Givaudan Group sales for the first six months of the year totalled CHF 2,225 million, an increase of 5.7% on a like-for-like basis and 4.7% in Swiss francs.

Fragrance Division sales were CHF 1,047 million, an increase of 5.5% on a like-for-like basis and 5.3% in Swiss francs.

Flavour Division sales were CHF 1,178 million, an increase of 5.8% on a like-for-like basis and 4.1% in Swiss francs.

Fine Fragrance sales grew 2.5% on a like-for-like basis in the first half year. Sales recovered strongly in the second quarter.

The business continues to make strong progress in developing markets. At the half year, sales growth in Latin America was double-digit, through a combination of new wins and volume growth, with Brazil continuing to lead the way. In Central Asia, Middle East and Africa the business also delivered strong growth.

In Western Europe and North America sales growth in the second quarter was double-digit, driven by an increase in new business and a reduction in the level of erosion.

Givaudan’s fragrances had another strong showing at the major award ceremonies in Europe and the USA. Fragrances recognised include Tom Ford Noir, Tom Ford Café Rose, Prada Luna Rossa, James Bond 007 by James Bond, Red Sin by Christina Aguilera, and True Reflection for Kim Kardashian.

Overall, Givaudan’s gross margin increased to 44.3% from 42.3%, driven by the residual price increases implemented during the last two years to offset increases in raw material costs, and the positive leverage effect from the strong volume gains.

In addition, the Company is capitalising on its recently completed ERP project to create supply chain efficiencies. The transfer of products to the new Flavours manufacturing facility in Makó, Hungary continues in line with project timelines.

The net income for the first six months of 2013 was CHF 271 million compared to CHF200millionin 2012, an increase of 35.5%. This results in a net profit margin of 12.2%, versus 9.4% in 2012. Basic earnings per share were CHF29.61 versus CHF21.98 for the same period in 2012.

Here are a few more highlights:

• Sales CHF 2.2 billion, up 5.7% on a like-for-like basis
• Full project pipeline and strong win rate across all regions and segments
• Developing markets account now for 45% of sales and grew 9.4% on a like-for-like basis
• EBITDA increased by 16.4% to CHF 509 million
• EBITDA margin improved to 22.9% from 20.6% in 2012
• Net income CHF 271 million, up 36.0% year on year
• Free cash flow improved to 9.3% of sales, compared to 5.7% in 2012