THG PLC

Latest Results (16.10.2025):

THG PLC reported its half-year 2025 financial results, showing a slight decline in group revenue by 2.6% year-on-year to £783.4 million. Adjusted EBITDA also decreased to £24.0 million from £37.1 million in the previous year. Despite these challenges, THG PLC demonstrated resilience in its THG Beauty and THG Nutrition segments, supported by strategic initiatives and market expansion.

Revenue Overview

Group revenue for H1 2025 was £783.4 million, reflecting a year-on-year decrease of 2.6% and a reported decline of 7.6%. The revenue contraction was primarily driven by the disposal of the luxury portfolio, which contributed to over 900 basis points of the revenue decline.

Profitability Metrics

Gross margin for the half-year stood at 41.1%, down from 42.6% in H1 2024. Adjusted EBITDA decreased significantly to £24.0 million, representing a margin of 3.1%, compared to £37.1 million and a 4.4% margin in the previous year.

Segment Performance

THG Beauty showed resilient retail trading with UK growth at its highest rate since Q1 2024, supporting market share gains. THG Nutrition returned to revenue growth with a 3.1% increase, driven by new online customer acquisition and an expanded offline footprint.

Financial Position

Net debt stood at £321.4 million before net proceeds from the sale of Claremont Ingredients, expected to add approximately £220 million in Q3 2025. The company's long-term capital structure remains in place until December 2029, with a significant reduction in gross debt following the refinancing and demerger of THG Ingenuity.

Outlook and Guidance

THG PLC projects full-year revenue growth of -2.5%, with THG Beauty targeting mid-to-high single-digit growth and maintaining a gross profit margin of around 41.7%. Revenue growth is expected to accelerate in the second half of the year, supported by new product launches and offline expansion.