Fragrance Division boosted by strong sales in developing markets
In the first nine months of 2013, flavours and fragrances company Givaudan recorded sales of CHF3.3bn, an increase of 5.0% on a like for like basis compared to the same period of the previous year.
According to the company, volume growth in all markets in the third quarter was consistent with levels during the first half of the year and third quarter pricing effects were negligible.
Givaudan's Fragrance Division saw sales rise 4.5% on a like for like basis in first nine months of 2013 to more than CHF1.5bn. Fragrance Compounds (which comprises Givaudan's Fine Fragrances and Consumer Products businesses) grew 5.5%, while Fine Fragrance sales were up 2.7%. Its Consumer Products business, also included within the Fragrance Division, grew by 6.2%, supported by strong sales growth in developing markets. Fragrance Ingredients, on the other hand, declined by 2.6%, which Givaudan attributed to continued price pressure in the commodities sales segment.
Sales for the company's Flavour Division, meanwhile, grew 5.4% to reach CHF1.7bn.
Givaudan witnessed its largest regional sales growth in Latin America, up 7.9%, while Asia Pacific sales rose 7.0%, Europe, Africa and the Middle East rose 4.9% and North America increased by 3.3%.
In the mid-term, the supplier hopes to grow organically between 4.5% and 5.5% per annum, assuming a market growth of 2-3%.