Treatt Plc · LSE:TET
Treatt — H1 2025 Earnings Presentation
25 slides from Treatt's earnings presentation, May 2025
Slide 1: For the period ended 31 March 2025
For the period ended 31 March 2025 Chief Executive Officer Chief Financial Officer Making the world taste better. For good
Slide 2: H1 2025 highlights
decline to £64.2m and £3.6m driven by lower citrus and slow US consumer demand of £0.9m, and share buyback announced getting closer to customer and broadening into premium categories revised guidance confirmed Making the world taste better. For good 2
Slide 3: Citrus prices and North America demand impact volumes
Sustained high citrus prices leading to lower citrus value-add volumes Slowness is North America end consumer demand impacting premium volumes Ongoing challenging market conditions and geopolitical uncertainty H124 Value-added North America H125 Citrus volumes demand 3 Making the world taste better.
Slide 4: H2 sales visibility: confirmed orders, repeat customer volumes, pipeline
• Repeat volumes from top 40 customers • Recurring spot from smaller customers • Forecasted from historical trends and current indicators • North America sugar reduction opportunities • North America coffee pipeline • Global citrus opportunities • China heritage opportunities • North America synthet
Slide 5: Financial Review
FINANCIAL REVIEW uo TREATT
Slide 6: Financial results summary
Revenue Gross profit Gross profit margin Administrative expenses(1) impacted by high Adjusted Operating profit (1) citrus prices affecting buying patterns, and slower US consumer demand impacting premium sales Adjusted Operating profit margin(1) Net finance costs Adjusted profit before tax (1) refle
Slide 7: Sales performance by product and region
• Synthetic Aroma performing well • Exciting sugar reduction win • China and Treattzest sales ahead • Sustained high citrus prices affecting • Slowness in US consumer demand • Focus on building coffee pipeline buying patterns impacting premium volumes Making the world taste better. For good 7
Slide 8: Margins, cost efficiencies and share buyback
over the last twelve months Improved again despite high raw material prices £5m announced and progressing well Making the world taste better. For good 8
Slide 9: H2 outlook and sales target
H2 Sales target £82m H2 sales and margin Reflects higher H2 Sales Normalised capex, focus on delivery is key to deliver weighting innovation capex H2 85% visibility (50% PBTE range coverage & 35% recurring Anticipate higher margin Strategic inventory with key spot) Self-help measures actioned Premiu
Slide 10: Key Performance Drivers
KEY PERFORMANCE DRIVERS uo TREATT
Slide 11: Revenue growth, margin growth, innovation and differentiation
Revenue Growth Margin Growth Innovation & Differentiation Making the world taste better. For good 11
Slide 12: Increase in customer visits and new website
New website • Increase in • customer visits • • Making the world taste better. For good 12
Slide 13: Making the world taste better. For good
• • • • • • • Making the world taste better. For good 13
Slide 14: Increase in samples delivered within 48 hours
• Increase in Samples delivered within • 48 hours • • Making the world taste better. For good 14
Slide 15: Outlook and summary
challenging due to US & citrus market conditions, however some encouraging customer wins in the period sales has 85% visibility (50% coverage, 35% recurring spot), sales team focused on customer engagement to drive performance acceleration of strategic initiatives underpinning medium term confidence
Slide 16: Thank you
u TREATT THANK YOU
Slide 17: Forward looking statements disclaimer
This presentation contains forward looking statements which are made based on the information available at the time of its publication. It is believed that the expectations reflected in these statements are reasonable, but they may be affected by risks and uncertainties that are inherent in any forw
Slide 18: Appendix
APPENDIX
Slide 19: Half-year financial changes
-10.9% -290BPS -52.1% -530BPS 0.0% 19 Making the world taste better. For good
Slide 20: Revenue by half-year 2013-2025
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 H1 H2 Making the world taste better. For good 20
Slide 21: Profit before tax history
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1 Excluding exceptional items 2 Treatt compiled consensus of four analyst forecasts for FY22 profit before tax and exceptional items Making the world taste better. For good 21
Slide 22: Operating profit history
2013 2023 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 H1 H2 Making the world taste better. For good 22
Slide 23: Earnings per share history
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 H1 H2 1 2018 – 2020 EPS is shown from continuing activities Making the world taste better. For good 23
Slide 24: Balance sheet
Fixed assets Inventories Receivables holding strategic stocks for key Payables customers and the appropriate stock levels to Working capital service demand Taxation announced of 2.60p consistent with Net cash/(debt) H124 Pension asset Other net liabilities disciplines remain Shareholder funds Making
Slide 25: Cash flow
Operating cash flow (Increase)/Decrease in inventories (Increase)/Decrease in receivables Increase in payables Cash generated from operations Contributions to pension scheme Normalised Taxation reclaim/(paid) capex, focus on innovation capex Net cash from operating activities Purchase of property, p