Tate & Lyle plc (TATE) Q3 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning and welcome to the conference call for Tate & Lyle's Q3 trading statement. Your speakers today are Nick Hampton, Chief Executive, and Sarah Carlyle, Chief Financial Officer. I will now hand you over to Nick Hampton for some opening remarks. Thank you, Operator. Good morning, everyone, and welcome to Tate & Lyle's third quarter conference call. I will make some introductory comments, and then Sarah and I will be happy to take your questions. The group delivered another quarter of solid operating performance, with volume and EBITDA growth. We also saw strong productivity and cash delivery. In November, we completed the acquisition of CP Calco, a leading global pexin and speciality gum business. This acquisition represents a significant acceleration in the delivery of agro-focused strategies. It establishes Tate & Lyle as a leader in mouthfeel, a critical driver of customer solutions, and we are encouraged by the positive response of customers to the benefits of our expanded portfolio and solutions capabilities. Looking in more detail at our performance in the quarter, volume in food and beverage solutions was 4% higher, with growth in each region. Revenue was 4% lower, primarily reflecting the pass-through of input cost deflation. Sucralose performed strongly, benefiting from the continued impact of the pull forward of customer orders, which we expect will partly unwind in the fourth quarter. CP Calco performed well and in line with our expectations, delivering strong volume growth in the 2024 calendar year and delivering the anticipated progress on the phased margin recovery we outlined at the time of the acquisition. The integration of the two businesses is progressing well. and we will operate as one business from the 1st of April. Our progress since we...