Strong annual profits growth for Bury St Edmunds-based ingredients group Treatt
PUBLISHED: 13:26 28 November 2017 | UPDATED: 13:26 28 November 2017
Flavour and fragrance ingredients group Treatt has reported a 46% jump in profits for a year in which it achieved its strategic financial goals for 2020 three years early.
Bury St Edmunds-based Treatt, which has focused its drive for growth on innovative citrus, tea and sugar reduction solutions, said revenue in the year to September 30 rose by 24.5% compared with the previous 12 months to £109.627m.
Operating profit grew by 44.6% to £13.805m and pre-tax profit increased by 45.7%, adjusted for exceptional items the previous year to £12.892m.
Chief executive Daemmon Reeve said: “Treatt has enjoyed a very strong year with material wins in important growth categories. Once gain the team have performed with exceptional skill and determination to deliver a set of results which mark another year of sustainable profitable growth.
“With our new five-year strategy now in place, colleagues across the Treatt group are approaching the new financial year with passion and determination.”
Treat, which is a member of the EADT/EDP Top 100 listing on the 100 largest companies in Suffolk and Norfolk, said that the past year had seen a number of new business wins with global fast-moving consumer goods customers.
And it said that plans to relocate its UK operation from Northern Way, Bury, to a new purpose-built facility on the Suffolk Business Park, on the edge of the town, were progressing well, with detailed planning consent expected early in the New Year.
“Once the tendering process has taken place, work is expected to commence on the build of the new site in summer 2018 with completion in late 2019,” it said.
The group also announced that it has raised £21.6m through the placing of 5.265m shares with new and existing institutional investors to help fund its UK relocation and an acceleration of expansion plans in the US.
The group is extending its manufacturing facility in Lakeland, Florida, with work already in progress and due for completion in late 2018.
Treatt added that it had made “an encouraging start to the new financial”, with both UK and US operations performing in line with expectations and order books up compared with the same time last year.