MILWAUKEE--(BUSINESS WIRE)--April 24, 2026--
Sensient Technologies Corporation $(SXT)$, a leading provider of flavors and colors for the food, pharmaceutical, and personal care markets, today reported financial results for the first quarter ended March 31, 2026.
First Quarter Consolidated Results
-- Reported revenue increased 11.1% to $435.8 million in the first quarter
of 2026 versus last year's first quarter results of $392.3 million. On a
local currency basis(1), revenue increased 7.2%.
-- Reported operating income increased 24.7% to $66.7 million compared to
$53.5 million recorded in last year's first quarter. In the first quarter
of 2025, the Company recorded $2.9 million of costs related to its
Portfolio Optimization Plan versus no costs recorded in the first quarter
of 2026. Local currency adjusted operating income(1) and local currency
adjusted EBITDA(1) were up 12.2% and 10.4%, respectively, in the first
quarter.
-- Reported earnings per share increased 28.4% to $1.04 in the first
quarter of 2026 compared to 81 cents in the first quarter of 2025. Local
currency adjusted diluted EPS(1) increased 14.0% in the first quarter.
"Sensient delivered strong results to start off the year. We executed on our strategy and continue to strengthen our position for the opportunities ahead, particularly in the area of natural colors. I remain very confident about our performance and am pleased to increase our guidance for 2026," said Paul Manning, Sensient's Chairman, President, and Chief Executive Officer.
First Quarter Group Results
Reported Local Currency(1)
Revenue Quarter Quarter
----------------------- -------- --------------------------
Flavors & Extracts 4.2% 1.7%
Color 18.1% 12.3%
Asia Pacific 8.0% 4.7%
Total Revenue 11.1% 7.2%
Reported Local Currency Adjusted(1)
Operating Income Quarter Quarter
----------------------- -------- --------------------------
Flavors & Extracts 7.0% 5.1%
Color 20.7% 13.2%
Asia Pacific 18.4% 14.5%
Total Operating Income 24.7% 12.2%
The Flavors & Extracts Group reported first quarter 2026 revenue of $201.8 million, an increase of $8.1 million versus the prior year's first quarter. The Group's revenue increase was driven primarily by higher prices and volume growth. Segment operating income was $26.8 million in the first quarter of 2026, an increase of $1.8 million compared to the prior year's first quarter.
The Color Group reported revenue of $198.2 million in the first quarter of 2026, an increase of $30.4 million compared to the prior year's first quarter. The Group's revenue increase was driven by strong volume growth and higher prices across the Group. Segment operating income was $42.1 million in the first quarter of 2026, an increase of $7.2 million compared to the prior year's first quarter results.
The Asia Pacific Group reported revenue of $45.3 million in the first quarter of 2026, an increase of $3.4 million compared to the prior year's first quarter. The Group's revenue increase was driven by strong volume growth and higher prices across the Group. Segment operating income was $11.2 million in the quarter, an increase of $1.7 million compared to the prior year's first quarter.
Corporate & Other reported operating expenses were $13.3 million in the first quarter of 2026, compared to $15.8 million of operating expenses reported in the prior year's first quarter. The lower operating expenses were primarily due to Portfolio Optimization Plan costs in the prior year's first quarter. Local currency adjusted operating expenses(1) for Corporate & Other increased $0.4 million compared to the prior year's first quarter.
2026 OUTLOOK
Metric Current Guidance Prior Guidance
------------------------ ----------------------- -----------------------
Local Currency High Single-Digit to Mid-Single-Digit to
Revenue(1) Double-Digit Growth Double-Digit Growth
Local Currency Adjusted High Single-Digit to Mid-Single-Digit to
EBITDA(1) Double-Digit Growth Double-Digit Growth
Diluted EPS (GAAP) Between $3.70 and Between $3.60 and
$3.90* $3.80*
Local Currency Adjusted High Single-Digit to Mid-Single-Digit to
Diluted EPS(1) Double-Digit Growth High Single-Digit
Growth
*Based on current exchange rates, foreign currency impact is expected to be
immaterial for the year.
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The Company's guidance is based on current conditions and economic and market trends in the markets in which the Company operates and is subject to various risks and uncertainties as described below.
(1) Please refer to "Reconciliation of Non-GAAP Amounts" at the end of this
release for more information regarding our non-GAAP financial measures.
USE OF NON-GAAP FINANCIAL MEASURES
The Company's non-GAAP financial measures eliminate the impact of certain items, which, depending on the measure, include: currency movements, depreciation and amortization, Portfolio Optimization Plan costs, and non-cash share-based compensation. These measures are provided to enhance the overall understanding of the Company's performance when viewed together with the GAAP results. Refer to "Reconciliation of Non-GAAP Amounts" at the end of this release.
CONFERENCE CALL
The Company will host a conference call to discuss its 2026 first quarter financial results at 8:30 a.m. CDT on Friday, April 24, 2026. To participate in the conference call, contact Chorus Call Inc. at (844) 492-3726 or (412) 317-1078, and ask to join the Sensient Technologies Corporation conference call. Alternatively, the call can be accessed by using the webcast link that is available on the Investor Information section of the Company's web site at www.sensient.com.
A replay of the call will be available one hour after the end of the conference call through May 1, 2026 by calling (855) 669-9658 and using access code 1602690. An audio replay and written transcript of the call will also be posted on the Investor Information section of the Company's web site at www.sensient.com on or after April 28, 2026.
This release contains statements that may constitute "forward-looking statements" within the meaning of Federal securities laws including in the quote from our Chairman, President, and Chief Executive Officer and under "2026 Outlook" above. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, and other factors concerning the Company's operations and business environment. Important factors that could cause actual results to differ materially from those suggested by these forward-looking statements and that could adversely affect the Company's future financial performance include the following: the Company's ability to manage general business, economic, and capital market conditions, including actions taken by customers in response to such market conditions, and the impact of recessions and economic downturns; the impact of macroeconomic and geopolitical volatility, including inflation and shortages impacting the availability and cost of raw materials, energy, and other supplies, disruptions and delays in the Company's supply chain, and the conflicts between Russia and Ukraine and in the Middle East; industry, regulatory, legal, and economic factors related to the Company's domestic and international business; the effects of tariffs, trade barriers, and disputes; the availability and cost of labor, logistics, and transportation; the pace and nature of new product introductions by the Company and the Company's customers; the Company's ability to anticipate and respond to changing consumer preferences, changing technologies, and changing regulations; the Company's ability to successfully implement its growth strategies; the outcome of the Company's various productivity-improvement and cost-reduction efforts, acquisition and divestiture activities, and Portfolio Optimization Plan; growth in markets for products in which the Company competes; industry and customer acceptance of price increases; actions by competitors; the Company's ability to enhance its innovation efforts and drive cost efficiencies; currency exchange rate fluctuations; and other factors included in "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2025, and in other documents that the Company files with the SEC. The risks and uncertainties identified above are not the only risks the Company faces. Additional risks and uncertainties not presently known to the Company or that it currently believes to be immaterial also may adversely affect the Company. Should any known or unknown risks and uncertainties develop into actual events, these developments could have material adverse effects on our business, financial condition, and results of operations. This release contains time-sensitive information that reflects management's best analysis only as of the date of this release. Except to the extent required by applicable laws, the Company does not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied herein will not be realized.
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