Symrise sees 7% annual organic sales growth on boost from fragrance, taste segments (updated)

Symrise AG

24/10/2024 06:57

(Adds CEO quote, long-term outlook, Q3 like-for-like sales and
context)
       Oct 24 (Reuters) - German flavour and fragrance maker
Symrise  SY1G.DE  said on Thursday it now expects organic sales
growth at 7% in 2024, encouraged by positive developments in
both fragrances and taste segments.
    It had previously guided for an annual sales increase
between 5% and 7%.
    "Despite the current volatile market environment due to
geopolitical tensions and continued inflation pressure, we are
confident for the rest of the year and expect robust demand,"
CEO Jean-Yves Parisot said in a statement.
    For the July to September period, like-for-like sales jumped
10.2% from a year earlier, with double-digit growth in both the
segments, beating analysts estimates.
    Like-for-like sales in its Taste, Nutrition and Health
business, which accounted for more than half of the total, rose
11.3% in the reported quarter, while the Scent and Care division
posted an 8.4% jump.
    While the rest of the German chemical sector is still facing
a sluggish demand amid a weaker economy, companies involved in
fragrances and cosmetic business have seen a strong increase in
sales since the start of the year.
    Symrise, whose fragrances go into the perfumes of French
luxury giants LVMH  LVMH.PA  and Kering  PRTP.PA , confirmed its
long-term outlook, expecting organic sales growth between 5% and
7% and a core profit margin in the range of 20%-23%.
    
    

 (Reporting by Matteo Allievi; Editing by Rashmi Aich)
 ((Matteo.allievi@thomsonreuters.com))