The Hut Group Continues to Deliver Strong Growth & Agrees a New 3 Year Banking Facility
The Hut Group, one of Europe’s fastest growing online retailers, today reports on continued strong trading for the first three months of 2012.
- Group revenue* has grown 71%, with growth achieved across each division.
- Since acquisition in May 2011, Myprotein.com has increased revenue growth from 45% to 87% in Q1 2012.
- The Group delivered strong organic growth within the Prestige and Consumer divisions.
- The Group’s Prestige division, including lookfantastic.com, consolidated its market leading position with revenue growth across both its female and male Health and Beauty sites.
- HQ Hair and Mankind delivered revenue growth of 30% in 2012.
- Within the Consumer Division, Zavvi delivered 33% Entertainment revenue growth, outperforming a declining Entertainment market.
*(excluding discontinued 3rd party website sales)
- Since 2010, the Group has been delivering a strategy of diversifying its category and customer mix and consequently, generating more profitable revenue growth.
- In line with this strategy, the Group:
- completed its withdrawal in 2011 from White Label operations, which accounted for 40% of Group revenues in 2009;
- has substantially diversified sales into new high margin categories, reducing reliance on Entertainment revenues from 100% of Group revenues in 2009 to 35% in 2012; and
- has withdrawn from the Music and Books categories in early 2012.
- Over the past two years sales have trebled whilst the Group has implemented this strategy.
- The Group has invested significantly to increase the efficiency and scale of its UK warehouse operations, increasing from 110,000 sq. ft. to 315,000 sq. ft.
- The Group is launching Myvitamins.com in Q3 2012, to broaden the Lifestyle Division’s product offering and to reach a broader demographic.
- In May 2012, the Group renewed and extended its banking facilities with Barclays.
- Angus Monro, Chairman, commented: “The business consistently delivers market leading revenue and earnings growth period after period. Matt Moulding and John Gallemore have built a team which has developed the sector’s leading proprietary technology platform, grown UK and international customers to in excess of 6 million and which is delivering growth across each of its categories. The Group’s business model is very well positioned as it continues to reduce the mix of Entertainment by growing higher margin category sales, particularly against the backdrop of a challenging High Street environment and the continuing sales channel shift online.”
Notes to Editors:
About The Hut Group
Founded in 2004 and based in Northwich Cheshire, The Hut Group is an online retailer focused on fast moving consumer goods including health and beauty; sports nutrition; gifting; clothing; handbags; footwear; and entertainment.
The Hut Group retails direct to consumers through its own websites across 4 divisions:
- Consumer Division including TheHut.com, Zavvi.com, Iwantoneofthose.com, Allsole.com and MyBag.com.
- Lifestyle Division including Myprotein.com and Myvitamins.com (launching in Q3 2012).
- Prestige Division including Lookfantastic.com, Mankind.co.uk and HQHair.com.
- Technology Services providing contractual ecommerce technology services to 3rd parties.
In 2009, The Hut Group was ranked no.1 in the ‘Sunday Times Tech Track 100 of the UK’s fastest growing companies’ and ranked the 3rd fastest growing digital company in Europe at the ‘GP Bullhound Media Momentum Awards’ in May 2010.
For further information, please visit www.thehutgroup.com
Please find below a list of websites owned by The Hut Group. For more information please visit their websites.