The Swiss manufacturer of perfumes, flavors, and cosmetic ingredients eased concerns about a potential slowdown in the United States on Tuesday, October 14, after reporting “robust” nine-month sales.
From January through September, the Geneva-based group recorded revenues of CHF 5.7 billion Swiss francs (EUR 6.1 billion or USD 7.1 billion), up 5.7% on a like-for-like basis (excluding currency and acquisition effects) and 1.7% in Swiss franc terms.
As in the first half, fine fragrances continued to drive growth, with sales surging 18.7% despite a high comparison base after years of double-digit gains.
The group also said it carried on implementing price adjustments to "fully compensate" the impact of higher raw material and customs costs, it said in a press release.
In detail, Givaudan’s Perfumes & Beauty division, which also includes fragrances for laundry and hygiene products as well as skin care ingredients, generated sales of CHF 2.9 billion, up 8% compared to the same period a year earlier, excluding currency effects and acquisitions.
For their part, sales of flavors for the food industry amounted to CHF 2.8 billion, up 3.4%. In North America, sales grew by 3.9%.
Slowdown fears “dispelled”
These results are in line with estimates from analysts surveyed by the Swiss agency AWP, who had forecast an average of CHF 5.7 billion in revenue, including CHF 2.9 billion from the Fragrance & Beauty division and CHF 2.8 billion from Flavors.
Arben Hasanaj, an analyst at Vontobel, described the sales as “robust,” noting that they “dispel immediate market concerns,” particularly over “a slowdown in the United States” or “a decline in perfumery,” he wrote in a market commentary.
Givaudan does not issue short-term forecasts but instead provides a rolling five-year roadmap. For the period through the end of 2025, the group had targeted annual sales growth of 4–5%, but said it is “very likely to exceed the upper end” of that range, as sales have already grown by an average of 7.2% between 2021 and 2024.
