Tech investment pays off for The Hut Group
Online retailer The Hut Group says that strategic investments, to develop its technology, infrastructure, brands and people, delivered “exceptional global growth” last year.
Group sales were up 24% to £916 million for the year ended 31st December 2018. International sales constituted 66% of that. Gross profit, meanwhile, increased by 31% to £417 million.
There was £98 million of capital investment during 2018 across technology infrastructure projects, including manufacturing, logistics and offices. £82 million went towards acquisitions to enhance The Hut Group’s proprietary e-commerce platform, THG Ingenuity, and support greater international sales growth. Acquisitions included Language Connect, a language translation and localisation services company.
The retailer’s platform now operates across 31 languages and 39 currencies, is supported by 37 payment options, delivering to 169 countries with over 30 final mile couriers. It enhanced its global fulfilment network last year, including the design and build of a freehold warehouse and manufacturing facility in Wroclaw, Poland. 2019 will see the addition of smaller, capital light, fulfilment centres in Asia, Australasia and India, as well as two additional locations in the USA.