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Strange isn’t it, that the person with the most to gain from a professional CEO running Remainco, is, well Moulding.

Never mind the nutrition numbers. nutrition was built on discounts and with the highly competitive market now Nutrition also needs to do what every other player is doing and go for those high margins. That the future of nutrition.

“Sales for show, margin for dough”.

EBITDA in line with expectations at 9% of sales. For Remainco that’s c£150m. On a EBITDA valuation alone this share is worth 180-280.

Debt interest well covered and high available cash.

Beauty doing really well and nutrition in a highly competitive market making its growth through margin which has strong potential.

The average PE valuation range is 20-25. If last year’s EBITDA of £133m valued the business at the lower end of that range, then the SP would have been £2.

However, with Ingenuity, write downs and iffy growth in nutrition confidence and value have been lost.

The demerger has addressed the Ingenuity problem. Tomorrow we need the spurious write downs addressed going forward and even modest growth to be visible in both divisions.

Then a clear valuation can be reached.

There are other issues that would help but I’ll leave it here for now.

Qube are coming to the end of the road. But of course they will continue with the FUD to get out as cheaply as possible. If Q4 is decent, they’ll increase FUD to try n suppress price to exit before Year End results.

This is THG big moment for a re launch and once again to attract the interest of all investors. If they can’t do it now, then when?

It’s right they will just be doing ‘Remainco’ THG because that’s what we are now.

We are not just looking for positive nutrition and beauty numbers this thur but also a hint at year end. A hint of what this business will be, growing, slimmed down and without the investment black hole of ingenuity sucking everything out. And, ingenuity was the reason the group could not be accurately valued.

EBITDA last year for these two divisions was £133m. I think we’ll see more this year and a decent forecast for 2025.

The company will get noticed again and investors will follow.

I do hope they are paying you from when you log on Steve.

Chairman has nearly 3m shares. He must think it’s going to come right.

The delay is to be expected.

Seperation of the business means correct allocation of everything to each new business.

Allocation of demerger costs.

And, importantly, making right 2025 forecasts.

This is much more than the usual Q4 update.

Need to move on from this question. Worrying about losing Ingenuity is like a one legged man with only his left leg worrying because he’d lost his right shoe, simply because he’d paid for it. Ingenuity has been a ball and chain on THG.

What I’ll be looking for in the results. Is that I am seeing only THG results now for the 4th qtr and then full year. I’ll be looking at all functional costs and how they have reduced since the demerger. Especially, labor and how far away they all are from what one should expect from a well run business, eg distribution. Then there are the key metrics of margin and EBITDA.

Further, at year end, it will be full year 25 forecasts that will determine SP growth.

Protein Works, recently featured in CityAM, has a pre tax profit of 17.35%. It will be interesting where our forecast is for 25 and the major reasons for being below this number. (I just assume we will be lower).

The higher the EBITDA the better debt interest cover and debt ceases to be an issue.

By the way, if we hit 17.35% on sales of 1.8bn, assuming a PE of 16, the SP would be 378.

I’m pretty sure that in most guidelines on corporate governance, someone should not be a ‘legal’ director of two businesses where there is a conflict of interest.

In light of this MM needs to relinquish all BOD positions in one of Ingenuity or THG. I’m surprised the Chairman hasn’t already made this happen.

Given his larger personal stake in Ingenuity I think he should do this in THG.

We are saved I tell ya!

Would you look at that, today’s opening asking price is 74.9 … praise the Lord

The hubris constantly on display. Remember him buying that bloody massive plastic ape while he’s losing money.

THG, Remainco, desperately needs a new BOD. MM and the invisible Chair need to recruit a new CEO and it shouldn’t be anyone they know. The new CEO can do the rest.

This lot just can’t do anything that is advantageous to the shareholders. And, I think MM only thinks of one shareholder, himself.

Whoops…and now with the story from cityam on Protein Works

The Cheshire-headquartered business is on the verge of selling 400 million protein shakes worldwide as it revealed its turnover hit £50.7m in the year to 31 August, 2024.

The latest turnover total for Protein Works comes after the firm reported sales of £42.8m in its prior 12 months.

The company added that it has now achieved double-digit turnover growth for a fifth consecutive year.

Protein Works has also posted a pre-tax profit for the year of £8.8m, up from the £6.4m it reported in the previous period.

Maybe THG BOD should go down the road and ask for a tour to see how it’s really done.

New Cheshire based business hit 50m sales in last year making 8.8m pre tax profit (17.35%).

Does this bode well for THG now stripped of the operating costs and capex of Ingenuity?

The fact that the Steves and other FUDS are on here is proof that THG has potential. If it didn’t they wouldn’t be working so hard to persuade us to sell. As long as they are here, it is your best signal to HOLD.

FTSE 250 down 360 points so far, (1.8%). Not about THG today.

Just been to Sainsbury. My Protein on feature end plus good counter space. New Bars. In chillers Brunch Pots, Mousse, Yogurts, etc. Plus advert on Amazon prime. My Protein now motoring YOY surely.