Tate & Lyle PLC released a trading statement covering the nine months ended December 31, 2025, saying third quarter operating outcomes were in line with expectations and broadly consistent with the companys performance earlier in the year.
For the three months to December 31, 2025, reported group revenue increased 15% both on a reported basis and in constant currency. That uplift reflects the consolidation of CP Kelco following the completion of the combination on November 15, 2024. However, when adjusted to a pro forma basis and presented in constant currency, revenue declined 2% as the company continued to face muted market demand.
Regionally, the nine-month picture showed differing dynamics. On a pro forma basis for the period, Americas revenue was down 2% versus the prior period; modestly higher pricing was more than offset by lower volumes. In Europe, Middle East and Africa, the group recorded a 5% revenue decline on pro forma comparisons, driven by lower pricing. Asia Pacific was the only region to register a pro forma increase, with revenue up 1%, driven by higher volume.
Chief Executive Nick Hampton said the business made good progress during the quarter against the measures the company set out in November to stimulate top-line growth and strengthen overall performance. Management continued to deploy targeted investments in capabilities and technology, with the stated aim of enhancing the companys customer proposition. The trading statement indicated continued momentum in customer engagement across the combined portfolio following the CP Kelco combination.
The statement highlighted that the value of cross-selling opportunities in the new business pipeline rose significantly in the third quarter. Integration activity for CP Kelco is progressing, with both run-rate cost synergies and revenue synergies tracking in line with management expectations. Tate & Lyle also said its five-year productivity programme, targeted at delivering $200 million of savings, remains on course and generated further savings in the quarter.
Management said renewal activity for customer framework agreements covering the 2026 calendar year is well advanced. Hampton reiterated that the group has been selective in choosing to invest to drive volume and revenue growth and described that approach as the right one for the business.
On a nine-month reported basis, group revenue reached 3,506 million. Regionally, reported revenue for the Americas was 3,749 million, an 18% increase; Europe, Middle East and Africa was 3,475 million, up 27% on a reported basis; and Asia Pacific revenue amounted to 3,282 million, up 79% on a reported basis. These reported increases reflect the timing and impact of the CP Kelco combination.
The company left its outlook for the 2026 financial year unchanged from the interim results statement released on November 6, 2025. For the financial year ending March 31, 2026, Tate & Lyle expects that, on a constant-currency basis and versus pro forma comparatives, both revenue and EBITDA will decline by low-single-digit percentages compared with the prior year.
Context for commercial and supply-chain stakeholders
From a commercial perspective, the quarter illustrates a split between reported growth driven by acquisition accounting and underlying pro forma trends that reflect ongoing softness in demand. Managements emphasis on selective investment and capability upgrades signals a focus on restoring volume growth while pursuing cost and revenue synergies from the integration.
What management is tracking
- Progress on CP Kelco integration - cost and revenue synergies are tracking to plan.
- Execution of the $200 million, five-year productivity programme with further savings achieved in the quarter.
- Renewal of customer framework agreements for 2026, which are well advanced.