- Organic growth of 10.5 % in the first quarter
- Group sales rise to € 950 million
- Targets for 2021 and medium-term targets until 2025 confirmed
“Symrise AG has started very well into the first quarter of 2021. The order activities of our customers continued to be defined by the global coronavirus pandemic. We therefore again recorded particularly high demand for applications for hygiene and oral care products, cooking at home products as well as for pet food solutions. In the first quarter of this year, we also processed the order backlog that resulted from the criminal cyber-attack last December. Furthermore, we have completely reinstated our IT systems which are fully operational again. We see ourselves very well positioned for the coming months,” said Dr. Heinz Jürgen Bertram, CEO of Symrise AG. “Battling the pandemic will continue to define everyday lives as well as economic conditions in 2021. However, we expect that the increasing vaccination rates will support the economic recovery. We expect continued reliable demand and will continue to drive forward our growth initiatives. We aim at organic growth of 5 to 7 % for the current fiscal year.”
Scent & Care with good demand for care and hygiene products, and cosmetic ingredients
Scent & Care, the business with fragrances, aroma molecules and cosmetic ingredients, generated sales of € 373.2 million and grew organically by 8.3 % (Q1 2020: € 368.4 million). Taking negative currency translation effects into account, sales in reporting currency increased by 1.3 %.
Flavor grows with savory products and beverage applications
In the Flavor Segment – the business with flavors for food and beverages – sales increased organically by 9.1 % in the first quarter. Taking negative currency translation effects into account, sales in reporting currency rose by 2.8 % to € 331.5 million (Q1 2020: € 322.6 million).
Nutrition with strong growth in all application areas
The Nutrition segment, comprising applications for food, pet food, probiotics and activities of ADF/IDF generated remarkable organic growth of 16.1 % in the first quarter. Taking negative currency translation effects into account, sales increased by 8.3 % to € 244.8 million (Q1 2020: € 226.1 million) compared to the prior-year quarter.
All business units underwent very positive development in the first three months and achieved organic growth in the double-digit percentage range.#
Confident for the current fiscal year
In spite of the ongoing global coronavirus pandemic, Symrise continues to be fully operational and retains full delivery capability. With its global presence, the continually growing and diversified portfolio and its broad customer base, the Company considers itself to be robust and solidly positioned also in the current challenging market environment.
On 1 April 2021, Symrise successfully closed the acquisition of the Fragrance and Aroma Chemicals business from Sensient. This acquisition enables the Group to strengthen its backward integration for renewable raw materials and strengthens its leading position as a provider of fragrance and aroma chemicals for application in body care and household products. Symrise will deploy targeted investments at the new location in Granada and expand its future production in Spain.
Symrise assumes that the global economy will recover with improved methods to combat the pandemic. The Company is targeting organic sales growth of 5 to 7 % for 2021. Symrise would thus again grow significantly faster than the relevant market for flavors and fragrances. Furthermore, the medium-term goals up until the end of 2025 remain unchanged. Symrise intends to increase sales to between € 5.5 and 6 billion. This increase is to be achieved through annual organic growth of 5 to 7 % (CAGR) and additional targeted acquisitions.