NEW YORK — International Flavors & Fragrances reported a “strong” fourth quarter Tuesday with profits that increased significantly — 192 percent — thanks to lower restructuring charges.
Net earnings for the quarter ended Dec. 31 were $44.5 million, up from $15.2 million in the same period a year ago, on restructuring charges that dropped 91.4 percent from the fourth quarter of 2005.
The fragrance supplier, based here, said annual sales surpassed the $2 billion mark on a 5 percent increase in revenues. Earnings per diluted share during the fourth quarter increased 206 percent, to 49 cents per share from 16 cents in the prior year.
“The strong fourth-quarter performance tops off a very good [year] for IFF,” Robert M. Amen, chairman and chief executive officer, said in a statement. “Our strategy is working and we have good momentum going into 2007.”
Net sales in the fourth quarter rose 11 percent, to $514.3 million from $461.6 million a year ago.
Fragrance sales rose 13 percent during the quarter, driven by an 18 percent jump in fine fragrance sales the firm attributed to “new product introductions and continued success of existing creations.”
In the fine fragrances arena, Latin America was the hottest growth market for IFF during the fourth quarter; sales there increased 25 percent. In North America, sales jumped 23 percent; in Europe, sales were up 20 percent. Fine fragrance sales in Asia Pacific, though, dropped 11 percent, and in India were down 5 percent.
For the full year, profits were up 15 percent, to $223 million, or $2.44 per diluted share, from $193.1 million, or $2.04, in 2005.
Revenues neared the $2.1 billion mark last year, up from $1.99 billion in 2005.