Givaudan Reports Mixed Q1 Results as Like-for-Like Growth Offsets Reported Sales Dip

Givaudan AG has reported a decline in reported sales for the first quarter of 2026, though underlying like-for-like (LFL) growth remains positive. The company posted total sales of 1.875 billion Swiss francs, representing a 5.2% decrease compared to the same period last year. The results highlight a divergence between reported figures and organic growth. LFL sales rose by 2.8%, although this marks a significant deceleration from the 7.4% comparable growth recorded in the prior year. Despite the quarterly volatility, the company continues to steer toward its 2030 strategic goals, targeting an average LFL sales growth of 4% to 6% and free cash flow exceeding 12% over a five-year horizon. The Fragrance & Beauty division remained a primary driver, generating 1.004 billion Swiss francs. While reported sales fell 0.6%, LFL growth reached 5.9%, bolstered by a 9.6% surge in Fine Fragrances and a 7.8% increase in Consumer Products. However, Fragrance Ingredients and Active Beauty saw an LFL decline of 5.9%. In contrast, the Taste & Wellbeing segment struggled, with reported sales falling 10% to 871 million Swiss francs. On an LFL basis, the segment contracted by 0.4%. Growth in high-growth markets slowed to 4.0% from 12.8% a year earlier, while mature markets grew by 1.7%. Geographically, performance was uneven. Asia Pacific led the way with 4.1% LFL growth, while North America remained nearly flat at 0.1% and Europe dipped 0.4%. The most significant contractions occurred in South Asia, Africa, and the Middle East, which fell 7.1% LFL, and Latin America, which decreased 3.1% LFL.