7th Nov 2013 08:47
LONDON (Alliance News) - Tate & Lyle PLC. (TATE.L, TATYY.PK), a maker of sweeteners and starches, reported that Profit before for the six-month ended 30th September 2013 declined to 158 million pounds from 168 million pounds in the prior year.
Profit for the period attributable to owners of the company for the period fell to 130 million pounds from the previous year's 163 million pounds, with earnings per share declining to 27.6 pence from last year's 34.5 pence.
Statutory earnings per share on continuing operations decreased 7% to 27.6 pence from 29.6 pence in the prior year.
Adjusted earnings per share on continuing operations slipped to 29.9 pence from 30.5 pence in the previous year.
Javed Ahmed, Chief Executive, said,"While our overall results were held back by a soft beverage season in the US which affected both divisions, the business performed solidly in the first half with good sales growth in Speciality Food Ingredients supported by particularly strong volume growth in emerging markets."
Sales from continuing operations increased to 1.737 billion pounds from last year's 1.631 billion pounds.
The Board has approved an interim dividend of 7.8 pence, an increase of 5.4% on the prior year's 7.4 pence. This will be paid on 3 January 2014 to shareholders on the register on 22 November 2013.
In Speciality Food Ingredients, the company expects to deliver growth in volumes, sales and profits across all regions for year ending 31 March 2014.
Within Bulk Ingredients, in North America the company expects solid demand for liquid sweeteners and stable demand for our other products. In Europe, lower corn prices are expected to more than offset the impact of lower sugar prices on isoglucose margins. Consequently, it anticipates this division delivering a stronger performance during the second half than the same period last year, and full year profits to be more evenly distributed between the first and second half.
The company noted that its profits remain sensitive to fluctuations in foreign currency particularly the US dollar to sterling exchange rate. In addition, as usual, the outcome of the calendar year sweetener pricing rounds will influence performance in the final quarter of the financial year.
The company said overall, it expects to deliver another year of profitable growth.
Copyright RTT News/dpa-AFX
Related Shares:
Tate & Lyle