Transforming Lives through the Science of Food
Annual Report 2025
Tate & Lyle is a speciality food and beverage solutions business - a global leader in sweetening, mouthfeel and fortification.
We create high-value ingredients and solutions that meet growing global consumer demand for healthier, tastier and more sustainable food and drink.
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1
Our purpose: Transforming Lives through the Science of Food.
Today, the demand for more nutritious food and the desire to live healthier lifestyles is greater than ever. As an expert in food and drink reformulation, we work with our customers to reduce sugar, calories and fat in their products, and add fibre and protein, to make people's favourite foods even better.
more about the e behind what w
ages 27 and 28.
more about how solutions for our ers on page 26.
more about how upporting our unities and the ment on pages 48
, and 53 to 63.
Tate & Lyle PLC Annual Report 2025
At Tate & Lyle, everything we do starts with these three things…
S C I E N C E
S O L U T I O N S
S O C I E T Y
CONTENTS
Introduction2 A snapshot of Tate & Lyle
3 Performance highlights
4 Science, Solutions, Society
Strategic report8 Chair's statement
10 Chief Executive's review
Our business
Our strategy
Our markets
The world around us
21 Our platforms
Our core categories
Our solutions
Our scientific capabilities
29 Our supply chain
30 Our business model
32 Our progress
Review of the year
36 Chief Financial Officer's introduction
38 Food & Beverage Solutions
39 CP Kelco
39 Sucralose
39 Primary Products Europe
40 Group financial review
42 Our people
48 Our communities
50 Health and safety
53 Environment
64 Risk report
74 Task Force on Climate-related Financial Disclosures
Learn scienc do on p
Learn
e create custom
we Learn we're s comm environ and 49
80 Disclosure statements
Governance82 Board of Directors
85 Executive Committee
87 Corporate governance
104 Nominations Committee Report
107 | Audit Committee Report |
112 | Directors' Remuneration Report |
135 | Directors' Report |
137 | Directors' statement of |
responsibilities |
139 Independent Auditor's Report to the members of Tate & Lyle PLC
147 Consolidated income statement
148 Consolidated statement of comprehensive income
149 Consolidated statement of financial position
150 Consolidated statement of cash flows
151 Consolidated statement of changes in equity
152 Notes to the consolidated financial statements
201 Parent Company financial statements
Useful information209 Group five-year summary
211 Additional information
214 Information for investors
215 Glossary
216 Definitions/explanatory notes
2
A snapshot of Tate & Lyle
TATE & LYLE
IN NUMBERS 5
4,971
Employees
75
Plants, offices and labs
38
Countries where we have sites
120
Countries in which we serve customers
21
Customer Innovation and Collaboration Centres
9
Research Centres6
At 31 March 2025.
Four of the Research Centres also include Customer Innovation and Collaboration Centres.
OUR MAIN PRODUCTION FACILITIES
Countries where we have sites
Corn wet mills1
Lafayette, Indiana, US
Koog aan de Zaan, the Netherlands
Boleráz, Slovakia
Speciality starches2
Van Buren, Arkansas, US
Houlton, Maine, US
Sucralose
McIntosh, Alabama, US
Fibre
Nantong, Jiangsu, China
Jiangmen, Guangdong, China
Tapioca
Dan Khun Thot, Nakhon
Pectin
Lille Skensved, Denmark4
Großenbrode, Germany
Limeira, São Paulo, Brazil
Matão, São Paulo, Brazil
Speciality gums
Okmulgee, Oklahoma, US
San Diego, California, US
Stevia
Anji, Zhejiang, China
Locust bean gum
Noto, Sicily, Italy
Blending
Six facilities in US, UK, Brazil, South Africa, Italy and Australia
Ratchasima, Thailand3
Wulian, Shandong, China
Corn wet mills produce a range of products including sweeteners, starches and fibres.
Speciality starches include corn, tapioca and potato; these plants do not have grind capacity and are not classified as corn wet mills.
Tate & Lyle has decided to exit this facility, but it remains in operation at the date of this Annual Report.
Liile Skensved also manufactures carrageenan and locust bean gum.
Tate & Lyle PLC Annual Report 2025
3
Performance highlights
FINANCIAL
Group statutory results Alternative performance measures2Revenue1 Adjusted EBITDA3
ENVIRONMENTAL, SOCIAL AND GOVERNANCE
Environmental 5 Social10m
tonnes of sugar removed from
diets through low-/no-calorie sweeteners and fibres8
23%
£1,736m
2024: £1,647m
£381m
2024: £328m
reduction in Scope 1 and 2 absolute energy and industrial greenhouse gas emissions6
61%
electricity purchased for
operations from renewable sources
46%
Profit before tax1 Adjusted diluted earnings per share
£88 50.3
women in leadership and management roles9
m
2024: £201m
p
2024: 49.1p
31%
4.6m
meals donated through food
banks and other charitable partners8
reduction in Scope 3 absolute
2%
increase in water use intensity6
forest, land and agriculture greenhouse gas emissions6
Diluted earnings per share1 Return on capital employed
11.6p
2024: 39.8p
12.8%
2024: 17.4%
42%
Board of Directors are women10
93%
GovernanceNet debt4 Free cash flow
waste beneficially used7
£961m
2024: £153m
£190m
2024: £170m
42%
364,000
acres of sustainable corn
supported7
Executive Committee are
women10
Continuing operations.
