The CEO of THG PLC has insisted that the outlook is positive despite a drop in half-year revenue and EBITDA.
Matt Moulding said he was “really pleased at how THG has gained momentum throughout the first half and into Q3” after the company made a pair of high-profile disposals and looked to push through changes to its strategy.
For the six months ended 30th June 2025, group revenue was £783.4m, down 2.6% on the corresponding period last year. Adjusted EBITDA was £24m, down from £37.1m, with a margin of 3.1% (vs 4.4% H1 2024), “primarily reflecting substantially higher whey pricing YoY in Nutrition”.
The group said this was in line with guidance and that it had returned to revenue growth in Q2 at +0.9%.
At the start of H1, THG demerged its loss-making Ingenuity technology arm, while in Q3 it disposed of Claremont Ingredients to Nactarome Group for £103m.
It said that this puts the group on an accelerated path towards a net cash position, having also secured new financing earlier this year. Net debt at the period end stood at £321.4m (H1 2024: £350.5m), reducing to c.£220m proforma for the Claremont Ingredients disposal. Following the refinancing and THG Ingenuity demerger, gross debt reduced by £374m, THG said.
A return to growth in THG Nutrition offset a decrease in THG Beauty, which the firm said was primarily a result of strategic model changes – specifically “disposal of certain operations, own brand investment and retail territory prioritisation”.
It has moved Beauty’s focus away from the low-margin European and Asia territories.
“A slower start to the year in Beauty, alongside record whey prices in Nutrition, initially held back performance, but we saw clear improvement in Q2, in particular supported by Myprotein offline retail and licensing sales,” said Moulding.
“As a business we’ve reaped the benefits of the recent extensive strategic initiatives across the group, including the global rebranding of Myprotein throughout 2024. I’m especially pleased with the response to the new positioning of the Myprotein brand, reflected in the exciting breadth of partnerships we’re delivering with other global brand owners and a return to new customer growth.
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“Our Beauty business particularly in the UK demonstrated impressive resilience, securing market share gains in Q2, with a growing loyalty base and successful new brand launches supporting a return to revenue growth in Q3.
“Meanwhile the refinancing of our long-term debt, as well as the sale of Claremont Ingredients, significantly reduces the group’s net debt position whilst highlighting the value of some of the lesser known, smaller businesses in THG.
“I’d like to thank everybody in the business for their dedication and focus during this transformative period which sets us up well for our most profitable and cash generative period in H2. Our momentum is positive and Q3 will be our strongest trading period of the year so far, underpinning our confidence in the outlook.”
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