- DSM-Firmenich‘s full-year Adjusted EBITDA forecast is around €2 billion, surpassing estimates of €1.95 billion.
- Second-quarter Adjusted EBITDA reached €513 million, marking a 26% year-on-year increase, higher than the estimated €491 million.
- Adjusted EBITDA margin improved to 15.9%, up from 13.5% in the same period last year.
- Net sales for Q2 were €3.23 billion, a 6.5% year-on-year growth, beating the estimate of €3.13 billion.
- Animal Nutrition & Health sales were €790 million, a slight increase of 0.5% year-on-year, but below the estimated €795 million.
- Health, Nutrition & Care sales reached €565 million, also up 0.5% year-on-year, exceeding the estimate of €556.4 million.
- Perfumery & Beauty sales were €1.02 billion, up 13% year-on-year, surpassing the estimate of €953.1 million.
- Taste, Texture & Health sales stood at €834 million, a 9.6% year-on-year increase, above the estimate of €801.7 million.
- Organic sales increased by 7% year-on-year.
- The company attributed the improved outlook to continued positive business momentum and anticipated contributions from synergies and their vitamin transformation program.
- CEO noted robust demand for animal protein, but highlighted pressure in China’s swine industry with a 7% decline in sow herds and weak farm economics.
- Current analyst ratings include 18 buys, 4 holds, and 3 sells.
A look at DSM-Firmenich Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 3 | |
| Growth | 2 | |
| Resilience | 4 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on Smartkarma Smart Scores, DSM-Firmenich AG shows a promising long-term outlook. The company scores high in Momentum, indicating strong market performance and investor interest. This suggests that DSM-Firmenich is currently in a favorable position to capitalize on market trends and potentially deliver solid returns in the future. In addition, the company also scores well in Resilience and Value, showcasing its ability to weather economic uncertainties and its attractive valuation relative to its fundamentals.
Despite scoring lower in Growth and Dividend factors, the overall positive outlook on DSM-Firmenich points towards a company with stable growth potential and a sound financial standing. As an innovator in nutrition, health, and beauty products serving a global customer base, DSM-Firmenich is well-positioned to leverage its expertise in vital nutrients, flavors, and fragrances to drive future success in the industry.
Summary:
DSM-Firmenich AG is an innovator in nutrition, health, and beauty products, reinventing, manufacturing, and combining vital nutrients, flavors, and fragrances for customers worldwide.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
