Tate & Lyle reports double digit growth for food and beverage solutions

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Tate & Lyle has reported a 6% rise in its adjusted pre-tax profits for the year ended March 2021, duelled by double-digit growth in food and beverage solutions.

The food and beverage division saw a 12% rise in profit during the period to £177 million, and a 6% increase in revenue.

Sucralose profit was down 9% at £55m reflecting pricing pressure and higher production costs, the company said, while sweeteners and starches fell 13%.

Primary products saw a profit increase of 5% to £158m and commodities was up 98%, according to the results.

The company has proposed a final dividend increase of 5.8% to 22p, making a full year dividend of 30.8p - an increase of 4.1% overall.

Nick Hampton, Tate & Lyle CEO, said: 'Both businesses performed well, with the impact of the pandemic starting to ease through the second half. Food & Beverage Solutions delivered another year of strong top-line growth and double-digit profit growth.

'The pandemic is accelerating consumer demand for healthier food and drink and with its leading capabilities in sweetening, mouthfeel and fortification, Food & Beverage Solutions is well-placed to capitalise on this trend. Primary Products delivered resilient performance with profit higher despite a significant reduction in out-of-home consumption in North America. This reflects a record year of profits from Commodities as well as a focus on customer service, operational performance and rigorous cost discipline.'