UK's THG forecasts 2026 core profit above market view on nutrition demand, shares rise

Oct 15 (Reuters) - British e-commerce platform THG THG.L forecast on Thursday that its adjusted core profit for fiscal year 2026 would beat market expectations, driven by strong demand for its sports nutrition and supplements brand and favourable whey protein prices.

• THG expects 2026 adjusted core profit to be at £103 million ($136.44 million), above company-compiled analyst consensus of £101.7 million

• Shares of the company rose as much as 10% in early trading

• The company reported revenue growth of 1.5% to £408.8 million for the third quarter ended September 30, while the nutrition business grew 5.3% to £152.4 million

• Prices of whey declined through September and early October, the company said, amid supply increases and growing product substitution

• THG said that whey requirements for the fourth quarter have been secured at more favourable pricing than the third and first quarter of 2027; coverage is now being secured below prevailing market rates

• THG said it continues to progress initiatives to mitigate the impact of EU duty and tariff changes, and expects them to be implemented in the second quarter of FY2027

• “Alongside disciplined working capital management, we remain on track to deliver our first year of positive free cash flow since IPO," said CEO Matthew Moulding

($1 = 0.7549 pound)