Adjusted EBITDA, adjusted diluted earnings per share, return on capital employed (ROCE) and free cash flow are non-GAAP measures, and for continuing operations (for definitions, see Notes 1 and 4).
Adjusted earnings before interest, tax, depreciation and amortisation.
Net debt is not itself defined by IFRS. It comprises line items that are IFRS defined terms. See Note 28.
The environmental data is for Tate & Lyle sites at 31 December 2024, not including CP Kelco. The environmental data for
CP Kelco will be included in next year's Annual Report.
From baseline of year ended 31 December 2019.
In the year ended 31 December 2024.
From baseline of 31 March 2020.
At 31 March 2025. Tate & Lyle only, not including CP Kelco.
At 31 March 2025.
Tate & Lyle PLC Annual Report 2025
4
S C I E N C E
S O L U T I O N S
S O C I E T Y
Meet ALFIE,the name may sound familiar,
but the science is far from it.
ALFIE's not a person, it's our new, cutting-edge Automated Laboratory for
Ingredient Experimentation located in our lab in Singapore.
Through the pioneering use of automated robotics, ALFIE represents a revolution in the delivery of mouthfeel solutions for customers, providing faster and more accurate ingredient design and accelerating speed-to-market for new products.
Read more about our science and technology on pages 27 and 28
Tate & Lyle PLC Annual Report 2025
5
S C I E N C E
S O L U T I O N S
S O C I E T Y
We're mastering the
marvel of mouthfeelMouthfeel is the texture and sensation people experience when they consume food and drink, including how it looks, tastes, sounds and feels in the mouth. With our leading portfolio and cutting-edge science, we help our customers create food and drink with a mouthfeel experience that delights consumers.
Read more about mouthfeel on pages 22 and 23
Tate & Lyle PLC Annual Report 2025
6
S C I E N C E
S O L U T I O N S
S O C I E T Y
All our ingredients come from the natural world, whether it's a leaf of stevia, a kernel of corn, or the peel of a citrus fruit. That's why we work with partners across our supply chain to ensure that, through every decision we take, we strive to create a healthier future for our society and planet.
Read more in our environment report on pages 53 to 63
Partnering to create a
more sustainable futureTate & Lyle PLC Annual Report 2025
STRATEGIC REPORT
IN THIS SECTION
8 Chair's statement
10 Chief Executive's review
Our business
Our strategy
Our markets
The world around us
21 Our platforms
Our core categories
Our solutions
Our scientific capabilities
29 Our supply chain
30 Our business model
32 Our progress
Review of the year
36 Chief Financial Officer's introduction
38 Food & Beverage Solutions
39 CP Kelco
39 Sucralose
39 Primary Products Europe
40 Group financial review
42 Our people
48 Our communities
50 Health and safety
53 Environment
64 Risk report
74 Task Force on Climate-related Financial Disclosures
80 Disclosure statements
Our ampersand, set within a stevia leaf, reflects our commitment to supporting healthy living through plant-based, sugar-reduction solutions.
Tate & Lyle PLC Annual Report 2025
Chair's statement: A year of significant strategic progress
David Hearn reflects on a year of transformation for the company as
it builds a strong foundation for growth.
Tate & Lyle's combination with CP Kelco sets the company up to accelerate the delivery of its strategic ambitions.
This year's acquisition of CP Kelco, alongside the sale of our remaining interest in Primient, marks a significant turning point for Tate & Lyle, transforming the company's ability to deliver its growth-focused strategy.
David Hearn Chair
In the last few years before I joined the Board, Nick and his team did an extraordinary job of guiding Tate & Lyle through a period of exceptional market turbulence. I've been in the food business for a long time and have never seen anything quite like it, with the pandemic, cost-of-living crisis and ongoing geopolitical uncertainty all taking their toll. And yet, the team, supported by the Board, successfully navigated this period while at the same time pursuing their goal of creating a science-led, customer-focused business that is right at the centre of the future of food. Everyone at Tate & Lyle should be proud of that achievement.
Accelerating growthCompleting a major acquisition in the midst of all this may seem counterintuitive. However, the opportunity to do a transformational acquisition with a company that's one of the most admired and high-quality businesses in our industry does not come around very often. From our earliest discussions with the executive team, the Board was clear that this was the right decision strategically, not least because CP Kelco's expertise in mouthfeel means Tate & Lyle now has a leading position in an increasingly important area of the food and beverage industry. In other words, CP Kelco doesn't just complement Tate & Lyle's growth ambitions, it amplifies them.
Growth is the key word here. Navigating external
pressures has been essential, but I know from talking to shareholders that, while they understand the challenges, they want to see the business work quickly to unlock the full value of our combined business.
A unified approachSetting the combined business up to accelerate growth has been a key focus of the Board's time since the transaction was announced. Together, we have worked with, and challenged, the leadership team to ensure the business has the right structure to drive significant value for the benefit of our shareholders, customers and employees. Throughout, the aim has been to create a unified, 'best of both' company, starting with the leadership team, which as Nick explains in more detail in his review, now includes members from both companies.
