16 September 2021
THG PLC
Interim results for the half-year ending 30 June 2021
Group revenue of £958.8m, +44.7% YoY and +95.0% 2 year growth (constant currency), with THG Beauty H1 revenue a highlight at +59.0% YoY growth. Adjusted Group EBITDA of £81.2m, +38.6% on H1 2020
Ahead of schedule for both the technical separation of each of the Group's key trading divisions and the exercise of the SB Management Limited (“SBM”) Ingenuity investment option in 2022
Announcing today that THG Beauty is to be separated and listed on a public share-trading exchange in 2022
Nine companies across the SoftBank Group Corp. (“SoftBank”) portfolio, including AutoStore, are partnering with THG Ingenuity, driving increased THG revenue and enhanced platform functionality, with a healthy pipeline going forward underpinning the collaboration agreement
Launch of FIR/ST, a global-innovation combining AutoStore's automated storage and recovery system with THG Ingenuity's warehouse management and courier system, creating a single, headless, end-to-end global fulfilment software solution
50 end-to-end, fully localised and serviced websites launched across 22 territories for existing and new THG Ingenuity clients, with over 95% of clients utilising THG's global fulfilment network, delivering +165.5% revenue growth in H1
THG PLC (“THG” or the “Group”), the proprietary technology platform specialising in taking brands direct to consumers (“D2C”) globally, announces its interim results for the half-year ending 30 June 2021 (“H1 2021”).
H1 2021 Group Trading Performance
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£m |
H1 2021 |
H1 2020 |
YoY(1) Growth |
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YoY Growth CCY(2) |
2 Year Growth |
2 Year Growth CCY |
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THG Beauty |
460.8 |
295.6 |
+55.9% |
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+59.0% |
+142.2% |
+145.8% |
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THG Nutrition |
328.4 |
258.0 |
+27.3% |
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+30.2% |
+66.1% |
+67.3% |
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THG Ingenuity |
85.8 |
61.4 |
+39.7% |
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+42.5% |
+40.5% |
+43.9% |
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THG OnDemand |
51.6 |
35.4 |
+45.6% |
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+48.7% |
+133.5% |
+136.2% |
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Other |
32.2 |
25.3 |
+27.3% |
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+22.4% |
+22.4% |
+16.8% |
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Group Revenue |
958.8 |
675.7 |
+41.9% |
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+44.7% |
+92.7% |
+95.0% |
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Gross Margin %(3) |
46.5% |
45.2% |
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Adj EBITDA(4) |
81.2 |
58.6 |
+38.6% |
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Adj EBITDA% |
8.5% |
8.7% |
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Net Cash / (Debt)(5) |
384.6 |
282.8 |
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Ingenuity Commerce Revenue |
18.3 |
6.9 |
+165.5% |
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+165.5% |
+621.2% |
+621.2% |
(1) YoY defined as year-on-year statutory sales growth
(2) CCY defined as constant currency basis. Removing fluctuations arising from translation of foreign exchange by restating prior year numbers at current year exchange rates
(3) Gross Margin % is presented before the impact of depreciation and amortisation
(4) Adjusted EBITDA is defined as operating profit before depreciation, amortisation and adjusted items, and after £1.0m of self-funded furlough costs in H1 2021 (H1 2020: £1.6m)
(5) Net Cash / (Debt) is cash and cash equivalents less debt before lease liabilities, on a hedged basis (see note 7 to the interim results)
Matthew Moulding, Executive Chairman and CEO of THG, commented:
“I am delighted to announce a strong first half performance across all divisions, as we continue to invest significantly in support of our strategic growth ambitions. This investment is across our entire business, including our infrastructure, namely our recently-opened ICON campus and our global distribution network, in our Ingenuity platform, in building leading digital brands, and most importantly, in our people.
“In May, we announced the financial and trading partnership opportunity with SoftBank, one of the world's leading technology investors. We are only at the start of this relationship, but we are pleased to have already established multiple live commercial partnerships between the SoftBank portfolio and our Ingenuity platform. We continue to see an acceleration in levels of enquiry from global enterprises looking to leverage the Ingenuity platform, and I believe the global growth opportunity for Ingenuity to be unparalleled.
“Today we also update on the roadmap to separating our key trading divisions, and announce our commitment to list THG Beauty in 2022, which we believe will create further value for our shareholders.
“We are also proud to be launching our 2030 sustainability strategy, outlining our key priorities and commitments in the coming weeks.”