Treatt Plc - Final Year Results

 

TREATT PLC

("Treatt", the "Company" or the "Group")

FULL YEAR RESULTS FOR THE YEAR ENDED 30 SEPTEMBER 2019

Profit before tax and exceptional items* up 5.2% despite citrus and foreign exchange headwinds

Treatt plc, the manufacturer and supplier of innovative ingredient solutions for the flavour, fragrance, beverage and consumer product industries, announces today its results for the year ended 30 September 2019.

FINANCIAL HIGHLIGHTS*:

 

Financial
year ended
30 September 2019

Financial
year ended
30 September 2018

Change

Revenue

£112.7m

£112.2m

+0.5%

Gross profit

£28.7m

£27.8m

+3.2%

Gross profit margin

25.4%

24.7%

+70 bps

Profit before tax and exceptional items

£13.3m

£12.6m

+5.2%

Adjusted basic earnings per share

17.82p

18.02p

(1.1)%

Dividend per share

5.50p

5.10p

+7.8%


Cash generated from operations increased to £20.5m (2018: £3.6m), driven by improved working capital.

OPERATIONAL HIGHLIGHTS*:

  • Delivering good progress against 2022 strategy.
  • 81% of Group revenue from natural and clean-label products
  • Diversification of portfolio progressing well.
  • Citrus revenue down 10%, substantial fall in raw material prices
  • Revenue growth of 16% in non-citrus categories
  • US facility investment completed, capacity on stream from 2020.
  • UK relocation build underway.

Note:
* All measures are based on continuing operations.

Commenting on the results, CEO Daemmon Reeve said:

"I am pleased to report that the Group delivered solid results for the year. The strength of our strategy shone through strongly as we increased our profitability in the face of citrus market headwinds. To have decoupled our financial performance from external market factors which were once a dominant feature of Treatt's financial performance augers well for our future."

"We are driving ahead with confidence and whilst it is still early in the new financial year, the Group continues to perform in line with the Board's expectations for the year ending 30 September 2020."