International Flavors & Fragrances, Inc. · NYSE:IFF
International Flavors & Fragrances — Q2 2025 Earnings Presentation
25 slides from International Flavors & Fragrances's earnings presentation, Aug 6, 2025
Slide 1: Second Quarter 2025 Earnings Conference Call
Second Quarter 2025 Earnings Conference Call August 6, 2025
Slide 2: Cautionary Statement
CAUTIONARY STATEMENT Statements in this presentation release, which are not historical facts or information, are “forward-looking statements” within the meaning of The Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on management’s current assumptions, est
Slide 3: Non-GAAP Financials
NON-GAAP FINANCIALS We provide in this presentation non-GAAP financial measures, including: (i) comparable currency neutral sales; (ii) adjusted operating EBITDA and comparable adjusted operating EBITDA; (iii) adjusted operating EBITDA margin; (iv) adjusted EPS ex amortization; (v) free cash flow; a
Slide 4: Today's Speakers
TODAY’S SPEAKERS Erik Fyrwald Michael DeVeau Michael Bender Chief Executive Officer EVP, Chief Financial Officer VP, Investor Relations 4
Slide 5: Agenda
AGENDA Executive Summary ____ Q2 2025 Review ____ FY 2025 Outlook ____ Q&A 5
Slide 6: Q2 2025 Executive Summary
Q2 2025 EXECUTIVE SUMMARY Achieved 1H 2025 top-line growth of +3%1 and improved profitability at +7%1, demonstrating disciplined execution and a focus on productivity Completed Pharma Solutions & Nitrocellulose divestitures and successfully completed debt tender – reducing leverage to 2.5x – ahead o
Slide 7: Q2 2025 Consolidated Results
Q2 2025 CONSOLIDATED RESULTS Comparable Reported Currency Comparable currency neutral sales1 2 increased In millions / % of sales 2024 2025 % Δ Neutral 3% led by broad-based growth in all businesses Ad j u s t e d % Δ ¹ ² ____ Performance led by mid-single digit growth Revenue $2,889 $2,764 (4)% 3%
Slide 8: Q2 2025 Segment Performance
Q2 2025 SEGMENT PERFORMANCE NET ADJUSTED SALES O P E R AT I N G EBITDA¹ SEGMENT (Comparable (Comparable currency HIGHLIGHTS currency neutral neutral adjusted vs. vs. 2Q 24) ¹ ² 2Q 24)¹ ² $631 million $125 million • Strong performance in Flavors, with broad-based growth in all regions Taste +6% +3% •
Slide 9: Q2 2025 Cash Flow & Leverage
Q2 2025 CASH FLOW & LEVERAGE Cash Flow Leverage Cash flow from operations totaled $368 million Cash and cash equivalents finished at $816 million ____ ____ Gross debt totaled $6,213 million Capex YTD was $274 million or ~5% of sales ____ ____ Trailing 12-month credit adjusted EBITDA2 Free cash flow1
Slide 10: Capital Allocation
M AX I M I Z I N G S H AR E H O L D E R VAL U E CAPITAL ALLOCATION Committed to increasing Free Cash Flow and returns— prioritizing both reinvestment and returns to shareholders Prioritize capex investment in highest-return businesses Preserve strong balance sheet - Net Debt to EBITDA1 leverage at ~
Slide 11: FY 2025 Consolidated Outlook
FY 2025 CONSOLIDATED OUTLOOK FY 2025¹ In millions or as % of sales On track to deliver 2025 guidance outlined earlier this year, even OUTLOOK as the operating environment has become more challenging Revenue $10.6B to $10.9B ____ Expect growth to moderate in 2H 2025, yet are confident in Comparable c
Slide 12: Summary
SUMMARY Delivered solid first-half results, with steady top-line growth and improved profitability, reflecting continued focus & execution Took steps to streamline our portfolio and strengthen our balance sheet, achieving our leverage target ahead of plan Evaluating strategic alternatives for Food I
Slide 13: IFF: Where science & creativity meet
iF f Where science & creativity meet
Slide 14: Appendix: Reconciliation of GAAP to Non-GAAP Financial Measures
APPENDIX R E C O N C I L I AT I O N O F G A A P TO NON-GAAP FINANCIAL MEASURES
Slide 15: GAAP to Non-GAAP Reconciliation
