Current trading
Q1 2021 edible collagen volumes increased 4.6% compared to the prior year driven by continued good underlying momentum and execution of our growth initiatives. Emerging markets were up 15% led by strong growth in China, South East Asia and Latin America. Mature markets were flat on the prior year, an improvement on the trends seen in 2020. Japan and North America both delivered strong growth but this was offset by lower demand in the UK & Ireland which had benefitted from elevated retail volumes in March 2020 as the pandemic took hold.
Financial position
The Group delivered strong cashflows during Q1, ending the quarter with comparable levels of leverage to 2020 year-end, including the dividend payment made in January 2021.
The Group repaid the US$25 million private placement due on the 19 April 2021 using a combination of available cash resources and RCF drawings. Post this repayment the Group maintains significant liquidity but with a lower average cost of borrowing.
The Group's remaining debt facilities consist of a committed £105 million Revolving Credit Facility (RCF), which expires in 2023, and US$75 million of private placements expiring April 2024 (US$50 million) and 2026 (US$25 million).
Outlook
We are encouraged by the good volume growth performance in Q1 and, whilst we expect this trend to continue we remain mindful of the uncertainties arising from the ongoing COVID-19 pandemic and likely foreign exchange headwinds. As a result, our expectations for 2021 remain unchanged.