Tate & Lyle Q4 Performance in Line with Expectations
Margins in the EU sugar operations have remained consistent with those achieved in the third quarter, and, as anticipated, Sucralose has continued to deliver volume growth at lower average selling prices.
31 Mar 2010 --- Tate & Lyle PLC has said in a trading update that underlying trading in the final quarter of the 2010 financial year has been consistent with expectations outlined in the Interim Management Statement of 28 January 2010. However, currency movements, in particular the stronger US dollar, will benefit reported performance in the final quarter.
Performance at the company’s Ingredients businesses in the Americas and Europe during the final quarter of the 2010 financial year has been in line with expectations. Margins in the EU sugar operations have remained consistent with those achieved in the third quarter, and, as anticipated, Sucralose has continued to deliver volume growth at lower average selling prices.
The company reported continued focus on strengthening the Group’s balance sheet through operational efficiencies and optimising both working capital and capital expenditure. “We expect underlying cash inflows in the quarter to offset the translation impact of the significantly stronger US dollar and therefore anticipate that reported net debt at 31 March 2010 will be broadly similar to the £864 million reported at 31 December 2009,” the company said in a statement.
