.

"The group continues to deliver strong year-on-year adjusted EBITDA growth, notwithstanding the broader macroeconomic backdrop, including unprecedented whey commodity inflation levels."

As of 0935 BST, THG shares were up 3.18% at 31.84p.

Reporting by Iain Gilbert at Sharecast.com

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