Symrise reports record growth and profits, confirms full year outlook

Symrise said strong demand in all regions has significantly boosted earnings, as it reported a 29% rise in sales for the first nine months of 2015.

The German flavour and fragrance firm company said it had outperformed the overall market in the first nine months of 2015 and significantly boosted its earnings – with strong demand and performances in all geographic regions and from both its Flavor & Nutrition and Scent & Care segments.

A reported increase in sales of 29 % (to €1,977.0 million) and 30% jump in EBITDA (to €343.8m) were supported by strong sales in all regions – with Latin America providing a 39% jump in sales and North America and EAME posting sales increases of 25% and 21%.

Sales were boosted by the recent acquisition of the Diana Group adding sales of €395.4m to the overall company results. However Symrise said that even without the contributions from the Diana deal, it achieved above-average growth, with a 12% gain in sales (local currency: 6%).

Flavor & Nutrition success

Symrise said that its Flavor & Nutrition segment increased sales by 47% to €1,164.7m in the first nine months of the year (41% in local currency) with a 50% increase in EBITDA to €263.6m.

While the acquisition of Diana provided a strong basis for this growth, the German firm noted that even without the Diana Group, the segment achieved strong organic growth and increased sales by 13% (9% in local currency).

Symrise said strong growth in the EMEA region was backed by sales contributions from the Diana Group, with growth especially attributable to the emerging markets of Africa, the Middle East and Eastern Europe and specifically to Russia, Nigeria and Poland - where sales expanded 'substantially'.

Meanwhile in the more established markets of Western Europe strong growth in savoury and beverage flavours helped growth – particularly in Germany, Italy and Sweden.

Optimistic outlook

Dr Heinz-Jürgen Bertram, CEO of Symrise AG, said that the results ‘speak for themselves’ – adding that very few companies in the industry can match such growth and profitability.

"We continue to anticipate our full-year results for 2015 with confidence. Our fourth quarter started out at a strong pace, and I believe that we are very well positioned to make the best use of the remaining weeks."

Indeed, the company expects to exceed the growth rate for the industry as a whole and deliver an EBITDA margin of more than 20%.

Earnings per share grew by 8% from €1.42 to €1.54 despite an increased number of shares due to the capital increase carried out in the previous year, said the firm.