THG reports Q3 revenue growth, maintains FY outlook

British retail group THG has reported a 37.2 increase in group revenue in the third quarter.

In the three months to September 30, revenue came in at 518.6 million pounds, up from 507.8 million pounds a year earlier.

On a two-year basis, revenue was up 2.1 percent.

THG Beauty revenue was up 4.9 percent compared to a year earlier and 64.9 percent compared to two years ago, while THG Nutrition revenue was up 2.9 percent year-over-year and up 12.7 percent year-over-two-years.

“Another strong quarter of delivery across our Beauty and Nutrition divisions has enabled market share growth in our key global territories,” said founder and CEO Matthew Moulding in a statement.

“We remain committed to our strategy of supporting our customers around the globe through investment in price protection, without compromising on quality or choice. As commodity prices ease further, we remain well positioned to grow margins into 2023, whilst reducing pricing to consumers,” he said.

FY outlook unchanged

Looking at current trading, THG started the fourth quarter “positively” and is “well positioned from a logistics and supply perspective” to meet an uplift in demand anticipated during the cyber period.

The group has reconfirmed its full-year revenue guidance, expecting an increase of between 10 percent and 15 percent.

Its full-year adjusted EBITDA guidance of between 100 million pounds and 130 million pounds is also unchanged.

THG also announced Tuesday it has signed 156 million pounds of incremental capital from three of its long-standing lending partners.

Shares in the retail group were up over 15 percent on Tuesday morning after plummeting over 90 percent in the past year over investors’ concerns over its business direction and corporate governance.

Last week, Japanese investment giant Softbank sold its entire stake in THG at a loss of 450 million pounds after buying an 8 percent stake in the business in May.