Yesterday, Givaudan, the Swiss fragrance and flavor company, released its financial report of 9 months and the third quarter of 2024. The company’s sales rose by 10.2% to 1.91 billion Swiss francs ($2.22 billion) in Q3 of 2024, surpassing analysts’ forecasts of 1.86 billion francs. It reported stronger-than-expected sales for the third quarter of 2024, driven by sustained high demand across its markets.
In the first nine months of 2024 Givaudan recorded sales of CHF 5,644 million, an increase of 13.0% on a like-for-like (LFL) basis and an increase of 7.2% in Swiss francs.
Despite challenges in the broader European chemicals sector, Givaudan saw robust growth, recovering from last year’s destocking issues and benefiting from increasing demand.
Its Fragrance & Beauty sales were CHF 2,782 million, an increase of 15.6% LFL and an increase of 10.8% in Swiss francs. On a business unit basis, Fine Fragrance sales increased by 17.8% LFL against a high prior year comparable growth of 13.7%, Consumer Products sales increased by 15.9% LFL and sales of Fragrance Ingredients and Active Beauty increased by 10.8% LFL.
The excellent growth was achieved across all geographies and customer groups. The company’s CEO, Gilles Andrier, expressed confidence in Givaudan’s ability to meet strong customer demand.
Regionally, Givaudan achieved its highest growth in Latin America, with a 29.5% sales increase, while North America also saw a rebound, growing 5.7% after a decline last year. In Asia Pacific, the business recorded 10.1% increase.
The company reiterated its goal of 4-5% organic sales growth per year through 2025, along with free cash flow growth of at least 12%. Givaudan’s shares rose by 0.8% following this positive report, briefly spiking 4% earlier in the trading session.
