5th Apr 2019 09:43
LONDON (Alliance News) - Treatt PLC on Friday said it continued to perform well in the recently ended first half of its financial year as it guided for revenue increase.
The company manufactures flavouring and fragrance ingredients.
For the six months ended March, Treatt expects revenue up 7%, driven by a good performance in the fruit & vegetables, tea and sugar reduction categories.
"The growth in the period was particularly pleasing against a market backdrop of price weakness in some key raw materials for our largest product category, citrus, which we expect to continue into the second half of the current financial year," Treatt said.
In March, Treatt completed a USD14 million expansion of its US facility, as part of its strategy of investing in its scientific capabilities.
In the UK, the company expects construction of a GBP35 million relocation project to commence this summer.
Looking ahead, the company believes that both pretax profit and exceptional items will be in line with its expectations.
"We are encouraged by our order book which is comfortably up compared with the same time in the prior year, notwithstanding the weakness in some key citrus raw material input prices," it added.
Treatt will publish its half-year results on May 7.
Treatt shares were trading up 2.1% at 396.30 pence each.
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