02.07.13
International Flavors & Fragrances Inc. posted financial results for the fourth quarter and full year ended Dec. 31, 2012.
For the quarter, reported revenue increased 6% to $681 million. Net income for the quarter jumped 11% to $68.1 million. In the fragrances business unit, reported revenue increased 10% to $354 million. Fragrance ingredients delivered local currency sales growth of 6%, which marked the first quarter of growth since Q1 2011.
Reported revenue for the full year increased 1% to $2.8 billion. Net income for the full year totaled $254.1 million. In fragrance, revenue was flat at $1.4 billion.
For the full year, Fragrance compounds had local currency growth of 7. Fragrance ingredients, although improving over the course of the year, declined 10% in local currency sales in 2012.
Doug Tough, chairman and CEO, said, “We had a strong finish to the year, driven by our diverse product portfolio, expanding geographic footprint and commitment to providing customers with innovative and superior products that are desired and enjoyed by consumers all around the world. This diversification allowed us to achieve strong broad-based growth in the fourth quarter, led by double-digit growth in the emerging markets. Both business units contributed to our gross margin performance, reflecting strong new wins from our continued focus on innovation, ongoing manufacturing leverage, and the impact of exiting lower margin sales activities. Our strong top-line performance enabled us to achieve local currency sales, operating profit and EPS growth in line with our long-term targets.”
“We are very well positioned in the market, and enter 2013 with a strong R&D pipeline and solid growth momentum. We have confidence in our strengths and will continue to focus on excellence in execution of our strategies.”