A key change in the team is the focus on accelerating innovation and solution selling. From his role leading CP Kelco, Didier Viala joins us as Chief Solutions Development Officer to focus on commercialisation, while Tate & Lyle's Victoria Spadaro Grant has a new remit as Chief Science and Innovation Officer to focus on science and innovation.
A smooth integrationThis collective sense of vision and teamwork has been noticeable throughout the entire acquisition and integration process. From our earliest discussions with both CP Kelco and its owner, J.M. Huber Corporation (Huber), it was clear that the potential of joining together with Tate & Lyle was as appealing to the CP Kelco team as it was to ours. As a result, both teams demonstrated real openness in working together, taking a thoughtful approach to integrating the two businesses and creating a new and enhanced organisational structure for Tate & Lyle.
CHAIR' S STATEMENT CONTINUED
A company's culture is a key consideration for any Board in any year, but it is especially important when acquiring a business, since culture can make or break it. So, while the similarities in our markets, customers and products matter, we were pleased to see that the two companies share common attributes that would otherwise take years to embed - namely a strong sense of purpose driven by talented people who are committed to doing work that leaves a positive legacy.
Like Nick, I have been particularly impressed with the care taken to treat everyone - CP Kelco and Tate & Lyle people alike - fairly throughout this period. This has included an objective review of every job at every level of the business to embed our 'best of both' approach, supported by regular, clear communications to help everyone understand what the restructured business means for them. I know from my own experience of guiding companies through acquisitions that, while exciting, they create uncertainty, so I would like to thank everyone for their patience during this time.
Our commitment to our purposeI am not, however, surprised by this commitment to treating people with real consideration, since it is at the heart of Tate & Lyle's purpose of Transforming Lives through the Science of Food - a sense of purpose shared equally by the
CP Kelco team. As I said in my statement last year, Tate & Lyle is a company that genuinely cares about the planet and its people, about doing business in the right way and sticking to its principles. In an increasingly uncertain world, holding firm to these values is more important than ever.
Tate & Lyle's continued commitment to sustainability is another clear demonstration of our principles. Not just because it's the right thing to do, but because it strengthens the resilience of our supply chain in the face of climate-related impacts. For that reason, the Board is pleased to see Tate & Lyle continuing to set a high bar for its environmental and social ambitions, including, in May 2024, setting ambitious new science-based targets for absolute greenhouse gas emissions reductions. Sustainability will remain an important area of focus for the Board in the coming year as we support the executive team in ensuring the combined business retains that sense of ambition while delivering on the growth opportunities ahead.
An evolving BoardThe acquisition of CP Kelco brought two new members to the Board from its former parent company, Huber, now Tate & Lyle's new
long-term shareholder. The Board and I are delighted to welcome Glenn M. Fish and Cláudia Vaz de Lestapis, and are grateful for their valuable contributions, which are already enriching our discussions.
As well as our two new Huber representatives, the Board saw a number of other changes this year, with the retirement of non-executive directors Lars Frederiksen and Sybella Stanley, who both reached the end of their nine-year terms. Sybella stepped down from the Board on 31 December 2024 and Lars will leave the Board after the 2025 AGM in July. Patrícia Corsi also stepped down from the Board from 31 March 2025 due to scheduling conflicts with her executive responsibilities elsewhere. Finally, we said farewell to Dawn Allen, who stepped down as Chief Financial Officer in September 2024 to take on the same role at Haleon plc. On behalf of the Board, I'd like to thank them all for their outstanding contribution to Tate & Lyle, and to extend my personal thanks for their support in my first year as Chair.
Their departure of course means we welcomed new Board members. Sarah Kuijlaars joined as Chief Financial Officer in September 2024 as we were completing the CP Kelco acquisition, and her input was invaluable as we finalised this process. Earlier in the year, we welcomed Jeff Carr, who joined the Board in April 2024 as a non-executive director and then became Chair of the Remuneration Committee in January 2025. We also look forward to welcoming Steve Foots who, subject to his election at the AGM, will join as a non-executive director in July 2025.
DividendTate & Lyle has a strong and consistent track record of paying dividends to shareholders. In the context of our growth-focused strategy, the Board operates a progressive dividend policy.
The Board is recommending a final dividend of 13.4p per share, bringing the total dividend for the year ended 31 March 2025 to 19.8p per share, an increase of 3.7%. This will be paid on 1 August 2025 to shareholders on the Register on 20 June 2025.
19.8 pence per share
Full-year dividend
An exciting future aheadI said in my statement last year that I joined Tate & Lyle at an exciting time for the company. That sense of excitement has only grown in the last 12 months, and I look forward to working alongside my fellow Board members and our
highly capable executive team as we accelerate Tate & Lyle's focus on growth.
David Hearn
Chair
Chief Executive's review: Focused on accelerating growth
Nick Hampton reflects on the year's performance, the combination with CP Kelco and the growth opportunities ahead.
The transformation of Tate & Lyle has positioned us at the centre of the future of food, ready to meet growing demand for healthier, tastier and more sustainable food and drink.
Nick Hampton CChhiieeff EExxeeccuuttiivvee
This has been a landmark year for Tate & Lyle. Our combination with CP Kelco, completed in November 2024, preceded by the sale of our remaining interest in Primient in June 2024, transformed us into a growth-focused speciality food and beverage solutions business. One with leading positions across our three platforms -sweetening, mouthfeel and fortification -supported by strong scientific and solutions expertise. A business with a deep commitment to serving our customers, and to meeting growing consumer demand for healthier, tastier and more sustainable food and drink.