International Flavors & Fragrances Inc. GAAP to Non-GAAP Reconciliation (Unaudited) The following information and schedules provide reconciliation information between reported GAAP amounts and non-GAAP certain adjusted amounts. This information and schedules are not intended as, and should not be vi
Slide 16: GAAP to Non-GAAP Reconciliation
International Flavors & Fragrances Inc. GAAP to Non-GAAP Reconciliation (Unaudited) The following information and schedules provide reconciliation information between reported GAAP amounts and non-GAAP certain adjusted amounts. This information and schedules are not intended as, and should not be vi
Slide 17: Reconciliation footnotes
(a) There is depreciation recorded within cost of sales, research & development expenses, and selling & administrative expenses, which is then added back to calculate segment Adjusted Operating EBITDA. This reflects how the CODM reviews Segment results. (b) For 2025, represents costs related to seve
Slide 18: GAAP to Non-GAAP Reconciliation
International Flavors & Fragrances Inc. GAAP to Non-GAAP Reconciliation (Unaudited) The following information and schedules provide reconciliation information between reported GAAP amounts and non-GAAP certain adjusted amounts. This information and schedules are not intended as, and should not be vi
Slide 19: GAAP to Non-GAAP Reconciliation
International Flavors & Fragrances Inc. GAAP to Non-GAAP Reconciliation (Unaudited) The following information and schedules provide reconciliation information between reported GAAP amounts and non-GAAP certain adjusted amounts. This information and schedules are not intended as, and should not be vi
Slide 20: Reconciliation footnotes
(a) There is depreciation recorded within cost of sales, research & development expenses, and selling & administrative expenses, which is then added back to calculate segment Adjusted Operating EBITDA. This reflects how the CODM reviews Segment results. (b) For 2025, represents costs related to seve
Slide 21: Debt Covenants
International Flavors & Fragrances Inc. Debt Covenants (Amounts in millions) (Unaudited) The following information and schedules provide reconciliation information between reported GAAP amounts and non-GAAP certain adjusted amounts. This information and schedules are not intended as, and should not
Slide 22: Comparable Reportable Segment Performance
International Flavors & Fragrances Inc. Comparable Reportable Segment Performance (Amounts in millions) (Unaudited) The following information and schedule provides reconciliation information between reported GAAP amounts and non-GAAP certain adjusted amounts. This information and schedule is not int
Slide 23: Segment performance footnotes
(2) Scent sales and segment adjusted operating EBITDA information exclude the results of the Cosmetic Ingredients business that was divested on April 2, 2024, to present fully comparable scenarios. (3) Pharma sales and segment adjusted operating EBITDA information exclude the results of the Pharma S
Slide 24: Comparable Foreign Exchange Impact
International Flavors & Fragrances Inc. GAAP to Non-GAAP Reconciliation Comparable Foreign Exchange Impact (Unaudited) Segment Adjusted Segment Adjusted Q2 Taste Sales Operating EBITDA Operating EBITDA Margin % Change - Reported 3% (2)% (1)% Portfolio Impact 1% 3% 0% % Change - Comparable 5% 2% (1)%
Slide 25: Comparable Foreign Exchange Impact (YTD)
International Flavors & Fragrances Inc. GAAP to Non-GAAP Reconciliation Comparable Foreign Exchange Impact (Unaudited) Segment Adjusted Segment Adjusted YTD Taste Sales Operating EBITDA Operating EBITDA Margin % Change - Reported 2% 5% 0% Portfolio Impact 1% 3% 0% % Change - Comparable 3% 8% 1% Curr
International Flavors & Fragrances — Q2 2025 Earnings Presentation on 6ix