THG founder Matt Moulding’s mother has leapt to defence of her son’s achievements despite the group’s share price being in nosedive.
Shares tumbled by over 19% yesterday after Citi Bank downgraded its profit guidance for the firm. They are now trading at an 85% discount of their initial flotation price.
Citi revised its profit forecasts for the year down to £164m from £177m as a result of foreign exchange pressures and rising commodity prices.
Reports that Moulding’s mother also contacted The Sunday Times journalist Oliver Shah to criticise the media over their negativity towards her son.
“Matt Moulding’s mum emailed me last week (really),” Shah wrote in his column.
“The Hut Group’s matriarch wanted to know why writers were not more appreciative of her son’s “outstanding” achievements. “You must lead very dreary lives in your dead-end jobs,” she remarked.”
The news comes after another tough week for the company in which it said that its 2021 profit margins would be squeezed beyond initial estimates and that THG sales would disappoint in early 2022 compared to last year.
THG has had a turbulent few months after its £4.5 billion floatation on the London Stock Exchange, which has seen its share price tumble and investor confidence crumble.