At the same time, the business delivered robust financial results, achieving volume and profit growth despite muted consumer demand. We continued to deliver our growth strategy, including launching new products, technologies and partnerships to deliver ingredients and solutions for our customers more quickly.
We also made progress against our purpose targets, including a significant reduction in greenhouse gas (GHG) emissions in our supply chain from our regenerative agriculture programmes.
That we have achieved so much in one year demonstrates our people's unrelenting focus and passion for what we do, and I would like to thank all of them for their continued support and commitment - to our business, to our purpose and to each other.
1 Pro forma financial information is presented as if CP Kelco was acquired on 1 April 2024, with comparative information as if it was acquired on 1 April 2023.
Robust financial performanceIncluding CP Kelco from the date of acquisition on 15 November 2024, Group revenue was 8% higher and adjusted EBITDA grew by 18%. On
a pro forma basis, which assumes we acquired CP Kelco on 1 April 2024 (with comparative figures similarly adjusted), Group revenue was 3% lower and adjusted EBITDA 5% higher.
Looking at Tate & Lyle's performance excluding CP Kelco, Group revenue was 5% lower reflecting the pass-through of input cost deflation, while adjusted EBITDA grew by 4%. Food & Beverage Solutions delivered EBITDA growth of 2% with revenue 7% lower. Demand for Sucralose remained steady with revenue increasing by 16% and EBITDA up 18%.
Productivity was, once again, excellent with US$50 million savings in the year.
Turning to CP Kelco's performance, on a pro forma basis1 for the full year ended 31 March 2025, revenue was 3% higher and adjusted EBITDA was up 9%. Adjusted EBITDA margin was 100bps higher, ahead of our acquisition plan and reinforcing our confidence in its phased margin recovery.
Bringing it all together and including CP Kelco from its acquisition, Group adjusted profit before tax was 9% higher and adjusted earnings per share were up 4% at 50.3p. On a statutory basis, Group revenue was 5% higher, while
profit before tax on continuing operations was significantly lower at £88 million reflecting higher exceptional costs and costs related to the acquisition.
Free cash flow was also excellent at £190 million, up £20 million, with cash conversion of 82%, well ahead of our target of 75%. Net debt at
31 March 2025 was £961 million, £808 million higher mainly due to the cash cost of the acquisition of CP Kelco. Net debt to EBITDA leverage1 at 2.2 times was better than anticipated at the time of the acquisition.
Organic return on capital employed (ROCE) was 180bps higher, while reported ROCE which included CP Kelco from its acquisition was 460bps lower at 12.8%.
Sale of Primient
As part of our transformation, in 2022, we sold a controlling interest in Primient, our North American commodity business, to KPS Capital Partners (KPS). In May 2024, we agreed to sell our remaining 49.7% interest in Primient to KPS for US$350 million (£277 million). This sale was completed on 27 June 2024. The Board returned the net cash proceeds from this sale of around US$270 million (£216 million) to shareholders by way of an on-market share buyback programme. Across the two Primient transactions, we received total gross proceeds of £1.4 billion.
Blending the best of Tate & Lyle and CP KelcoOver the last seven years, Tate & Lyle has undergone a major strategic transformation to become a growth-focused speciality food and beverage solutions business aligned to attractive structural trends and growing consumer demand for healthier, tastier and more sustainable food and drink. This has included a much sharper focus on customers and key categories, increased investment in
innovation and solution selling capabilities, and the strengthening of our sweetening, mouthfeel and fortification platforms through new product development and acquisitions. The combination with CP Kelco significantly accelerates our strategy and our goal to become the solutions partner of choice for customers. I am very excited about the scale of the opportunity
it brings.
At a practical level, our two businesses operate in many of the same markets, serving similar customers in the same four core categories: beverage; dairy; soups, sauces and dressings; and bakery and snacks. As well as deepening our category expertise, the combination creates a unique portfolio of ingredients and solutions capabilities that will help unlock new opportunities in our chosen markets. While we're already a leader in sweetening and fortification, combining our speciality food starches with CP Kelco's pectin and speciality gums means we now have a leading position in
mouthfeel too, an area that is increasingly important to our customers. This is because when they reformulate their products - whether to reduce sugar and calories, optimise costs or simply keep their brands differentiated - it is mouthfeel that is often compromised, along with the taste. Our enlarged portfolio and broader expertise mean we can better predict and modify mouthfeel, providing a key differentiator in the solutions we provide
our customers.
Making good progress on integration
I've talked to a lot of stakeholders this year about the combined business - including customers, employees and shareholders - and I have heard broadly the same message from everyone: they are as excited as I am about the potential of the combined business, but they want us to get to work quickly. And we are. We've made a fast start to the integration with progress to date in line with our plan, and I am confident in our ability to complete that plan well. Combining large businesses is always a lengthy and complex process, and it often fails because
the two companies are too different or lack cultural alignment. That's not the case here. Once we announced the combination in June 2024, we set up a joint integration team with representatives from both businesses who worked together to prepare a comprehensive integration plan. It was clear from an early stage that the cultural similarities we share make us an excellent fit. Both companies are driven by
a deep sense of purpose, underpinned by a strong culture, clear values, and a commitment to doing business in the right way.
