News

  22/07/2019 | Ingredients

Givaudan reports buoyant 2019 half-year results

Givaudan has reported a sustained “good business momentum” and project pipeline in its 2019 half-year results. Excellent growth was said to have been achieved across all product segments and geographies, through a key strategic focus on business segments of Naturals, Health and Wellbeing, Active Beauty and Integrated Solutions. The company states its progress is further complemented by its recent acquisitions.

Givaudan Group sales for the first six months of the year were reported at CHF 3.09 bn, an increase of 6.3 % on a like-for-like basis. Flavour Division sales were CHF 1.7 bn, an increase of 4.4 % on a like-for-like basis. Fragrance Division sales were CHF 1.36 bn, an increase of 8.6 % on a like-for-like basis.

The company’s gross profit increased by 7.8 % from CHF 1.18 bn in 2018 to CHF 1.27 bn in 2019. Despite continued productivity gains and cost discipline, the gross margin declined to 41.2 % in 2019, compared to 44.2 % in 2018. This was mainly due to the impact of higher input costs and the lower margin of Naturex. The net income for the first six months of 2019 was CHF 380 m, compared to CHF 371 m in 2018, an increase of 2.3 %, resulting in a net profit margin of 12.3 % versus 13.9 % in 2018.

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