International Flavors & Fragrances Inc

Latest Results (26.10.2025):

International Flavors & Fragrances Inc. (IFF) reported its financial results for the first quarter of 2025, showing a reported net sales decrease of 2% compared to the same period last year. Despite the decline, the company achieved a 3% increase in currency-neutral sales, driven by growth in key segments. However, IFF faced a significant loss before taxes due to a goodwill impairment, impacting overall profitability.

Sales Performance

IFF's reported net sales for Q1 2025 were $2.84 billion, marking a 2% decrease year-over-year. On a comparable, currency-neutral basis, sales grew by 3%, supported by strong performances in Taste, Pharma Solutions, Health & Biosciences, and Scent segments.

Profitability and Earnings

The company reported a loss before taxes of $(994) million for the quarter, primarily due to a $1.15 billion impairment of goodwill in the Food Ingredients segment. Adjusted operating EBITDA stood at $578 million, showing a 9% increase on a comparable basis, while adjusted EPS excluding amortization was $1.20 per diluted share.

Segment Highlights

Across its segments, Taste saw a 7% increase in currency-neutral sales, Food Ingredients experienced a 4% decline, Health & Biosciences achieved a 5% growth, Scent grew by 4%, and Pharma Solutions led with an 8% increase in currency-neutral sales. Notably, Pharma Solutions also saw a 19% rise in adjusted operating EBITDA on a comparable basis.

Financial Guidance

Looking ahead, IFF maintains its full-year 2025 financial guidance, expecting sales growth of 1% to 4% on a comparable currency-neutral basis and adjusted operating EBITDA growth of 5% to 10%. The company anticipates a reduced adverse impact from foreign exchange rates compared to previous estimates.