International Flavors & Fragrances (IFF) Barclays 17th Annual Global Consumer Staples Conference summary

Leadership and strategic vision

• CEO brings 42 years of experience in chemical and biological industries, emphasizing innovation and sustainability.

• Focus on building a company that delivers short-term results while preparing for growth in 2025 and beyond.

• Commitment to providing guidance that is achievable under reasonable scenarios.

• Shift to an end-to-end business model, empowering business units with full accountability.

• Executive team alignment and clarity in decision-making are prioritized.

Financial performance and guidance

• Achieved two consecutive quarters of solid growth, with Q3 off to a strong start.

• Volume growth guidance for the year is 3%-5%, with Q3 expected up 4% and Q4 flat.

• Guidance assumes low end-market growth and reflects market uncertainties.

• Productivity improvements and selective cost-cutting support performance.

Business segment updates and portfolio strategy

• Functional ingredients pricing adjusted after previous overpricing led to lost business; now using targeted, market-aligned pricing.

• Portfolio optimization underway, focusing on high-value, innovation-driven segments and evaluating commoditized areas for long-term fit.

• Consumer fragrances show double-digit growth, while fine fragrances have slowed to mid-single digits due to tougher comparisons.

• Management changes and renewed focus have energized the scent division.