Symrise reports "strong" sales

15 Mar 2019

Symrise has reported “strong” organic sales growth of 8.8%, with a sales increase of 5.3% to € 3,154 million (reporting currency). EBITDA was €631million and EBITDA margin 20.0 %.

Symrise reports strong sales

Symrise has reported “strong” organic sales growth of 8.8%, with a sales increase of 5.3% to € 3,154 million (reporting currency). EBITDA was €631million and EBITDA margin 20.0 %. Net income increased to over € 275 million.

The company says it took full advantage of its growth opportunities in 2018 and successfully overcame headwinds resulting from external factors.

"In 2018 we seamlessly continued our success story. Symrise again grew profitably and outperformed the market. We identified and successfully capitalized on growth opportunities in every business segment. We also invested in future growth and added to our capacity. Although we were not able to counteract all of the headwinds caused by high raw material prices and negative currency effects, we still operated with a healthy profitability. We want our shareholders to participate in this success. At the Annual General Meeting, the Executive Board and Supervisory Board will propose a dividend increase to € 0.90 per share for the fiscal year 2018," said Dr. Heinz-Jürgen Bertram, CEO of Symrise. "Despite the anticipated economic slowdown, we have made a confident start to the new fiscal year. We have substantiated our long-term ambition with the updated forecast. It extends into the year 2025 and provides for a strong increase in sales with further improved profitability."

The growth driver at regional level was Latin America with a double-digit organic growth rate of 16.2%. Business in the EAME and North America regions developed also highly positively, with an organic increase of 6.4% and 6.1%, respectively. In the Asia/Pacific region, Symrise achieved organic sales growth of 12.4%. Overall organic sales growth in emerging markets reached 11.7%. In these fast-developing markets, Symrise generated 43 % of its total sales.

The Flavour segment experienced strong organic growth of 9.5%, with sales increasing to €1,191 million (2017: €1,102 million). Taking currency effects into account and the portfolio effect from the Cobell acquisition, sales in the segment grew by 8.1% in reporting currency. All regions and application areas contributed to this positive development. Flavour benefited in particular from strong demand in the EAME region, which achieved impressive double-digit growth. Growth was driven furthermore by applications for sweets and beverage products.

Nutrition increased organic sales in the past fiscal year by 7.4% to €639 million (2017: €631 million). In the reporting currency, including portfolio and currency effects, the segment grew by 1.2%. The strongest impetus came from the Pet Food application area. The Food application area also performed well with double-digit growth.

Symrise says it is looking ahead to the current fiscal year with confidence. The group again aims to exceed the overall growth rates in the relevant market.