Tate & Lyle Q3 Trading Statement - February 2024

Headlines

• Resilient performance and continued good strategic progress
• EBITDA guidance for year ending 31 March 2024 unchanged
• Revenue 4% lower, mainly due to softer demand and phasing of orders into the fourth quarter
• 2024 calendar year customer contracts expected to deliver a return to volume growth

Nick Hampton, Chief Executive said:

“Tate & Lyle delivered resilient performance in challenging market conditions.

In Food & Beverage Solutions, volume and revenue were lower than the comparative period. This was due to a combination of softer consumer demand and customer de-stocking, reduced inflation pass through, and some customers phasing orders into the fourth quarter when new calendar year contracts, which included the pass through of input cost deflation, came into effect. Sucralose delivered an improved performance.

The renewal of customer contracts for the 2024 calendar year is expected to deliver a sequential improvement in volume growth as the year progresses. Reflecting this, and the phasing of some customer orders from December, we saw good volume growth in January.

Customers continue to recognise the benefits of our solutions capabilities across sweetening, mouthfeel and fortification, and we remain committed to our strategy of increasing investment in both solution selling and innovation. New Products from our innovation pipeline grew strongly, delivering double-digit revenue growth on a like-for-like basis in the first three quarters of the financial year.

The strategic repositioning of Tate & Lyle to focus on speciality food ingredients, and the investments we have made to strengthen our ingredient portfolio and solutions expertise, have positioned us well to benefit from the long-term trends towards healthier, tastier and more sustainable food and drink.”

Outlook

For the year ending 31 March 2024, in constant currency, we expect to deliver:

• Revenue slightly lower than the prior year.
• EBITDA growth unchanged at 7% to 9%.

We continue to expect stronger profits from our minority holding in Primient.

END

The third quarter conference call will be held today at 8.00am GMT hosted by Nick Hampton, Chief Executive and Dawn Allen, Chief Financial Officer. Participants are requested to dial in at least 10 minutes before the start of the call. Dial in details are as follows:

UK dial in number: +44 (0)33 0551 0200
UK toll free number: 0808 109 0700
US dial in number: +1 786 697 3501
US toll free number: +1 866 580 3963
Password: Tate & Lyle

14 day conference call replay:
UK replay number: +44 (0)20 8196 1480
US toll free replay number: +1 866 583 1035
Access pin: 7930706#

For more information contact Tate & Lyle PLC:
Christopher Marsh, VP, Investor Relations
Mobile: +44 (0) 7796 192 688

Nick Hasell (FTI Consulting), Media Relations
Mobile: +44 (0)7825 523 383