Overview
IFF Q2 2025 revenue of $2.76 bln beats analyst expectations, per LSEG data
Adjusted EPS for Q2 exceeds estimates, reflecting improved profitability, per LSEG data
Company announces $500 mln share repurchase authorization and divestiture of soy business
Outlook
IFF expects full-year 2025 sales of $10.6 bln to $10.9 bln
Company maintains 2025 sales growth outlook of 1% to 4%
IFF sees 2025 adjusted operating EBITDA of $2 bln to $2.15 bln
Company expects foreign exchange to impact sales growth by 1%
Result Drivers
CURRENCY NEUTRAL SALES - Currency neutral sales increased 3% driven by broad-based growth, particularly in Taste and Health & Biosciences
PRODUCTIVITY GAINS - Improved profitability attributed to volume growth, favorable net pricing, and productivity gains
PORTFOLIO RESTRUCTURING - Divestitures of Pharma Solutions and planned sale of soy business align with margin enhancement strategy
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales | Beat | $2.76 bln | $2.70 bln (11 Analysts) |
Q2 Adjusted EPS | Beat | $1.15 | $1.12 (12 Analysts) |
Q2 EPS | $2.38 | ||
Q2 Net Income | $612 mln | ||
Q2 Adjusted EBITDA | Beat | $552 mln | $546.10 mln (12 Analysts) |
Q2 Gross Profit | $1.03 bln | ||
Q2 Operating Income | $198 mln | ||
Q2 Pretax Profit | $534 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 15 "strong buy" or "buy", 4 "hold" and 2 "sell" or "strong sell"
The average consensus recommendation for the food processing peer group is "buy"
Wall Street's median 12-month price target for International Flavors & Fragrances Inc is $90.00, about 22.1% above its August 4 closing price of $70.15
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 18 three months ago
Press Release: ID:nBw6gvmKSa
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)