Symrise AG reported an increase of sales by 6.3% to € 2,565 million (H1 2023: € 2,414 million). Excluding portfolio and exchange rate effects, sales increased organically by 11.5 %, driven by the positive performance of the company’s two segments—Taste, Nutrition & Health and Scent & Care. Profitability measured by the EBITDA margin of 20.7 % was significantly higher than the previous year’s adjusted figure of 19.7%.
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Symrise AG reported an increase of sales by 6.3% to € 2,565 million (H1 2023: € 2,414 million). Excluding portfolio and exchange rate effects, sales increased organically by 11.5 %, driven by the positive performance of the company’s two segments—Taste, Nutrition & Health and Scent & Care. Profitability measured by the EBITDA margin of 20.7 % was significantly higher than the previous year’s adjusted figure of 19.7%.
Below are Symrise's segment highlights for 2024 sales for Q1.
Taste, Nutrition & Health
Taste, Nutrition & Health achieved organic sales growth of 10.0% in the first half of 2024, the segment’s sales in the reporting currency amounted to € 1,572 million, an increase of 2.9% (H1 2023: € 1,527 million). Highlights below according to Symrise:
- The portfolio effect from the 2024 divestment of the UK beverage trading business by the Food & Beverage division had a negative impact of €16 million on sales development.
- In the Food & Beverage division, demand for savory products particularly developed strongly to deliver double-digit organic growth. Strong growth was recorded in the EAME (Europe, Africa, Middle East) and Latin America regions especially.
- The Naturals business unit and the business units for sweet products and beverage flavoring achieved low single-digit percentage growth and recorded gains in the North America and Asia/Pacific regions especially.
- The Pet Food division was also able to sustain its growth trend.
- Sales development in the Asia/Pacific and Latin America regions was particularly dynamic, with double-digit organic growth in some cases. In EAME, strong growth was posted by Spain, Turkey and Belgium in particular.
- In the first half of 2024, sales development in the Aqua Feed division was characterized by declining organic growth. In the course of further portfolio optimization with a focus on high-margin growth areas, Symrise intends to divest the business by the end of the year.
- The probiotics business, which includes the majority interest in the listed company Probi AB, Lund, Sweden, generated single-digit percentage growth, driven especially by higher demand in the EAME region.
Scent & Care
Scent & Care achieved organic sales growth of 14.1 %. Taking into account the exchange rate effects, sales increased to € 993 million in the reporting currency, 12.1% higher than the same period of the previous year (H1 2023: € 886 million). Highlights below according to Symrise:
- The Fine Fragrances business unit reported renewed double-digit percentage organic growth.
- The growth rates in the Asia/Pacific and Latin America regions were particularly pronounced.
- The Consumer Fragrances business unit posted double-digit percentage growth.
- The Oral Care business unit showed gratifying development.
- Sales development in the Aroma Molecules division recovered significantly in the first half of 2024. Although the market environment remained difficult, the resumption of production at Colonels Island, USA, resulted in a very positive increase in sales compared to the previous year.
- High double-digit growth rates were achieved in the EAME and Asia/Pacific regions.
- Sales by the Cosmetic Ingredients division continued to develop very well in the first six months of the current year, again posting double-digit percentage organic growth.
- The EAME, Asia/Pacific and Latin America regions again increased sales significantly.
- Only the North American region saw just slight growth compared to the previous year.
Looking Ahead
In the long term, the company aims to increase its sales from €7.5 billion to €8.0 billion by 2028. Annual growth of 5% to 7% (CAGR) as well as targeted acquisitions is expected to contribute to this. Profitability (EBITDA margin) should remain within a target corridor of 20% to 23%.
Jean-Yves Parisot, chief executive officer of Symrise AG shared, “Symrise is on course. I am committed to continuing Symrise’s success story –for the good of our customers, our shareholders and our employees. This is what we focused on in the past months. Despite our success in the first half of the year, we are not sitting back. Our good performance in recent months gives us confidence for the second half of the year. For this reason, we are therefore again confirming our growth and profitability targets for the full year.”