It was very encouraging that, as planned, on 1 April 2025, we started operating as one
combined business. Since then, it's been really exciting to see the way our people are now working together as one team and, importantly, the positive engagement from our customers to our enlarged portfolio and capabilities.
Organising to accelerate growth
The acquisition of CP Kelco has given us the opportunity to take a thorough look at the way our business is organised and restructure it where needed so we have the right roles, with
the right people in those roles, to accelerate growth. While many of the employees I've spoken to are excited about the benefits of the integration, I'm well aware that the process has been uncertain and difficult for some as they have waited to hear what it meant for their own future. I'm grateful for the patience all our people have shown during this period.
Communication is critical in these circumstances, and throughout the integration process we've shared regular updates with people in both businesses, encouraging them to ask questions and share their views. We've also aimed to treat everyone fairly and with respect.
Strengthening our leadership team
To ensure we are drawing on the deep experience and skills of both businesses, in November 2024 we announced a new Executive Committee to lead the enlarged business (see pages 85 and 86 for more details).
The Committee includes some new roles focused on delivering our key priorities. The role of Chief Commercial and Transformation Officer has been created to
work with our commercial teams to accelerate growth with our customers. In addition, Didier Viala, CP Kelco's former Chief Executive, has become Chief Solutions Development Officer, charged with strengthening our solutions offering for customers. Having established our new regional operating structure, Jérôme Béra, also from CP Kelco, took on responsibility for the newly formed Europe, Middle East and Africa region. At the same time, Remington Zhu, previously our General Manager in China, joined the leadership team as President, Asia Pacific. And Bill Magee, previously President, North America, added Latin America to his remit to become President, Americas.
Another new addition to our leadership team this year was Sarah Kuijlaars, who joined us as Chief Financial Officer in September 2024.
Sarah has brought a wealth of financial, commercial and international knowledge to Tate & Lyle. Her experience and financial leadership is proving invaluable as we continue to deliver on our growth agenda.
CONNECTING WITH COLLEAGUESCommunication is a key part of any integration programme and both I and my leadership team took time to visit Tate & Lyle and CP Kelco sites to talk about the benefits of the combination and to answer questions on the integration.
San Diego, California, US
Lille Skensved, Denmark
São Paulo, Brazil
A strategic acquisition for a stronger future
The combination of Tate & Lyle and CP Kelco has created a leading global speciality food and beverage solutions business and represents a significant acceleration in the delivery of our growth-focused strategy.
Pectin is made from the peel of citrus fruits
Who is CP Kelco?CP Kelco is a global leader in nature-based speciality ingredients. Its main product is pectin, which occurs naturally and is generally made from the peel of citrus fruits. CP Kelco also makes a range of speciality gums, and has other smaller product lines, such as citrus fibre and whey protein concentrate. It operates seven production facilities across the world supported by two global innovation centres and nine regional application centres, all
of which are now part of the Tate & Lyle network. CP Kelco generates almost half of its revenue from the larger, fast-growing markets of Asia, Middle East, Africa and Latin America.
The addition of CP Kelco's plant-based portfolio to Tate & Lyle makes us even better placed to benefit from the growing consumer preference for healthier and cleaner label products. Pectin is a key ingredient in many clean label solutions and, together with a
gelling, thickening and stabilisation challenges. Citrus fibre is used to add nutrition to an increasing number of consumer products.
What were the details of the transaction?Tate & Lyle acquired CP Kelco from J.M. Huber Corporation (Huber) for US$1.8 billion
(£1.4 billion) on a cash-free, debt-free basis.
£807 million was paid in net cash and 75 million new Tate & Lyle shares were issued to Huber.
In addition, there is deferred consideration of up to 10 million additional shares, which will be delivered to Huber approximately two years after completion, subject to performance criteria based on an increase in Tate & Lyle's share price.1 The headline consideration represented approximately 10 times CP Kelco's EBITDA for the year ended 31 December 2023, including the cost synergies. The acquisition was completed on 15 November 2024.
What was the strategic rationale?CP Kelco is a perfect fit with Tate & Lyle's growth strategy. The combination of our speciality food starches and CP Kelco's pectin and speciality gums makes Tate & Lyle a leader in mouthfeel solutions, a critical driver of customer solutions (see pages 22, 23 and 26 for more details).
The combination also significantly strengthens our customer offering across our sweetening and fortification platforms, and our four
core categories.
What are the scientific benefits of the combination?It will accelerate R&D and innovation through the combination of our world-class scientific, technical and applications expertise. CP Kelco is a leading innovator in fermentation and extraction-driven ingredients, while Tate & Lyle is an expert in bioconversion, fractionation and separation science. These are highly complementary scientific capabilities and together they will open up new opportunities for us to develop the next generation of food ingredients and solutions.
What are the financial drivers of the transaction?The combined business will strengthen
Tate & Lyle's financial performance. Over the medium term, Group revenue growth is expected to be towards the higher-end of our 4-6% range and the combined business is expected to drive adjusted EBITDA margin improvement and strong cash generation.
Run-rate cost synergies of at least
US$50 million (£40 million) is targeted by the end of the 2027 financial year. In addition, reflecting the strong complementarity of the two businesses, the combination is expected to generate revenue synergies of up to 10% of CP Kelco's revenue over the medium term.
