Last checked at 7 Feb 2019 07:00
7 February 2019 – Tate & Lyle PLC
TRADING STATEMENT
Tate & Lyle issues the following trading statement for the three months ended 31 December 2018.
Group adjusted profit before tax in constant currency in the quarter was ahead of the comparative period. Our outlook for the year ending 31 March 2019 remains unchanged.
Food & Beverage Solutions
Food & Beverage Solutions performed well with volume growth in line with the first half. Volume growth in North America and Asia Pacific and Latin America showed continued momentum. In Europe, Middle East and Africa, we continued to focus on mix improvement. Adjusted operating profit in the quarter was higher than the comparative period.
Sucralose
Volume was higher benefitting from a programme to optimise production at our facility in McIntosh, Alabama, and adjusted operating profit was slightly ahead of the comparative period.
Primary Products
During the quarter, we saw weaker demand in North American sweeteners leading to lower volume and adjusted operating profit was lower than the comparative period. The 2019 calendar year bulk sweetener pricing round is nearing completion with margins broadly in line with the prior year.
Guidance
Our guidance for the year ending 31 March 2019, remains for growth in earnings per share1 in constant currency to be in a mid-single digit range, albeit towards the lower end due to energy and transport cost inflation in North America and a year of strong Commodities performance in fiscal 2018.
1 adjusted diluted earnings per share for continuing operations
END
A conference call will be held today at 08.00am GMT, hosted by Nick Hampton, Chief Executive and Imran Nawaz, Chief Financial Officer. Participants are requested to dial in at least 10 minutes before the commencement of the call. Dial in details are as follows:
Standard International Access: +44 (0) 20 3003 2666Password: Tate & Lyle
A replay of this call will be available after the end of the live call for 14 days until 21 February 2019.
UK replay number: 0208 196 1998Replay access PIN: 3329588
For more information contact Tate & Lyle PLC:
Christopher Marsh, VP, Investor RelationsTel: +44 (0) 20 7257 2110 or Mobile: +44 (0) 7796 192 688
Andrew Lorenz (FTI Consulting), Media RelationsTel: +44 (0) 203 727 1323 or Mobile: +44 (0) 7775 641 807
About Tate & Lyle:
Tate & Lyle is a global provider of solutions and ingredients for food, beverage and industrial markets.
Tate & Lyle operates through two global divisions, Food & Beverage Solutions and Primary Products, supported by the Innovation and Commercial Development and Global Operations teams. Food & Beverage Solutions is focused on growth by building leading positions globally in the categories of beverages, dairy, and soups, sauces and dressings. Primary Products is focused on delivering steady earnings and generating cash.
Food & Beverage Solutions consists of: Texturants, including speciality starches; Sweeteners, including low- and no-calorie sweeteners; and a Health and Wellness portfolio comprising mainly speciality fibres; and Stabilisers and Functional Systems, which are bespoke ingredient blends that ensure foods retain their structure.
Primary Products consists of high-volume sweeteners, industrial starches and fermentation products (primarily acidulants). It also sells co-products from the corn milling process as animal nutrition.
Tate & Lyle is listed on the London Stock Exchange under the symbol TATE.L. American Depositary Receipts trade under TATYY. In the year to 31 March 2018, Tate & Lyle sales totalled £2.7 billion. For more information, please visit http://www.tateandlyle.com.
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