The Tate & Lyle Board is recommending a 0.3p or 2.5% increase in the final dividend to 13.1p (2022 - 12.8p) per share. In the previous year, the final dividend was re-based to reflect the Primient transaction and the associated share consolidation, while the interim dividend was paid at a higher rate (before re-basing). Reflecting this the full year dividend of 18.5p per share is lower than the prior year amount of 21.8p (18.1p rebased for reduced earnings base following the Primient transaction and impact of the share consolidation). Subject to shareholder approval, the proposed final dividend will be due and payable on 2 August 2023 to all shareholders on the Register of Members on 23 June 2023. In addition to the cash dividend option, shareholders will continue to be offered a Dividend Reinvestment Plan (DRIP) alternative.
Other financial highlights include:
Revenue growth +18%: +19% in Food & Beverage Solutions (FBS)
Adjusted EBITDA +22%: inflation offset by mix management, pricing, productivity savings and cost discipline
Adjusted profit before tax +13%: strong FBS performance and materially lower profits from Primient
Return on capital employed of 17.5%, improved by 100 bps
Free cash flow £119m, £47m higher reflecting strong cash conversion
Strong balance sheet supports investment in growth, net debt to EBITDA ratio 0.7x