The Hut Group to list its beauty division in 2022
Online health and beauty retailer The Hut Group is separating its beauty division and will publicly list it in 2022
THG said separating its key trading divisions will position the business for further growth globally as well as expand its own-brand portfolio.
It said it was still considering to separately list THG Nutrition.
The news comes as the retail giant reported a half year loss despite revenues climbing 45%.
THG, which floated on the stock exchange last year, saw revenues grow to £958.8m for the six months to 30 June 2021 and expects full year revenues to be up between 38% to 41%.
The group reported an operating loss of £17.4m which it said was driven by certain non-recurring cash costs associated with Covid-19 disruption and £13m administrative costs in relation to acquisitions including legal and professional fees.
During the period, THG, which operates over 100 international websites that takes brands direct to consumer through its proprietary e-commerce platform, THG Ingenuity, grew staff numbers from 7,000 to 10,000.
It also secured $730m investment from Softbank in May – with call option for further £1.6m direct investment into THG Ingenuity.
Matthew Moulding, Executive Chairman and CEO of THG, said: “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.”
