Givaudan Reports Strong Half-Year Results for 2025 Amid Challenges

On July 22, 2025, Givaudan, a global leader in the flavor and fragrance industry, announced its half-year financial results for 2025, reporting sales of CHF 3,864 million. This figure marks a 6.3% increase on a like-for-like basis and a 3.4% rise in Swiss francs compared to the same period in 2024. The company's performance remains robust despite ongoing geopolitical and macroeconomic challenges affecting global markets.

According to Gilles Andrier, CEO of Givaudan, the company demonstrated strong sales growth across all business segments and geographies, highlighting a remarkable 10% increase in the high-growth markets. This performance is attributed to the company's ability to adapt to higher input costs, including tariffs, by collaborating with customers to implement necessary price adjustments. The Fragrance & Beauty division reported sales of CHF 1,955 million, an increase of 8.6% on a like-for-like basis, and the Taste & Wellbeing segment achieved sales of CHF 1,909 million, marking a 4.1% increase.

The gross profit increased by 3.4% to CHF 1,702 million, maintaining a gross margin of 44.0%, similar to the previous year despite rising input costs. The company's EBITDA rose by 4.4% to CHF 945 million, resulting in an EBITDA margin of 24.5%. This is a slight improvement from 24.2% in the first half of 2024.

Regionally, Givaudan saw growth across all markets, with South Asia, the Middle East, and Africa experiencing particularly strong growth at 12.7% on a like-for-like basis. Europe and Latin America also contributed positively, with increases of 4.2% and 4.1% respectively.

Despite the overall positive financial results, Givaudan reported a free cash flow of -CHF 16 million, a significant decline from CHF 197 million in the same period last year. The reduction is primarily attributed to timing effects related to investments and tax payments.

Looking forward, Givaudan remains committed to its 2025 strategy, 'Committed to Growth, with Purpose', aiming to achieve an organic sales growth of 4-5% on a like-for-like basis and a free cash flow of at least 12% over the five-year strategic cycle. The company has set ambitious long-term goals, including becoming climate positive by 2050 and significantly enhancing its contributions to sustainability.

The results reflect Givaudan's resilience and adaptability in a challenging environment, confirming the company's position as a leader in the flavor and fragrance industry. The upcoming summer investor conference on August 27, 2025, will provide further insights into Givaudan's strategic direction and operations. Stakeholders can access the full financial results and additional information via Givaudan's official website.