PARIS — Givaudan reported third-quarter sales gained 2.6 percent to 1.12 billion Swiss francs, or $1.23 billion, spurred in part by a strong turnout from its fragrance compounds, consumer products and ingredients businesses.
The company also cited gains in its flavors division in developing markets and all major segments, including beverages, dairy and snacks.
On a like-for-like basis, the Vernier, Switzerland-based company’s revenues rose 4.3 percent in the three months ended Sept. 30.
Givaudan’s fragrance division posted a revenue gain of 3.8 percent to 553 million Swiss francs, or $605.5 million. And its flavors division’s revenues advanced 1.5 percent to 569 million Swiss francs, or $623.1 million.
Dollar figures are converted at average exchange for the period to which they refer.
The company’s sales in the fist nine months of the year dipped 0.2 percent to 3.31 billion Swiss francs, or $3.69 billion. On a like-for-like basis they rose 4.5 percent.
In the period, Givaudan’s fragrance division’s sales were up 0.5 percent to 1.59 billion Swiss francs, or $1.77 billion. Meanwhile, its flavors division’s revenues declined 0.8 percent to 1.73 billion Swiss francs, or $1.92 billion.
Givaudan reiterated its mid-term objectives of growing organically between 4.5 percent and 5.5 percent annually, assuming market growth of 2 percent to 3 percent, and continued market-share gains.
The company expects to outgrow the underlying market and to target an annual free cash flow of 14 percent to 16 percent of sales by 2015.
“Givaudan confirms its intention to return above 60 percent of the company’s free cash flow to shareholders, while maintaining a medium-term leverage ration target below 25 percent,” the company stated.