Tate & Lyle's Start to Year is Mixed

Tate & Lyle, or T&L, had a mixed start to the year, during the first three months to end June. The company didn't divulge precise figures, but bulk ingredients' profitability is up strongly, while speciality ingredients' profitability, typically a far higher margin than bulk, is up, but not strongly. This is a reversal of the long-term trends we would expect to see, but are mostly the result of one-off factors. We maintain our no-moat and stable moat trend ratings and our fair value estimate is unchanged at 550 GBX.