Tate & Lyle, the global ingredients group, this morning reported it was on target to meet its profit expectations for the full year.
Unveiling an interim management statement, the London-listed company said it had achieved steady sales growth within its Speciality Food Ingredients division, but volumes were lower than those achieved in the first half.
In its Bulk Ingredients division, Tate & Lyle said it had benefited from higher sugar prices in Europe – which enabled it to increase liquid sweetener margins, despite higher corn prices.
Net debt at 31 December 2011 was £340m, but the group expected this to rise to somewhere higher than the £464m at its year-end last year. It blamed this on tightened corn supply, current corn prices and exchange rates.
Commenting on its results in a statement, the company said: “The group has performed well during the first nine months of the financial year. While we recognise the wider uncertainties in the global economy, we remain on track to deliver a good performance for the full financial year.”
Tate & Lyle unveils its full year results on 31 March 2012.