E-commerce firm THG has reported a noteworthy uplift in first-half revenue and adjusted earnings, driven by substantial growth within its beauty and nutrition divisions. The Manchester-headquartered company's strong performance is underscored by a 6.5 per cent increase in revenue for the first six months of the year, with pre-tax earnings (EBITDA) projected to reach at least £40m for the period.
Notably, adjusted EBITDA for the 12 months ending May 2026 saw a sizeable rise of 36 per cent, reaching £94m. THG also forecasts that cash flows for the first half of the current year will be the strongest recorded since 2021, positioning the company favourably in terms of its financial outlook.
Matthew Moulding, chief executive of THG, highlighted the company's progress, stating, "We are on track with our growth and margin expansion strategy across the Group." He noted that by prioritising home markets and trending categories, THG Beauty continues to drive high-quality growth and expand its customer base. The nutrition arm, which encompasses the flagship Myprotein brand, has seen impressive expansion across both online and offline channels in the first half of the year, with year-to-date unit growth reaching 60 per cent, supported by rapid retail expansion and category diversification.
Looking ahead, THG expects its full-year revenue, adjusted earnings, and cash performance to align with company consensus. The firm is also engaged in a retrospective VAT claim with HMRC, seeking approximately £78m after successfully arguing it had overpaid tax on some protein powders last year. THG is currently awaiting a substantive response from HMRC, which had indicated it would provide an update in late Spring 2026.
The company's shares saw a modest increase of 0.6 per cent to 31p on Wednesday morning following the announcement. This positive trading update comes after THG plc demerged its Ingenuity division from the wider group at the start of 2025, which included the ownership of City AM at the time.