Tate & Lyle said trading was in line with expectations in the third quarter of its financial year ended 31 December, with its Food & Beverage Solutions unit seeing 19% year-on-year revenue growth.
The company added that it expects stronger performance from continuing operations and kept its outlook for the full financial year, ending 31 March 2022, unchanged.
Nick Hampton, chief executive, commented, “We enter 2022 in a strong position. Our new business pipeline in Food & Beverage Solutions is healthy and in both our businesses we have renewed 2022 calendar year customer contracts that offset inflation.
“In addition, the transaction we announced last year to create two focused businesses is progressing well and we remain on track for completion at the end of March.”
The good performance of the Food & Beverage Solutions unit was driven by higher volume, price mix, benefit from acquisitions, and strong growth from new products.
North America and Europe both delivered double-digit revenue growth as a result of good commercial performance and mix management.
Revenue growth accelerated strongly in the quarter, boosted by robust growth in China, South-East Asia and Mexico, the company noted
The company’s sucralose business reported 8% growth in revenue driven by good customer mix and demand.
‘Significant Opportunities Ahead’
Hampton stated, “With Tate & Lyle re-positioned as a growth-focused, global food and beverage solutions business serving faster growing markets, we see significant opportunities ahead.
“Consumer demand for healthier food and drink is accelerating globally and with our leading expertise in sweetening, mouthfeel and fortification, the new Tate & Lyle is well-positioned to capture this growth.”