LONDON (Alliance News) - PureCircle Ltd Monday said revenue for the full year is set to be considerably higher as it experienced growth in all geographical regions as more markets push sweetener and sugar substitute stevia.
In a pre-close statement ahead of its full-year results, the provider of natural sweeteners to the food and beverage industry said revenue will be no less than USD127 million in the year ended June 30, substantially higher than the GBP101 million made in the last financial year.
Net profit for the year is expected to rise by 73% to around USD4 million from the USD2.3 million made in the last financial year, whilst earnings before interest, tax, depreciation and amortisation will rise by 16% to around USD25 million from USD22.9 million.
PureCircle is expecting net debt to be around USD53 million, down from USD80 million and cash and funding headroom will be around USD82 million, higher than the USD66 million at the end of the last financial year.
"In the 2015 financial year, there has been growth in sales across all geographic regions driven by accelerating market adoption of stevia, enabled by our range of proprietary ingredients and customizable ingredient combinations," said PureCircle.
"PureCircle continues to lead the growth of this market and our project pipeline gives us confidence that future sales growth at these rates is sustainable," it added.
However, the company said revenue would have been around USD15 million higher at constant currency rates, but some sales were adversely impacted by the weakening of local currencies against the dollar, specifically the Mexican peso and the euro. Foreign exchange has also hit the company's gross margin, it said.
Purecircle shares were down 4.4% to 388.20 pence per share on Monday morning.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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