The company, in a trading update for the three months ended June 30, reported a drop in quarterly product volumes.
Food and beverages dropped 2%, though revenue growth was reported at 1% as it brought in £232mln with the help of positive price and mix management. Sucralose similarly fell 2% in volume and 1% in revenue, which totalled £39mln. The primary product volumes were down 12% and revenue fell 9%, to £420mln.
“We are encouraged by the improvement in demand we saw in June and the continued strategic progress we are making, with new product revenue growing 9% in the quarter,” said chief executive Nick Hampton.
“Our new business pipeline is healthy, we continue to find creative ways to use technology to support and connect with our customers, and all our manufacturing facilities remain fully operational.
He added: “The fundamentals of our business are sound. Demand for ingredients and solutions which enable consumers to enjoy healthier and tastier food and drink is strong, and we have the portfolio of products and technical expertise to help our customers deliver on these trends.”
Tate & Lyle shares gained 16p or 2.45% each to trade at 668.6p.
Published at Thu, 23 Jul 2020 09:24:00 +0000-Tate & Lyle encouraged by June’s improved demand