Symrise continues its robust course of growth
Symrise successfully continued its profitable growth course in the third quarter despite the global coronavirus pandemic. In an economically challenging and heterogeneous market environment, the Group increased its sales in the first nine months of 2020 by 5.9 % to € 2,703 million (9M 2019: € 2,551 million). In organic terms – i.e. excluding the portfolio effect of ADF/IDF and currency translation effects – sales were up by 3.3 % in the first nine months. All segments contributed to this positive development and achieved organic sales growth.
“Thanks to our solid positioning, the broadly diversified product portfolio, and the commitment and flexibility of our employees, we were able to build on the previous months and further increase our sales, also during the global coronavirus pandemic. The shifts in consumer demand during the first six months of the year have continued during the third quarter. Product solutions for food as well as personal care and hygiene remained in high demand, while demand for luxury items such as fine fragrances was less,” said Dr Heinz-Jürgen Bertram, CEO of Symrise AG. “We are overall confident that we will conclude this historically very special year with good growth.”
Strong growth in Personal Care
Scent & Care, the business with fragrances, cosmetic ingredients and aroma molecules, achieved good organic sales growth of 3.1 % in the first nine months. Sales increased by 4.0 % in the third quarter. Taking currency translation effects into account, sales amounted to € 1,057 million and were slightly lower than in the prior year period (9M 2019: € 1,070 million).
Sales in the Fragrance division continued to be driven by Consumer Fragrance and Oral Care due to strong consumer demand for personal care and hygiene products. Both areas achieved organic growth in the double-digit percentage range. The Fine Fragrance unit continued to be affected by the corona virus pandemic. On the other hand, in the third quarter North America in particular saw better project vitality with major customers related to luxury items. Overall, the Fragrance division achieved solid organic growth in the single-digit percentage range, with growth in all regions.
Sales in the Aroma Molecules division were characterized by lower demand for fragrance solutions on one hand and very positive momentum with menthol activities on the other. Due to capacity expansions, the Menthol business unit achieved double-digit growth. The EAME and the North and Latin America regions achieved strongest growth. Sales in the Aroma Molecules division were at large slightly below the high level of the previous year.
The Cosmetic Ingredients division was impacted by reduced travel activity due to the coronavirus pandemic, which led to lower demand for sun protection products. The other application areas achieved good organic growth in the single and double-digit percentage range. The Latin and North American regions, and above all the national markets of Brazil, Canada, the USA and Mexico, were the main growth drivers. Overall, sales in the Cosmetic Ingredients division were slightly below the strong prior year results.