Following today’s release of THG’s results for the three months ending 31 March 2026; Charlotte Chilcott, retail analyst at GlobalData, a leading intelligence and productivity platform, offers her view: “THG has entered FY2026 on a positive note, with total revenue increasing by 7.0% in Q1 FY2026 and building on the 6.8% revenue growth delivered in H2 FY2025. Although this performance shows clear progress from the 6.1% decline recorded in Q1 FY2025, Q1 FY2026 revenue still sits below 2024 levels, and THG must continue to execute on its turnaround, driving sustained volume growth by improving customer retention and scaling its higher-growth operations. Nevertheless, the market responded positively to these results, with its share price rising by more than 7% in early-morning trading. This encouraging start to its latest financial year should help THG to absorb volatility from Q2 onwards amid an uncertain geopolitical backdrop. The health & beauty sector has typically been more resilient than other non-food categories during periods of uncertainty, and we expect the sector to remain one of the stronger areas of retail in 2026, providing a comparatively optimistic outlook for THG. This was echoed by THG CEO Matthew Moulding, who reiterated that he believes THG is entering Q2 on a stronger base.
“THG Beauty’s momentum has continued to build, with growth accelerating slightly from H2 FY2025 (+5.8% in Q1 FY2026 versus +5.4% in H2 FY2025). Ongoing improvements at Lookfantastic, such as a refresh of the brand’s visual identity and upgrades to “The Box” monthly subscription service, bolstered its performance. In the UK, THG Beauty orders increased by 7%, along with a growth in the active customer base over the past twelve months. This suggests that the underlying demand, rather than a temporary promotional boost, drove this positive outcome. K-Beauty was a standout category, with revenue more than doubling year-on-year, aided by the launch of six new brands. However, with competitors such as Superdrug and Boots also increasing their focus on K-Beauty, THG will need to leverage its ability to respond quickly to fast-growing consumer trends to sustain growth in the Beauty division.
“THG Nutrition delivered 8.8% revenue growth in Q1 FY2026, driven by growth across online and offline channels. The division’s continued expansion into higher-margin categories, such as activewear, creatine, hydration and collagen, combined with pricing and product optimisation, helped to mitigate the impact of elevated whey costs. Licensed products were another contributor, with impressive sales growth supported by the expansion of the Müller range and a partnership with Jimmy’s Iced Coffee. THG Nutrition has also broadened its distribution through the launch of Greencore food-to-go lines, including protein-enriched salads and wraps, available at Sainsbury’s supermarkets and convenience stores. This strengthens THG’s presence in high-footfall retail formats and supports diversification beyond core supplement lines.”
