15 APRIL 2021

STRICTLY PRIVILEGED & CONFIDENTIAL

Preliminary FY 20 Results

Q1 21 Trading Update

Agenda

Preliminary FY 20 Results

  • FY 2020 Highlights
  • Group Financial Review
  • Divisional Review
  • THG (eco)
  • Q1 21 Trading Statement
  • Strategic Priorities - 2021 and Beyond

Presented by:

  • Matthew Moulding (Executive Chairman and CEO)
  • John Gallemore (Group CFO and CEO, THG Ingenuity)
  • Rachel Horsefield (CEO, THG Beauty)
  • Lucy Gorman (CEO, THG Nutrition)
  • Hannah Pym (MD, THG Ingenuity)
  • Adam Knappy (Chief Marketing Officer)
  • Steven Whitehead (Group Commercial Director)

FY 2020 Highlights

Record Financial Performance

  • £1.61bn revenue (+41.5% YOY)

o

Beauty

£751.6m

(+57.1%)

o

Nutrition

£562.3m

(+36.2%)

o

Ingenuity (excl commerce) £118.0m

(-2.1%)

o

Ingenuity Commerce

£19.3m

(+160.4%)

o

OnDemand

£101.3m

(+69.1%)

  • Strong growth across all business units and regions
  • 61.4% international sales mix

• Adjusted EBITDA of £151m, +35.2% YOY, and £153m excluding furlough costs

  • Robust operating cash generation of £177m (117.4% of adjusted EBITDA)
  • Largest Initial Public Offering in the UK in 2020, raising proceeds of c.£920m

£283m Net Cash

117.4%

Operating

Cash

Conversion

£1.61bn

Revenue

61.4%

International

Sales

45.2% Gross Margin

£151m

Adjusted

EBITDA

3

*Gross profit and gross margin is stated before the impact of depreciation and amortisation

**Adjusted EBITDA is defined as operating profit before depreciation, amortisation and adjusted items, and after £2.6m of self-funded furlough costs

Note: Above numbers subject to rounding

2020 Operational and Strategic Highlights

Investing for Growth

  • Significant investment in fulfilment and manufacturing capacity across UK, Europe, US and Asia
  • £365m invested in strategic acquisitions, including Dermstore in February 2021
  • Record levels of new customers acquired in the year
  • Launch of THG (eco), with sustainable business practice at the core of our trading divisions and Ingenuity offering
  • £10m committed to support the North West region, UK and international markets as a response to Covid-19
  • >3,000 roles created in the year

>3,000

New Roles

Created

2 x NED &

£365m

4 x SPAD

Invested In

Appointments

M&A

Opened 5

10.7m New

Warehouse &

Fulfilment

Customers

Centres

Platform

Expansion To

>19,000

Influencers

4

Group Overview

B E A U T Y

Digital Strategic

  • Global industry depth
  • Premium categories
  • Subscription boxes
  • Established brand owner

N U T R I T I O N

Global Wellness Brand Family

  • Myprotein world's leading D2C sports nutrition brand
  • Growth category focus
  • Breadth of range
  • BRC AA Grade manufacturer, driving innovation and proprietary formulations

O N D E M A N D

Personalisation Platform

  • Licensing
  • Print-on-demand
  • Customisation
  • Global entertainment brands

I N G E N U I T Y

Global D2C Platform

  • End-to-endoffering across global markets
  • App / Influencer / Translation / Personalisation
  • Brand build and product development
  • Strong Commerce pipeline

5

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THG Holdings plc published this content on 15 April 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 15 April 2021 06:14:05 UTC.