77%
of CP Kelco's revenue is from its mouthfeel platform
see pages 22 and 23 for more details on mouthfeel.
90%
of CP Kelco's food-related revenue is in Tate & Lyle's four core categories
see page 25 for more details of our four core categories.
46%
highly functional speciality gums portfolio,
is frequently used by customers to tackle
1 Deferred share consideration is contingent on Tate & Lyle's volume-weighted average price for the 30 trading days ending on and
including the date that is two years following completion of the transaction, with the full 10 million shares to be issued if Tate & Lyle's share price over such period is at least £10. No deferred share consideration will be payable if Tate & Lyle's share price over such period is £8.50 or below.
of CP Kelco's revenue is from the faster growing markets of Asia, Middle East, Africa and Latin America.
Our growth framework
We deliver our strategy through our growth framework, based on four pillars with serving customers at the core.
Investing in growthAside from the integration, we've continued to make good strategic progress in other areas during the year.
Innovation and new partnerships
Innovation is a key driver of our strategy and we invested US$80 million in innovation and solution selling during the year.
Innovation is a key driver of our strategy and we invested
US$80 million in innovation and solution selling during the year.
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Increase investment in R&D
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Leverage scientific knowledge
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Build category insight Strengthen customer intimacy Enhance formulation expertise
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Build on existing strong platforms
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Grow above market in developed markets
Accelerate growth in large, fast-growing markets of Asia, Middle East, Africa and Latin America
Our innovation pipeline continued to perform well with New Product revenue increasing 9% on a like-for-like basis,1 with strong growth in fibres. Revenue was up 2% on a reported basis. The value of solutions-based new business wins was 21% of revenue, in line with last year, with strong solutions performance in North America and Europe.
We've established new partnerships to accelerate the design and delivery of new ingredients and solutions for our customers, and to strengthen the resilience of our supply chain. For example, in October 2024, we entered into a partnership with Manus, a leading
bio-alternatives scale-up platform, to expand access for our customers to natural sugar-reduction solutions. The first ingredient to
be jointly introduced by this partnership is stevia Reb M, marking the first large-scale commercialisation of an all-Americas-sourced, manufactured and bio-converted stevia Reb M ingredient. This partnership enhances supply chain security and reliability for our customers, while also paving the way for other innovative stevia ingredient solutions.
Strengthening supply chain security for our customers is becoming even more important given the increasing economic protectionism
A great example of how we're harnessing the power of new technology was the launch in October 2024 of our new Automated Laboratory for Ingredient Experimentation, also known as ALFIE, at our Customer Collaboration and Innovation Centre in Singapore. ALFIE allows us to run characterisation tests around 10 times faster than before, while greatly enhancing our modelling capabilities. This helps us trial new ingredients more efficiently and create new mouthfeel solutions for customers more quickly. And it's not limited to Singapore - ALFIE can also be used remotely by scientists at our Centre in Hoffman Estates near Chicago, US, boosting productivity and collaboration capabilities.
Growth capacity
We continue to invest in growth capacity.
In May 2024, we opened new capacity for non-GMO PROMITOR® Soluble Fibres at our facility in Boleráz, Slovakia, representing a
€25 million investment.
The assets we acquired from CP Kelco are also well-invested after a major capital expenditure programme of more than US$400 million over the three years prior to our acquisition to increase capacity and productivity for speciality gums, and to drive
KEY GROWTH ENABLERS
Science and technical know-how Solutions capability Global supply chain
Culture Talent
we are seeing in some of the markets we operate in. Our global network of manufacturing facilities and labs means we are well-placed
to serve our customers in their local markets. And we boosted our ability to do this during the year by establishing new partnerships for
locally produced food starches in Latin America and China.
innovation and sustainability for pectin.
However, following a strategic review of our tapioca starch investment in Thailand, Chaodee Modified Starch Co. Ltd., we have decided to exit this operation. While tapioca starch remains a key mouthfeel ingredient in the Asian market, we have concluded that an alternate sourcing model will better support our long-term growth.
1 Like-for-like is when no New Products are removed from disclosure due to age.
Our purpose guides every decision we make
SUPPORTING
HEALTHY LIVING
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We help people make healthier and tastier choices when they eat and drink, and lead more balanced lifestyles.
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T R A NS F O R MIN G L I V E S T H R O U G H T H E S C I E N C E
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CARING FOR OUR PLANET
We care for our planet and help protect its natural resources for the benefit of future generations.
BUILDING THRIVING COMMUNITIES
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We help build thriving communities where we operate, and support people to achieve their potential.
United Nations Sustainable Development Goals
(UN SDGs)
We focus on five of the UN SDGs that most closely align to our purpose and are where we can have the most impact.
SDG 2 Zero hunger SDG 3 Good health and
wellbeing
SDG 5 Gender equality SDG 12 Responsible
consumption and production
SDG 13 Climate action
To demonstrate our support for the UN SDGs, we are a participating member of the UN Global Compact, a major global sustainability initiative.
To find out more about our purpose and how we are delivering against our commitments and targets, see pages 34 and 35 and visit https://www.tateandlyle.com/purpose
Living our purposeEverything we've done this year helps us deliver our purpose of Transforming Lives through
the Science of Food. Our new colleagues at
CP Kelco are similarly committed to our purpose, to successfully grow our business and have a positive impact on society.
