Treatt Share Discussion Threads

[sleepy] 22/12/2023 13:40

partridge - I think the main reason for the drop in share price has been that the market put the shares on an extremely optimistic rating which has not, at least as yet, been justified. Not the company’s fault

[viscount1] 22/12/2023 10:32

Why is this spiking?

[partridge1948] 20/12/2023 16:22

A very long term holder and I have read the annual report. From the general tone of comments,you would not think this company had lost around two thirds of its value in the last couple of years.One interesting point is that year end employee numbers were 365, down from 425 the previous year and average number was 441 in 2022. Most no doubt down to the more efficient factory premises,but reflects creditably on the CFO/ Interim CEO. Looks like someone today thinks like me a good one for the bottom drawer, but always dyor.

[essentialinvestor] 08/12/2023 15:22

Bought a small amount.

[justiceforthemany] 05/12/2023 16:20

Can see a takeover here

[robow] 04/12/2023 12:53

from Citywire

Berenberg: tasty growth opportunities at Treatt
Food flavourings manufacturer Treatt (TET) is well positioned for the next phase of group, says Berenberg.

Analyst Matthew Abraham retained his ‘buy’ recommendation but lowered the target price from 730p to 700p on the stock, which was trading at 451p on Friday.

Full-year results from the group ‘reflected a transition year for the company, which we think has laid a platform from which the business can focus its efforts on pursuing underexploited opportunities in ready-to-drink coffee and in China more broadly’, Abraham said.

In his view, the company is ‘well placed to achieve success in both opportunities, given its existing partnerships in the two spaces and the investment that it has made in its people and capabilities to capture new business’.

‘We expect both of these opportunities to deliver volume growth for Treatt that will drive an operating leverage benefit,’ he said.

[jockthescot75] 02/12/2023 18:15

Is it the same as the results presentation on the day, or is this a separate PI version? Thanks.

[cfro] 02/12/2023 09:41

That really is an excellent presentation from the Treatt management. Very thorough and lays out their next stage strategy well. This next stage of growth sounds very exciting and could be explosive perhaps.

Much thanks to PI world for putting this together.

[tomps2] 30/11/2023 09:06

Treatt (TET) FY23 results presentation - November 2023

Treatt CEO, Daemmon Reeve and CFO, Ryan Govender present results for the financial year ended 30 September 2023.

Watch the video here:

Or listen to the podcast here:

[truffle] 28/11/2023 17:55

Overall, happy with these results.

Was hoping for the business to get the message across that it has now stabilised which I think it has done. In many ways prefer this sort of message and hopefully good steady progress from here rather than any overly optimistic forecasts which might be hard to sustain.

[phillis] 28/11/2023 16:44

Let’s hope he/ she understands forex exposure

[cfro] 28/11/2023 13:18

Happy with the results and 2% increase in the dividend.

The stand-out is Coffee going from £1m to £5m in sales and now it's own reporting segment. It seems like cold brew coffee is becoming popular. You see it everywhere now and even in acholic beverages too. A number of companies are advertising it strongly with the likes of Starbucks really pushing it.

Let us hope it really takes off and is not just a fashionable fad.

The new CFO seems really switched-on. Just some uncertainty surrounding what happens next regarding new CEO.

[partridge1948] 28/11/2023 11:55

Results in line with year end update and cautiously optimistic about revenues improving after some big customer destocking in 2023.Cash generation excellent and more could come if they can get inventory levels down further.Disappointing to see a hopefully final £3.1M going out in 2024 regarding the new facility, but they do now have state of the art premises capable of much higher volumes - trick now is whether the sales teams can produce the orders from a largely blue chip customer base. Mine firmly held but always dyor.

[cyberian] 27/11/2023 14:08

Results tomorrow 28th November so an encouraging increase in the share price today in anticipation of positive news, hopefully.

[cfro] 08/11/2023 09:49

A Vox markets interview with Rathbones Alexandra Jackson.

Treatt talked about at 13:40m:

[loofyloofy] 30/10/2023 15:28

The business is bigger than just one individual - remain positive at these levels.

[cfro] 30/10/2023 14:46

My thoughts exactly. There could be a very good reason behind the sudden retirement of Mr Reeve perhaps, we don't yet know. It may be health reasons maybe for instance.

It is rather bizarre however. Knowing how important he was to the group why would he not have been thinking about his succession if he had planned to retire? I'm sure he would have gave this at least a little thought.

[gnal2y] 30/10/2023 13:57

According to the last report and accounts the retiring CEO Reeve had a 12 month rolling notice period on his contract. Douglas Rash the director of sales (non board member)USA based gave 4 months notice. He must have been so key in the groups USA sucess. so why now does Reeve jump ship ? His sudden unexpected departure is bizarre leaving no visible sucessor which was not the case for defenestrated Bovill a decade or so ago. With a new bespoke pricey building lying quietly in East Anglia sunshine which needs some sales drive who is going to provide that ?

[marcela9] 20/10/2023 14:30

According to the FY report of 2022 the Ceo owned shares valued at 831% of salary, meaning he owned at that time between 600k and 650k shares. He has every reason to be patient.

[partridge1948] 20/10/2023 13:10

Fair point cfro, but we do not know exactly what lies behind his decision and it is likely that Reeve sees the company as undervalued at present. I believe many staff are shareholders and he would want them to realise possible gains if the business can generate the growth which the new facility can handle (if I recall correctly,approx 3 x current revenues). I do tend to look through rose tinted spectacles at Treatt, but would not want a low ball bid to take them out in the near future.

[sleepy] 20/10/2023 12:24

According to Companies House info he is only 52.

[cfro] 20/10/2023 10:49

What has narked me is the fact there is no succession planning which i feel, when the CEO has been "the" key driver of this company and it's growth over several decades, is very very important.

It is announced today that he leaves at the end of the year, that is only just over two months away! Yes, i agree the new FD looks capable however we are somewhat rudderless in the meantime..

I agree this is a sitting duck for a takeover. Especially given its much more attractive price and rating. Would it have not made more sense for Mr Reeve to put the business up for sale whilst he was in tenure giving him a more dignified exit and an endgame to his story and journey?

[marcela9] 20/10/2023 10:17

Agreed, Part - some yankees have big pockets, esp. PE…would be perfect timing. This CEO overall has done an excellent job.