Swiss-based company Givaudan AG, specializing in the creation of flavors, fragrances, and cosmetic ingredients, has reported a growth of 4.3 percent in net income in fiscal year 2023. The income rose from 856 million to 893 million Swiss francs over the course of one year - a growth of 14.3 percent when measured in local currency terms.
Earnings per share also saw a growth, listed at 96.81 francs as compared to the previous year's 92.83 francs. Meanwhile, EBITDA was reported at 1.473 billion francs which, interestingly, is a slight decrease compared to 1.476 billion francs in 2022. However, when accounting for local currency, this drop turns into an increase of 8.8%. The EBITDA margin also showed growth from 20.7% in 2022 to 21.3% in 2023. When stripped of exceptional characteristics or factors, the EBITDA margin, stands at 22.4% as compared to 2022's 20.9%.
In terms of group sales, there was a 2.8 percent decrease, from 7.12 billion francs last year to 6.92 billion francs. However, when applying the like-for-like metric, sales increased by 4.1%.
The fourth quarter's sales dropped by a mere 0.5 percent from the previous year's to 1.650 billion francs. However, in like-for-like terms, sales grew by 8%.
Looking forward, Givaudan's Board of Directors will propose a 1.5 percent increase in cash dividend per share for the financial year 2023 (totalling 68 francs per share) at the Annual General Meeting scheduled for March 21, 2024.
In line with its 2025 strategic goal, Givaudan reiterated their target of achieving 4-5% organic sales growth on a like-for-like basis and free cash flow of at least 12%, both measured over a five-year period strategy cycle.