Supporting healthy living
It's through our ingredients and technical expertise that we can have the biggest impact on nutrition and health. For example, over the last five years, through our no- and low-calorie sweeteners and fibres, we have removed
10 million tonnes of sugar from people's diets -equivalent to 40 trillion calories.
Our ability to reformulate food is a key growth opportunity for us in the context of the current debate on food processing. Processed food has a critical role to play in feeding a growing global population sustainably, affordably and with better nutrition. There is widespread recognition that a food classification based on processing alone is over-simplistic, and scientists are working hard to establish a more robust classification of foods - ongoing work that we support. Nutrition science shows that foods
that are high in calories, sugar and fat, and low in fibre, can lead to poor health outcomes
if consumed in excess. And it's clear that many products classed as ultra-processed are not nutritionally balanced, meaning that reformulation is key. As an expert in
reformulation, taking sugar, calories and fat out of food and adding fibre and protein, Tate & Lyle is well-placed to help restore the nutritional balance of foods, and we see this as a significant growth opportunity.
Similarly, we believe the increased use of
anti-obesity medication is another significant growth opportunity for us. Weight loss drugs suppress the appetite, so as people eat less, the nutritional density of the food they choose will need to increase, such as food with added fibre. And, more generally, losing weight will likely encourage more people to make healthier food and drink choices.
An inclusive business
In January 2025, I sent a message to all our employees reaffirming our commitment to Tate & Lyle being an inclusive business, where all our employees can be seen, heard and valued, and highlighting the benefit of our teams reflecting the local communities we serve. I received more replies to this message than any other in my seven years as Chief Executive, which tells me something about the kind of company we are - not just what we aspire to be. As a global business founded on scientific innovation, expertise and creativity, we will continue to celebrate how our unique differences generate better ideas and deeper insights into our markets and customers.
Caring for our planet
We remain committed to making progress with our environmental sustainability programme. This is important not only to help address the serious impacts of climate change on our planet and natural resources, but because it also strengthens the resilience of our supply chain and supports our customers' goals.
It was encouraging to see the good progress we made this year against our environmental targets, for both our operations and our supply chain, with year-on-year improvements in our key metrics. Scope 1 and 2 GHG emissions were 23% lower from a 2019 baseline and our Scope 3 Forest, Land and Agriculture GHG emissions were 31% lower, benefiting from the excellent performance of our corn and stevia regenerative agriculture programmes and the decarbonisation of our supply chain. The purchase of electricity from renewable sources increased from 12% in 2023 to 61% in 2024, reflecting agreements signed with utility providers during the year.
Work is underway to integrate CP Kelco into our programme and we will report on our expanded footprint next year. It's been encouraging to see that our new colleagues share the same commitment to care for our planet. For example,
in April 2025, the CP Kelco pectin facility in Lille Skensved, Denmark, opened the first phase of a multi-year programme to decarbonise its production. This first phase, to upgrade the site's evaporator system, has reduced the site's energy consumption by 6% and its carbon emissions by 7%. Over the next two years,
Outlook for year ending 31 March 2026
Given the significant benefits of the combination with CP Kelco, we expect the enlarged Tate & Lyle to deliver an attractive medium-term financial algorithm:
Revenue growth towards the higher end of our 4-6% range each year
EBITDA margin improvement
Strong cash generation.
Our predominantly regional production model means we are well-placed to supply customers. However, tariffs and the associated uncertainty have increased costs for both us and our customers, mainly for products we supply between the US and China.
While we await clarification on tariffs, we currently expect, for the year ending 31 March 2026 in constant currency and compared to pro formacomparatives, to deliver revenue growth at, or slightly below, the bottom of our medium-term range, with EBITDA growth ahead of revenue balancing productivity, cost
synergies and investment in future growth.
we will carry out the second phase of this programme, which will deliver more than 20% reduction in both energy use and carbon emissions at the site. This will be good both for the environment and our business.
Significant growth potentialI ended my review last year talking about the challenges we face as a business, industry
and society as a result of increasing geopolitical uncertainty and a challenging macroeconomic environment. Those challenges have not
gone away and are expected to persist. But as we have shown in the past, we are a resilient business and we have the ability to navigate them.
Our focus for the year ahead is on delivering the benefits of the combination with CP Kelco and accelerating top-line growth. The strategic repositioning of Tate & Lyle to focus on speciality food and beverage solutions, and the investments we have made to strengthen our ingredient portfolio and technical expertise,
have positioned us well to benefit from the longterm trends towards healthier, tastier and more sustainable food and drink. I am confident in the medium-term growth potential of our business and look forward to the future with confidence.
Nick Hampton
Chief Executive
FINANCIAL HIGHLIGHTS
Year ended 31 March 2025
Revenue1
8%
growth
Adjusted EBITDA1,2
18%
growth
Adjusted earnings per share1,2
4%
growth
Free cash flow1
£20m
increase
Productivity3
US$50m
savings
Results include CP Kelco from 15 November 2024; percentage changes in constant currency.
Changes in alternative performance measures are in constant currency and for continuing operations (for definitions see Notes 1 and 4 in the financial statements). See Additional information.
Tate & Lyle only, not including CP Kelco.
