Tate + Lyle: Announces Full Year Results

London / UK. (tl) Tate + Lyle PLC, a leading global provider of speciality food ingredients and solutions, announced the following statement for the year ended 31 March 2016. Chief Executive Javed Ahmed: «This has been a year of solid financial performance and strong project delivery. Both business divisions delivered margin expansion and we completed the major structural change initiatives needed to further strengthen the business and drive higher quality earnings. We also made progress against the 2020 Ambition we outlined in November 2015. Turning to the outlook for the 2017 financial year, subject to currency movements, we are confident the Group will continue to make progress in line with our plan and towards our 2020 Ambition».

Key Headlines

Group performed solidly with adjusted profit before tax up 5 percent (1 percent in constant currency), in line with expectations

Major structural change initiatives successfully executed, significantly strengthening the business

Eaststarch joint venture re-aligned to increase speciality focus and reduce exposure to regulated markets

«Splenda» Sucralose restructured and repositioned as a more focused, low cost and sustainable business

Capacity expansion projects for Speciality Food Ingredients completed as planned

Stronger supply chain performance as operational disciplines continue to strengthen

Early progress against each element of 2020 Ambition

Financial Highlights

Speciality Food Ingredients margin expansion, with adjusted operating profit up 10 percent (5 percent in constant currency)

New Products6 sales increased by 34 percent in constant currency

Bulk Ingredients adjusted operating profit up 1 percent (3 percent lower in constant currency) with strong core business profit growth offsetting significant Commodities weakness

Balance sheet strengthened with net debt reduced by 121 million GBP to 434 million GBP

Return on capital employed down to 11.3 percent (90 bps) reflecting Eaststarch re-alignment and capital expenditure

Adjusted diluted earnings per share up 2.5p (8 percent) at 34.5 GBPence

Final dividend proposed at 19.8 GBPence, making an unchanged total dividend of 28.0 GBPence, as previously indicated