Thursday preview: Tate & Lyle to report annual sales growth

Food and sweetener company Tate & Lyle is expected to deliver solid sales growth in its annual results Thursday.

Food and sweetener company Tate & Lyle is expected to deliver solid sales growth in its annual results Thursday.

In a trading update ahead of its results for the year ended March 31st 2013, the company said it has performed strongly driven by its speciality food ingredients (SFI) division.

Jefferies International expects to see continued momentum in SFI, with volume growth up 6.0% in the second half from 4.0% in the first half, boosted by starch-based specialty ingredients.

"Following Tate & Lyle's reassuring full-year trading update on March 28th, we do not expect significant surprises in the full-year numbers that the company will report on 30 March, 2013," the broker said in a note last week.

Profits of bulk ingredients are expected to rise 3.0% despite a £7.0m hit to full-year profits due to aflatoxin, a poisonous fungus to livestock that thrived in the unusually hot and dry conditions on corn fields last summer.

Concerns over the over the fungus have emerged in the US, where corn farmers have been hit by the worst drought in more than 50 years.

"The market will be looking for an update on co-product income in F-14 and any further impact from aflatoxin," Jefferies added.

The analyst recommended a 'buy' rating for the stocks and a target price of 980p.

Thursday May 30th

INTERIMS

Standard Life European Private Equity Trust

INTERIM DIVIDEND PAYMENT DATE

Wetherspoon (J.D.)

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

Business Climate Indicator (EU) (10:00)

Economic Sentiment Indicator (EU) (10:00)

GDP (Preliminary) (US) (13:30)

Initial Jobless Claims (US) (13:30)

Pending Homes Sales (US) (15:00)

PMI Retail (EU) (09:00)

PMI Retail (GER) (08:55)

GMS

Telefonica SA

FINALS

Tate & Lyle

AGMS

Archipelago Resources, F&C Private Equity Trust, Hochschild Mining, Inch Kenneth Kajang Rubber, Mallett, MCB Finance Group, Metminco Ltd., Northbridge Industrial Services, Northbridge Industrial Services, Parity Group, Restore, Tangiers Petroleum Ltd (DI)

TRADING ANNOUNCEMENTS

Kingfisher

FINAL DIVIDEND PAYMENT DATE

Maven Income & Growth 3 VCT, Pendragon, Randgold Resources Ltd., Reckitt Benckiser Group, Travis Perkins, TT Electronics

Q1

Public Power GDR SA (Reg S)

RD

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

How the stamp duty holiday is pushing up house prices
Stamp duty

How the stamp duty holiday is pushing up house prices

Stamp duty is an awful tax and should be replaced by something better. But its temporary removal is driving up house prices, says Merryn Somerset Webb…
25 Sep 2020
Can Rishi Sunak’s winter plan save the UK economy?
UK Economy

Can Rishi Sunak’s winter plan save the UK economy?

With his Winter Economic Plan, chancellor Rishi Sunak is hoping to support the economy through the dark months ahead as restrictions tighten again. Jo…
25 Sep 2020
The electric-car bubble could get an awful lot bigger from here
Renewables

The electric-car bubble could get an awful lot bigger from here

The switch to electric cars is driving a huge investment bubble. But that’s not necessarily a bad thing, says John Stepek. Fortunes will be made and l…
24 Sep 2020