ISRAEL, Tel Aviv. After the company’s announcement in May that it signed a merger agreement with iff, to create a global leading company in the field of flavors, fragrances and specialty fine ingredients for helath and nutrition it now reports another record-breaking quarter, in sales, profits, and earnings per share.
The accelerated increase in revenues this quarter stems from a combination of the rapid internal growth in Frutarom’s core activities – the Flavors Division and Specialty Fine Ingredients Division – and the acquisitions it has made.
Ori Yehudai, President and CEO of Frutarom Group, said: "We are pleased with our significant step forward and the results achieved in Q1 2018, in which we once again set new records in sales, profits, and core activities' profitability. These quarterly results reflect the successful implementation of our rapid and profitable growth strategy.”
"Frutarom started 2018 at peak performance: growing at a rate higher than the growth rate of the market it operates in, with a strong and experienced management team, and a global organization operating in over 150 countries, based on a production infrastructure of 74 plants, 93 research and development labs, and 111 marketing and sales offices, with approximately 5,400 employees – over 1,200 of them in marketing and sales, and over 800 in R&D – who cater to, and maintain close daily contact with, over 30,000 customers (12,000 of which have joined us through the 39 acquisitions we've made in the past 5 years), with a broad and innovative product portfolio that places an emphasis on natural products at the interesting cross section of flavor and health, with a customer focus that gives Frutarom a substantial competitive edge.” he added.
Frutarom sales in Q1 2018 rose 27.2% to a record of $384.8 mill., compared with $302.5 mill. in Q1 2017, reflecting a growth on a pro-forma and constant currency basis of 7.6% compared with Q1 2017.
Sales for Frutarom’s core activities (Flavors Activity and Specialty Fine Ingredients Activity) rose 29.0% in Q1 2018, to a record level of approx. $365.7 mill., compared with $283.5 mill. in Q1 2017, reflecting a growth of 8.3% on a pro-forma and constant currency basis, compared with Q1 2017. Sales for Flavors rose 28.3% to a record $ 281.5 mill., compared with approx. $ 219.4 mill. in Q1 2017, reflecting a growth of approx. 8.1% on a pro-forma and constant currency basis, compared with Q1 2017.
Sales for Specialty Fine Ingredients rose 29.9% to $86.7 mill. in Q1 2018, compared with $66.8 mill. in Q1 2017, reflecting a growth of approx. 8.5% on a pro-forma and constant currency basis, compared with Q1 2017.