THG reports profit surge as whey prices tumble

THG's latest trading update shows modest revenue growth and higher earnings after securing low‑cost raw‑material contracts.

By Felo News Desk · Published Thu, 15 Oct 2026 15:30:29 GMT

THG, the owner of Myprotein, said its profits are "exceeding expectations" following a decline in whey protein prices, according to its trading update covering the three months to 30 September.

What happened

The group reported a 0.9% year‑on‑year increase in total revenue to £408.8 million for the quarter ending 30 September. Revenue at THG Nutrition, the company's nutrition arm, rose 3.7% year‑on‑year to £152.4 million. THG Beauty’s revenue slipped 0.7% to £256.4 million.

What the reports add

Both Independent and Standard noted that the profit boost is driven by a continued fall in whey protein prices through September and early October, after a period of cost pressure from strong demand and limited supply.
The outlets highlighted that THG has locked in long‑term contracts for raw materials such as creatine, amino acids, milk proteins, collagen and vegan proteins at historically low prices, a move the company says will curb inflationary risk through the end of the year and into 2027.
THG’s partnership portfolio was expanded during the quarter with new deals involving Krispy Kreme, Caffè Nero and Iceland.
The third‑quarter launch of Myprotein Rewards in the UK introduced a points‑based scheme to spur repeat purchases and deepen customer engagement.
THG Beauty’s loyalty programmes now exceed 3.9 million members, and its LookFantastic Fragrance advent calendar sold out in a single day.
Shares surged 16.3% to 32p, their highest level in a month.

What was said

“Following a particularly strong first half of 2026, I’m pleased to report that our momentum has continued through Q3, with profitability exceeding our expectations,” THG chief executive Matthew Moulding told the Independent.

“This has enabled us to upgrade our full‑year adjusted EBITDA expectation to £103 million, ahead of market consensus,” he added.

“Q4 is traditionally our busiest and most cash‑generative quarter, and we enter this important trading period with confidence. With strong operational momentum, improving profitability and continued strategic progress across both divisions, we expect to deliver an acceleration in group revenue in Q4,” Moulding said, as reported by Standard.

How it came about

After a robust first half of 2026, THG leveraged falling whey prices and secured low‑cost raw‑material contracts to boost margins. The company then broadened its brand collaborations—adding Krispy Kreme, Caffè Nero and Iceland—to extend Myprotein’s reach both domestically and internationally. Concurrently, the launch of the Myprotein Rewards programme aimed to lock in customer loyalty ahead of the traditionally strong fourth quarter, while THG Beauty prepared for the festive season with advent‑related product launches and an expanding loyalty base.

Key facts

THG's revenue grew 0.9% year‑on‑year to £408.8 million in Q3 2026. (independent.co.uk)
THG Nutrition revenue increased 3.7% year‑on‑year to £152.4 million. (independent.co.uk)
Full‑year EBITDA was adjusted to £103 million. (independent.co.uk)
THG secured long‑term contracts for key raw materials at historically low prices. (independent.co.uk)
New partnerships announced with Krispy Kreme, Caffè Nero and Iceland. (independent.co.uk)