- Drink and flavouring ingredient supplier Treatt posted a 9.5% rise in annual profit that it said exceeded its pre-Covid expectations.

Pre-tax profit for the year through September from continuing operations increased to £13.7 million, up from £12.5 million year-on-year.

Treatt also made a loss on discontinued operations of £1.08 million, which was broadly unchanged year-on-year.

Revenue fell 3.3% to £109.0 million, but adjusted profit rose 11% to £14.8 million on the back of a 380 basis point improvement in gross profit margin to 29.2%.

Treatt declared a full-year dividend of 6p per share, up 9.1% year-on-year.

'To have exceeded the expectations we had at the start of the year before the outbreak of the pandemic, speaks volumes about the resilience of the business, our strategy and market position,' chief executive Daemmon Reeve said.

'We continue to focus on new market opportunities and consumer trends including those in coffee, natural extracts and the burgeoning hard seltzer market.'

'We remain confident in the future growth potential of the business and believe we are in a robust position to manage any further impacts from the pandemic.'

Reeve said the company had made a 'strong' start to the new financial year and was performing in line with its expectations.

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