Lookfantastic owner THG has reported a bumper year in 2025, driven by its beauty division.
The consumer-focused group, which also owns beauty retailers Dermstore and Cult Beauty, delivered adjusted revenue of £1.71bn in FY25, a 2.3% increase on last year.
This was driven by a record half-year performance, with a marked acceleration in THG Beauty, which saw “robust momentum” in the UK and US markets.
For companies working on next-generation beauty solutions, the Cosmetics Business Innovation Awards provide an industry-wide platform to showcase and explain meaningful innovation. Entries open now!
"Today’s results reflect the strength of our business models and the exceptional execution by the team,” said Matthew Moulding, CEO of THG.
“I am pleased with how we have continued to transform THG during 2025, returning to consistent growth against a challenging macroeconomic backdrop through disciplined investment in our brands and an unwavering focus on our customers worldwide.”
Adjusted EBITDA was reported at £76.6m, ahead of company guidance.
Moulding added: “THG Beauty has been a standout performer, which was especially pleasing after a slower start to the year.
“Lookfantastic led the charge in the UK, delivering outstanding growth and becoming the number one UK beauty retailer on TikTok Shop.
“We also celebrated our biggest-ever year for new brand and exclusive product launches, keeping our proposition fresh through newness and product discovery.”
THG also reported a strong start to its 2026 financial year, with free-cash flow generation expected to be in the range of £25m to £50m.
Group FY 2026 revenue and adjusted EBITDA expectations for 2026 also remain unchanged, and are anticipated to reach £1.78bn and £101.4m respectively. THG’s Beauty division has also seen growth this year, with a significant improvement in the US market, according to the brand owner.
Moulding continued: “The refinancing of the group’s balance sheet in the year was especially pleasing, resulting in significant deleveraging, ahead of any settment of our £78m claim with HMRC.
“We enter 2026 on the front foot with strong trading momentum and a focus on material free cash flow delivery.”
The FY2025 update follows Lookfantastic's opening of its second physical store in Bristol, UK, as the beauty retailer ramps up its bricks-and-mortar presence in the North to compete with the likes of Sephora, Boots, and Space NK.
Related content:
- Lookfantastic’s ‘exceptional’ growth boosts Q4 revenue for owner THG
- Exclusive: Lookfantastic’s second-ever physical store is coming to this UK city
- Exclusive: Lookfantastic to open first physical store
- Exclusive: Lookfantastic’s CEO on the retailer’s first UK store
- Lookfantastic’s ‘exceptional’ growth boosts Q4 revenue for owner THG