THG has cut its profit outlook amid high whey costs affecting its nutrition business, which includes MyProtein.
The company, which also owns beauty retailers Cult Beauty and Lookfantastic, now expects EBITDA (earnings before interest, tax, depreciation and amortisation) to be around £5m less this year, and £1m less in 2026.
For the first half of 2025, adjusted EBITDA was £24m, down from £37.1m in the same period last year, reflecting the impact of “substantially” higher whey prices.
“Whey commodity prices have remained stable at record highs during the last 12 months, with strong global demand matching new supply capacity, leading to market wide nutrition consumer price increases,” THG said in a financial update.
However, it added that nutrition showed double-digit revenue growth across June and July, with growth of between 10% and 12% expected for the rest of the year.
THG will limit My Protein price rises in the second half of the year “to prioritise long-term market share gains and customer loyalty” and boost growth.
On the beauty side of the business, THG said the second half “has also started well” with an improved revenue growth rate.
The update came as it announced the sale of Claremont Ingredients for £103m, marking a “significant return on investment”
THG Nutrition bought the Newcastle-based food and beverage flavour producer for £52m in late 2020 to boost Myprotein’s flavour capabilities.
Matthew Moulding, THG’s CEO, said: “Claremont has been a huge success, building Myprotein's global licensing franchise from a standing start to partnering with category leading brands in just a few years.
“After receiving a highly competitive offer, the timing was right to realise that value.
“The level of interest we received is a testament to the quality of the business.
“This disposal highlights the significant value embedded across THG's portfolio.
“Finally, the decisions we are taking as a business to support our customers and grow Myprotein's market share aligns clearly with our wider strategy to streamline the group and focus on our core strengths, while maintaining a strong balance sheet.”
At the end of June, THG reported that trading in the second quarter of 2025 has been “much improved” across both beauty and nutrition.