In line with our usual practice, Tate & Lyle PLC issues the following update for the year ending 31 March 2012 ahead of the announcement of the full year results on 31 May 2012.
The Group has delivered a solid performance during the final quarter in line with our expectations, which consolidates a good performance for the full financial year.
FULL YEAR OPERATING PERFORMANCE – CONTINUING OPERATIONS
In Speciality Food Ingredients, we have achieved good sales value growth with volume growth across all major product categories. As previously announced, profits are going to be weighted towards the first half as a result of SPLENDA® Sucralose volume growth reverting to more normal levels and the costs associated with restarting our McIntosh facility in the second half.
Within Bulk Ingredients, sweetener volumes have remained strong with isoglucose margins improving in Europe during the second half on the back of higher sugar prices. During the year we have also benefited from firmer industrial starch margins in Europe despite market conditions having started to soften recently against the backdrop of a more challenging macro-economic environment.
After an exceptionally strong first half, income from co-products has reverted to more normal levels during the second half.
RESTART OF MCINTOSH FACILITY
We are pleased to announce that production at our SPLENDA® Sucralose facility in McIntosh, Alabama has recently restarted ahead of schedule and that the first customer orders have started to be fulfilled from this facility.
As discussed in the half year results and again in the Interim Management Statement in February, working capital demands on the business have been increased by our decision to keep our US corn silos full in response to the anticipated tight supply situation running up to the next harvest. As a result, net debt at 31 March 2012 will be somewhat higher than that reported at the end of last year.
A conference call will be held today at 8.00am BST, hosted by Javed Ahmed, Chief Executive and Tim Lodge, Chief Financial Officer. Participants are requested to dial in at least 5 minutes before the commencement of the call. Dial in details are as follows:
Participant dial in number: +44 (0) 1452 555 566 (UK freephone 0800 694 0257)
Conference ID: 64548311
Replay dial in number: +44 (0) 1452 55 00 00 (UK freephone 0800 953 1533)
Replay passcode: 64548311#
A replay of this call will be available from two hours after the end of the live call until 12 April 2012.
For more information contact Tate & Lyle PLC:
Mathew Wootton, Group VP, Investor and Media Relations
Tel: +44 (0) 20 7257 2110 or Mobile: +44 (0) 7500 100 320
Andrew Lorenz (FTI Consulting), Media Relations
Tel: +44 (0) 20 7269 7113 or Mobile: +44 (0) 7775 641 807