Our business:
What we do and how we do it
1
Our strategy for growth is built on leading positions…
2
in large and attractive markets…
3
driven by increasing global demand for healthier food and drink.
4
We meet this demand through three platforms...
5
focused on four core categories…
6 7 8 9 10
delivering the through our and an agile This is with solutions our leading global supply summed up in performance customers scientific chain. our business measured by need… capabilities… model… our KPIs and
progress towards our purpose targets.
Page 17
Page 18
Pages 19
and 20
Pages 21
to 24
Page 25
Page 26
Pages 27
and 28
Page 29
Pages 30
and 31
Pages 32
to 35
Tate & Lyle is a growth-focused speciality food and beverage solutions business with leading global positions in sweetening, mouthfeel and fortification. We create high-value speciality ingredients and solutions that meet growing global consumer demand for healthier, tastier and more sustainable food and drink.
Our ingredients and solutions are used in
small quantities, but play a crucial role in adding specific functionality, nutrition and health benefits to our customers' products. We combine our understanding of consumer trends and food and beverage categories with leading-edge science and technical expertise to develop new products, and reformulate existing ones, to make food and drink healthier and still taste great.
Reformulation sounds simple, but it's far more complicated than just swapping one ingredient for another. Taste, texture, mouthfeel, shelf-life, stability - all these have to be taken into account when reformulating food and drink in our global network of Research Centres and Customer Innovation and Collaboration Centres (labs).
Taste is inherently local, which means that food and drink also need to be adapted to different regions and countries. We meet this demand
through our three platforms of sweetening,
mouthfeel and fortification, our portfolio of sweeteners, starches, pectins, speciality gums, fibres and stabilisers, and our technical expertise in our core categories - beverage;
dairy; soups, sauces and dressings; and bakery and snacks. In doing so, we deliver the solutions our customers need in their local markets through our agile global supply chain.
Our combination with CP Kelco complements our existing strengths, helping us create even greater value for our customers across our core platforms, categories and markets. It also brings complementary scientific and formulation expertise, expanding our solutions capabilities. This will help unlock growth opportunities in our existing categories and markets, as well as in new ones.
The next pages explain what we do and how we do it.
OU R
S TR ATEGY
OU R
MARK E TS
T HE WORLD AROU ND US
OU R
PL AT FORMS
OU R CORE CAT EGORIES
OU R
SOLU T IONS
OU R SCIENT IFIC CAPAB ILIT IES
OU R SU PPLY CHAIN
OU R BUSINES S MODEL
OU R
PROG RES S
Our strategy for growth is built on leading positions...
OUR STRATEGY
Sweetening - page 21
Based on our leading market positions and scientific and solutions capabilities, we strive to be a leading and
differentiated speciality food and beverage solutions business, delivering sweetening, mouthfeel and fortification across our four core categories.
LEADING MARKET POSITIONS
Mouthfeel - pages 22 and 23
Fortification - page 24
OUR CORE CATEGORIES
Beverage • Soups, sauces • Bakery and
Dairy and dressings snacks
OUR PLATFORMS
Sweetening | Mouthfeel | Fortification
OUR STRATEGIC FOCUS
A leading and differentiated speciality food and beverage solutions business
We have leading market positions in each of our three platforms of sweetening, mouthfeel and fortification. Our combination with CP Kelco significantly strengthens our position in mouthfeel, as well as our ability to formulate across the intersection of all three platforms. This means we can provide our customers with a unique proposition as they look to make their products healthier, tastier and more sustainable.
OUR PLATFORMS
SWEETENING |
MOUTHFEEL |
FORTIFICATION |
|
OU R
S TR ATEGY
OU R
MARK E TS
T HE WORLD AROU ND US
OU R
PL AT FORMS
OU R CORE CAT EGORIES
OU R
SOLU T IONS
OU R SCIENT IFIC CAPAB ILIT IES
OU R SU PPLY CHAIN
OU R BUSINES S MODEL
OU R
PROG RES S
...in large and attractive markets...
OUR ADDRESSABLE MARKET FOR SPECIALIT Y FOOD INGREDIENTS
North America
24%
US$4.6bn
US$19
Europe
23%
US$4.3bn
bn1
Latin America
8%
US$1.5bn
Asia
38%
US$7.2bn
Middle East and Africa
7%
US$1.4bn
The global speciality food ingredient market is worth US$75 billion.1
Large addressable marketWithin the global speciality food ingredient market, US$19 billion1 is addressable by Tate & Lyle's three platforms. Through our combination with CP Kelco we can access a greater share of this addressable market, which includes ingredients such as:
high-intensity sweeteners
nutritive sweeteners
rare sugars and other sweeteners
starches
pectins2
gums2
fibres
plant proteins.
More information about these ingredients can be found on pages 21 to 24, which explain our three platforms.
Majority of addressable market in fast-growing regionsThe majority of our addressable market is in Asia, Middle East, Africa and Latin America, along with 24% in North America. Asia is our largest addressable market at 38%, which is why it is such an important growth opportunity for Tate & Lyle and why we are investing in infrastructure, capabilities and new businesses in the region.
Market research data, Tate & Lyle and BCG analysis.
New ingredients following combination with CP Kelco.
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Tate & Lyle plc published this content on June 05, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on June 05, 2025 at 12:43 UTC.
