Donate to Remove ads

Got a credit card? use our Credit Card & Finance Calculators

Thanks to johnstevens77,Bhoddhisatva,scotia,Anonymous,Cornytiv34, for Donating to support the site

Tate & Lyle Finals

For discussion of the practicalities of setting up and operating income-portfolios which follow the HYP Group Guidelines. READ Guidelines before posting
Forum rules
Tight HYP discussions only please - OT please discuss in strategies
idpickering
The full Lemon
Posts: 11276
Joined: November 4th, 2016, 5:04 pm
Has thanked: 2468 times
Been thanked: 5763 times

Tate & Lyle Finals

#415452

Postby idpickering » May 27th, 2021, 7:29 am

Financial highlights

· Food & Beverage Solutions profit2 +12% to £177m; +3% volume and +6% revenue

· Sucralose profit2 -9% to £55m reflecting pricing pressure and higher production costs

· Primary Products profit2 +5% to £158m with Sweeteners and Starches -13%, Commodities +98%

· Group adjusted profit before tax +6%

· Adjusted diluted EPS +12%, benefitting from lower effective tax rate of 14.3% (2020: 17.9%)

· Group statutory diluted EPS +3% after exceptional costs to explore separating businesses and for productivity

· Adjusted free cash flow +£3m higher at £250m

· Net debt £34m lower at £417m; Net Debt to EBITDA ratio 0.8x

· Strong return on capital employed of 17.2%, a 30bps decrease due to the short-term impact of acquisitions

· Final dividend increased by 5.8% to 22.0p, making a full year dividend of 30.8p, up 4.1%

Emerging stronger from the pandemic

· Purpose-led response to pandemic ensuring colleagues and communities supported and customers served

· Broadening product portfolio, investing in innovation and strengthening technical capabilities

· Pandemic accelerating trends for healthier food and drink; supporting growth in new business and innovation

And later;

Dividend

The Board recognises the importance of dividends to shareholders and operates a progressive dividend policy. Due to the uncertainty caused by the Covid-19 pandemic, the Board decided not to increase either the final dividend for the 2020 financial year or the interim dividend for the 2021 financial year. Given this year's robust performance, the Board is recommending a 1.2p or 5.8% increase in the final dividend to 22.0p (2020 - 20.8p) per share, bringing the full year dividend to 30.8p per share (2020 - 29.6p), an increase of 4.1%. This increase brings dividends back to a level consistent with the Board's progressive dividend policy, notwithstanding the pandemic.

The final dividend is subject to approval by shareholders at the AGM on 29 July 2021. Subject to shareholder approval, the final dividend will be due and payable on 6 August 2021 to all shareholders on the Register of Members on 25 June 2021. In addition to the cash dividend option, shareholders will continue to be offered a Dividend Reinvestment Plan alternative.


https://www.investegate.co.uk/tate---38 ... 00029575Z/

absolutezero
Lemon Quarter
Posts: 1505
Joined: November 17th, 2016, 8:17 pm
Has thanked: 542 times
Been thanked: 653 times

Re: Tate & Lyle Finals

#415544

Postby absolutezero » May 27th, 2021, 11:51 am

Decent set of results.
Price down 5%. Bonkers.

idpickering
The full Lemon
Posts: 11276
Joined: November 4th, 2016, 5:04 pm
Has thanked: 2468 times
Been thanked: 5763 times

Re: Tate & Lyle Finals

#415588

Postby idpickering » May 27th, 2021, 2:08 pm

absolutezero wrote:Decent set of results.
Price down 5%. Bonkers.


Agreed.

Ian.

idpickering
The full Lemon
Posts: 11276
Joined: November 4th, 2016, 5:04 pm
Has thanked: 2468 times
Been thanked: 5763 times

Re: Tate & Lyle Finals

#415622

Postby idpickering » May 27th, 2021, 5:50 pm

idpickering wrote:
absolutezero wrote:Decent set of results.
Price down 5%. Bonkers.


Agreed.

Ian.


I should add that I topped up my TATE holdings last year, and have, what I term, a’full’ holding. That is, that it is of average capital value weighting in my 25 share HYP. I’m not intending to buy more TATE any time soon, despite todays’ drop in sp. I’m happy to hold, and shall continue to do so.

Ian.

moorfield
Lemon Quarter
Posts: 3523
Joined: November 7th, 2016, 1:56 pm
Has thanked: 1546 times
Been thanked: 1402 times

Re: Tate & Lyle Finals

#415626

Postby moorfield » May 27th, 2021, 6:13 pm

absolutezero wrote:Decent set of results.
Price down 5%Yield up. Bonkers.Not Bonkers!



Lost count the number of times I've fixed that for people , remember where we are ... ;)

Gengulphus
Lemon Quarter
Posts: 4255
Joined: November 4th, 2016, 1:17 am
Been thanked: 2628 times

Re: Tate & Lyle Finals

#415632

Postby Gengulphus » May 27th, 2021, 6:45 pm

moorfield wrote:
absolutezero wrote:Decent set of results.
Price down 5% and yield up. Bonkers for those who already hold and aren't considering increasing their holding (though in a way that's only of secondary importance). Not Bonkers for those who are considering buying!

Lost count the number of times I've fixed that for people , remember where we are ... ;)

Fixed that for you...

