Givaudan Stock Tumbles on Weak Sales Growth and Profit Margins

Givaudan's stock price has taken a hit after the company announced its first-half sales figures, coming in at CHF 3.799 billion.

This marks a 1.7% decline from the prior-year period, largely due to the strong Swiss franc.

The contrast between growth and profitability is evident, with Fragrance and Beauty segment growing 6.5% on a like-for-like basis, while Taste and Wellbeing segment saw only a 0.5% increase.

Givaudan's adjusted EBITDA stood at CHF 923 million, but its margin fell to 24.3%, down from 25.2% in the first half of last year.