TREATT, the flavour and fragrance manufacturer for beverage and consumer products, defied a collapse in the price of citrus oil to post a seventh consecutive year of profit growth.

Profit at the group rose 5.2 per cent for the year, up to £13.3m from £12.6m in 2018. Revenue also rose 0.5 per cent, from £112.2m to £112.7m. The group yesterday announced a dividend of 5.5p — a 7.8 per cent increase on 2018's 5.1p. Treatt's total net cash position improved by £5.9m to £16m, with free cash flow of £7.8m.

Treatt's performance was particularly impressive in light of the sharp fall in the price of citrus oil, the company's largest product category. The company said that its diversification strategy had been vindicated by the results.

The company's chief executive Daemmon Reeve said: "We are driving ahead with confidence and whilst it is still early in the new financial year, the group continues to perform in line with the board's expectations for the year ending 30 September 2020."

(c) 2019 City A.M., source Newspaper