Treatt (TET) Trading Update summary

Financial performance

• H2 revenue grew 16%, driven by organic growth, new business wins, and industry demand normalization.

• Full year revenue rose 5% (7% constant currency) to £155.2m; adjusted EBITDA up 7% to £24.7m.

• Profit before tax and exceptional items increased 9% to £18.8m, in line with expectations.

• Net debt reduced significantly to £0.7m from £10.4m, reflecting robust cash generation.

Segment performance

• Heritage segment revenue grew 10% to £105.7m, with Citrus up 30% and Synthetic Aroma up 34% in H2.

• Premium segment revenue was flat at £34.8m; strong Tea growth in North America offset by weaker demand elsewhere.

• New Market segment revenue declined 9% to £14.7m, mainly due to Coffee; China revenues grew 27%.

Operational and strategic developments

• New Shanghai innovation facility approved to accelerate local innovation and customer collaboration.

• Commercial teams expanded with industry experts closer to customers; overall headcount stable.

• Strong cost discipline and self-help measures embedded; cost base in line with expectations.