THG returns to growth but sticks to revised guidance

THG returns to growth but sticks to revised guidance

THE WHAT? THG has reported its results for the third quarter of the current financial year. The UK owner of Look Fantastic saw revenue dip 2.1 percent on a constant currency basis for the three months to September 30, 2023.

THE DETAILS However, according to a report published by Reuters, the month of September saw improved sales with revenue up 3.2 percent in constant currency. Despite this more positive end to the quarter, the e-commerce operator said it continues to expect revenue to drop in the range of 0 to 5 percent for the full year.

Beauty sales dropped 4.4 percent to £272 million while nutrition fell 4.6 percent to £156.2 million. THG’s Ingenuity division saw sales tumble 8.8 percent.

THE WHY? THG has struggled since it was taken public in 2020 after concerns emerged over the group’s governance. Activist investors have called for a spin off of its Myprotein division, The Times reports. However, this latest set of results appears to have calmed the market somewhat with shares rising 4.4 percent.