THG (formerly The Hut Group) has rarely been out of the global beauty industry news over the past year because of its rapid expansion, aggressive acquisition policy and record-breaking IPO in London.
The UK-based company, which is Europe’s largest online retailer of premium beauty, has hit the headlines again with its latest Q4 results. A very bullish 51 per cent increase over the same period in 2019 to 628.2 million euros (AUD$986.6 million)
Full year revenues for 2020 reached 1.8 billion euros (AUD$2.82 billion), with the beauty and health division contributing 843.6 million euros (AUD$1.32 billion) to the overall bottom line.
THG has been a clear winner in the massive growth of the global online beauty and health market, which increased 40.4 per cent in 2020 to 124.4 billion euros (AUD$195.3 billion).
The e-commerce retailer attracted 3.5 million new customers in the three months to December 31, taking its total of new users to 10.7 million for the year.
On the back of these outstanding results, THG has raised its earning guidance for 2021 from 20 to 25 per cent growth to 30 to 35 per cent.
In addition to owning a clutch of brands from Nicholas Perricone MD to ESPA and Illamasqua and websites such as Lookfantastic and RY.com.au, Australia’s largest skincare and haircare online store, THG signed agreements with leading brands such as Elemis, PZ Cussons Beauty and Burt’s Bees last June to expand their online presence.
Other recent milestones include an agreement with Galderma, the maker of Benzac, to launch its Acnecide DTC website in the UK. Creed, the prestige French fragrance brand has also linked with THG to accelerate its digital presence in Europe and the Middle East.
Last week, esprit reported that THG has acquired Dermstore.com, the leading skincare e-commerce website in the US, from discount retailer Target for US$350 million.