Another Record Year for Frutarom ­ Continues to Successfully Implement Its Rapid and Profitable Growth Strategy_by chemwinfo

23 March 2017

ABOUT FRUTAROM

DETAILS

• Record profits for 2016
  (adjusted for nonrecurring expenses²):

• Gross profit rose 31.4% to US$ 448.0 million;
• EBITDA rose 27.9% to a record US$ 217.3 million;
• Net income rose 16.6% to US$ 129.2 million;

• Sales rose 31.4% to a record US$ 1,147 million.
   Constant currency growth
   on a pro-forma basis¹ of 5.3%

• Core activity sales rose 35.4% 
   to a record US$ 1,067.5 million.
   Constant currency growth
   on a pro-forma basis¹ of 5.9%

• Flavors activity sales rose 39.3% 
   to a record US$ 846.5 million.
   Constant currency growth
   on a pro-forma basis¹ of 6.1%

• Specialty Fine Ingredient activity sales
   rose 23.2% to a record US$ 227.9 million.
   Constant currency growth
   on a pro-forma basis¹ of 6.1%

Frutarom Industries Ltd. ("Frutarom"),

reports another record-breaking results

for the fourth quarter of 2016 and

for the year in sales, gross profit,

operating profit, EBITDA,

net income and earnings per share.

The rapid increase in revenues stems

* from a combination of rapid internal growth

   in the core activities overall

* and the Flavors activity in particular,

* and the strategic acquisitions that were carried out.

Ori Yehudai,

President and CEO of Frutarom

“We are pleased with the additional leap forward we achieved in 2016

 in which we again registered record results in sales, profits and cash flow.

 Over the past four years we have doubled Frutarom’s revenues and profits,

 reflecting the successful implementation of

 our rapid and profitable growth strategy combining profitable internal growth,

 at growth rates higher than those of the markets in which we operate,

 together with strategic acquisitions that contribute

 to the continuing and consistent improvement in our results.

“The 31.4% accelerated growth of our activity in 2016 stems from

 continued rapid internal growth of our profitable Flavors activity

 at the rate of 6.1% (on a constant currency and pro-forma basis)

 and from the contribution of the strategic acquisitions we made.

“Further to the 11 acquisitions we made in 2015,

 since the beginning of 2016 we made another 9 strategic acquisitions

 and we progressed according to plan in fully merging and integrating them.

 We are continuing to create a strong quality pipeline of future acquisitions

 to support the fulfilling of our plan for accelerated growth

 in our core activities while expanding the share of the Flavors activity,

 including by gaining market leadership in the field of savory solutions

 and expanding the portfolio of natural solutions

 in the fields of flavors, health, colors and the natural antioxidants

 we offer our customers, and accelerating our growth

 and expanding our market share

 in North America and in emerging markets with high growth rates.

READ MORE

Contact Details:

ir@frutarom.com, 
+972-9-9603800

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