Gengulphus

absolutezero
Lemon Quarter
Posts: 1505
Joined: November 17th, 2016, 8:17 pm
Has thanked: 542 times
Been thanked: 653 times

Re: Tate & Lyle Finals

#415644

Postby absolutezero » May 27th, 2021, 7:53 pm

Gengulphus wrote:
moorfield wrote:
absolutezero wrote:Decent set of results.
Price down 5% and yield up. Bonkers for those who already hold and aren't considering increasing their holding (though in a way that's only of secondary importance). Not Bonkers for those who are considering buying!

Lost count the number of times I've fixed that for people , remember where we are ... ;)

Fixed that for you...

Gengulphus

Quite.
Moorfield didn't fix anything.
I'm not really bothered where we are. My portfolio value is lower than it was before these good results and I'm not looking to buy more of this share at the moment. (SSE next time)
We are now poorer but folk round here don't want to believe that.

kempiejon
Lemon Quarter
Posts: 3488
Joined: November 5th, 2016, 10:30 am
Has thanked: 1 time
Been thanked: 1145 times

Re: Tate & Lyle Finals

#415652

Postby kempiejon » May 27th, 2021, 8:18 pm

idpickering wrote:
absolutezero wrote:Decent set of results.
Price down 5%. Bonkers.


Agreed.

Ian.


Thinking short term share prices movement logical - bonkers.

csearle
Lemon Quarter
Posts: 4764
Joined: November 4th, 2016, 2:24 pm
Has thanked: 4812 times
Been thanked: 2083 times

Re: Tate & Lyle Finals

#415716

Postby csearle » May 28th, 2021, 1:45 am

absolutezero wrote:Bonkers.
What gets me is how, when I read these pithy overviews of a company's results, I get it wrong almost every time. In my head I think the share price must have shot up, only it has tumbled; or vice versa. It is uncanny. I am useless at it. I would be really good if I just religiously predicted the opposite of what I reasoned. C.

absolutezero
Lemon Quarter
Posts: 1505
Joined: November 17th, 2016, 8:17 pm
Has thanked: 542 times
Been thanked: 653 times

Re: Tate & Lyle Finals

#415822

Postby absolutezero » May 28th, 2021, 1:02 pm

csearle wrote:
absolutezero wrote:Bonkers.
What gets me is how, when I read these pithy overviews of a company's results, I get it wrong almost every time. In my head I think the share price must have shot up, only it has tumbled; or vice versa. It is uncanny. I am useless at it. I would be really good if I just religiously predicted the opposite of what I reasoned. C.

I've often thought that myself.
Someone usually trots out the defence of "the results were good but did not meet analyst expectations so the price fell".

Surely that means the analysts are crap at their jobs then. Maybe their price should fall instead.

Gengulphus
Lemon Quarter
Posts: 4255
Joined: November 4th, 2016, 1:17 am
Been thanked: 2628 times

Re: Tate & Lyle Finals

#415885

Postby Gengulphus » May 28th, 2021, 4:20 pm

absolutezero wrote:
csearle wrote:
absolutezero wrote:Bonkers.
What gets me is how, when I read these pithy overviews of a company's results, I get it wrong almost every time. In my head I think the share price must have shot up, only it has tumbled; or vice versa. It is uncanny. I am useless at it. I would be really good if I just religiously predicted the opposite of what I reasoned. C.

I've often thought that myself.
Someone usually trots out the defence of "the results were good but did not meet analyst expectations so the price fell".

Surely that means the analysts are crap at their jobs then. Maybe their price should fall instead.

That's pretty much what did happen to an analyst called Derek Terrington about 30 years ago!

https://www.irishtimes.com/business/wor ... -1.3844626

Gengulphus

TheMotorcycleBoy
Lemon Quarter
Posts: 3245
Joined: March 7th, 2018, 8:14 pm
Has thanked: 2222 times
Been thanked: 587 times

Re: Tate & Lyle Finals

#416244

Postby TheMotorcycleBoy » May 30th, 2021, 3:39 pm

csearle wrote:
absolutezero wrote:Bonkers.
What gets me is how, when I read these pithy overviews of a company's results, I get it wrong almost every time. In my head I think the share price must have shot up, only it has tumbled; or vice versa. It is uncanny. I am useless at it. I would be really good if I just religiously predicted the opposite of what I reasoned. C.

Hi Chris,

This is why I believe they dropped. I spotted these sentences in the RNS:

Sucralose profit2 -9% to £55m reflecting pricing pressure and higher production costs

OUTLOOK FOR YEAR ENDING 31 MARCH 2022

· Sucralose to see further modest pricing pressure


I've not seen AR2021 out yet, but from segmental analysis of AR2020,

Image

we observe that the sucralose is their largest margin BU by far, and we also consider that they are considering flogging their PP BU. But I imagine shaky performance of the sweeteners precipated the descent, combined with the fact that they have negative earnings growth from the period 2014-2020.

Matt

PS apologies for the bad scan
Last edited by tjh290633 on May 30th, 2021, 4:47 pm, edited 1 time in total.
Reason: OP Request


Return to “HYP Practical (See Group Guidelines)”

Who is online

Users browsing this forum: Salvelinus and 24 guests