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The boy child can rant and rave all he likes but the fault lies closer to home. If he stopped discounting the product for non existent customer loyalty, and stopped bleeding the company with Ingenuity charges THG would be profitable and you’d be amazed how forgiving the market can be when you’re lacking an actual profit. There’s no mystery to it really.

They should be afraid. APN management v THG management would be a mismatch in boxing terms. Chalk and cheese.

Moulding is going nowhere I’m afraid. He’s too pig headed and currently holds all the cards. Our mute and invisible chairman is less than useless.

*demand and supply SHOULD work

The mystery for me is why the process seems to be so asymmetric - I get why the price falls when the shorters sell their borrowed stock but why doesn’t the price similarly rise when the time comes for them to buy the stock back to close out their position. Demand and supply short work both ways and the price move accordingly. Probably just as well i don’t short I guess.

I’m not entirely convinced that a whey price reduction will be the answer to our prayers. Surely in a competitive market a reduction in the price of an input cost will also tend to reduce the market price of the end product. Matt seems to have put his faith in long term customer loyalty bought through squeezing our own short/medium term profitability. Does such brand loyalty really exist for a product that Matt himself has admitted is a commodity or will customers simply pocket the current discounts and move on when competitor pricing comes down in response to falling whey prices.

To be fair B1nky you did call it right.

@Pearls. There were no extra shares. If you took up your Ingenuity allocation you swapped THG shares for Ingenuity shares and hence ended up with fewer THG shares. If you didn’t take any Ingenuity shares then you just kept all of the THG shares you already had (but with the overall reduction in the number of THG shares you now own a higher percentage of the company).

It’s also very disappointing that none of the analysts wanted to ask about the two elephants in the room - namely the clear Ingenuity conflict of interest, and the terrible profitability contrast between THG Nutrition and APN. Both completely obvious questions to ask.

@rich60 wasn’t Ingenuity given a cash dowry at the separation (£100m??). Could that account for the cash reduction.

The Company’s credibility isn’t enhanced by childish presentational tricks where overall revenue growth of 6.7% ( versus top end guidance of 5.9%) is trumpeted as being 14% ahead, whereas in the next breath Nutrition growth of 9.2% (versus top end guidance of 12%) is described as broadly in line with guidance - by the same measure used to trumpet the overall revenue numbers the nutrition outturn is some 23% less than the top end guidance. There’s no need for such tricks as they are so easily seen through.

As I said recently, 2026 really does need to see revenue growth translated into profits. APN are facing the same whey price headwinds as THG nutrition but are delivering impressive profits. Moulding’s position is that THG has sacrificed short term profitability to keep pricing competitive but at some point we need to see the results of this strategy flowing through. Similarly he conceded that the in store sales in the likes of Sainsbury’s are not currently delivering profits as they have chosen to sacrifice profits in the short term to get their foot in the door. I just hope that these calls turn out to be the right ones.

@Stanley I’m afraid you know as well as I do that contacting investor Relations is a waste of time. Although to be fair to the Chairman (not often I can say that) he did force Investor Relations to reply to my email a few months back when I wrote to him to complain about their failure to respond. Their reply was of course rubbish though!

This company doesn’t actually make a profit in 2026. I’m not talking positive cash flow or EBITDA, I mean an actual profit from selling products ya know profitably.

The thing successful companies do. Now that THG is a standalone retailer selling pretty straightforward products there really is nowhere for the management to hide.

I see from Companies House that The Hut.com (aka Ingenuity) allotted 44million additional shares between March and May 2025 (21m at 46pence and 23m at 8.2pence). I understood that the Shareholder Agreement contained pre-emption rights for existing shareholders but I certainly received no such notification. Did anyone else receive a notification or can shed any light on this share allotment?

Decent £25m immediate profit for MM on the conversion. Gets shares at 32pence which now have a market value of 45 pence. Cher ching. Delighted for him 🤔

@craftyinvestor For what it’s worth I have a mind of my own thank you very much. I have no connection to anyone on here. I took up my allocation in Ingenuity because I judged that it was grossly undervalued at the split from THG and I was protecting my investment. Your comment about me being peeved if they do really well is rather silly. I want them to do well by diversifying their customer base so that they are less reliant on THG. But I also want THG to be treated fairly by paying truly commercial rates for Ingenuity services. Is that really so hard to understand. I look forward to one of the bright analysts having the courage to ask THG about the obvious conflict of interest and the stark comparison in profitability between THG and APN. One company is able to make profits and the other isn’t. If anything I would expect THG to be more profitable than APN as they are largely a direct to consumer business whereas APN have to share a large proportion of the selling price of their product with the bricks and mortar retailers that they sell through. I’m simply offering my opinion but if none of this resonates with you then that’s fine and we can agree to differ.

@craftyinvestor how the hell can I provide evidence when the company deliberately keeps their arrangements with Ingenuity so opaque. But we can compare the gross and net profit margins from APN and this tells us that costs at THG are way too high. It doesn’t take a brain surgeon to work out the likely cause of the problem. Even you can’t believe that the monumental conflict of interest between THG and Ingenuity is either normal or acceptable. By the way I took my full entitlement of shares in Ingenuity (despite having to take them out of my ISA and thereby suffer future CGT on any profits …nice!). So it could be argued I stand to benefit from THG overpaying Ingenuity but I have more scruples than to accept such a disgraceful situation.

@Shandy you’re precisely right. The overhead costs are simply too high and there’s a lack of transparency over where the money is spent, although the strong suspicion is that we are overpaying for the services received from Ingenuity. I refuse to believe that the contract with Ingenuity is on genuinely commercial terms. THG is the golden goose for Ingenuity.

Slight correction - it was 23m shares at 8.2pence and 21m shares at 46pence