The company is on track.“With respect to the second quarter of 2016, we are pleased to report our performance was consistent with our expectations for all of our key financial metrics,” Andreas Fibig, IFF’s chairman and CEO, tells the press.
“As we have started the year well…we remain cautiously optimistic in achieving our previously stated currency neutral guidance given the continued macroeconomic uncertainty,” he adds.
Regional beauty
IFF is headquartered in New York City and looking to be competitive in key markets, including its home region. The 5% gain in North American sales the company saw this quarter came mostly from input made by companies or businesses IFF acquired.
The company points to its acquisition of Lucas Meyer Cosmetics, a business that “achieved double-digit growth on a standalone basis,” according to the IFF press release about the latest financial results.
And just last month the company invested in Bio ForeXtra to gain access to more raw materials for is cosmetics ingredient business, as Cosmetics Design reported.
That deal is designed to help IFF “create differentiation in the cosmetic actives business by providing unique benefits to consumers, which is increasingly important in a highly competitive market,” Fibig told the press in July. “We believe the access we will gain to sustainably sourced extracts from the Boreal Forest of Canada will provide us with a competitive edge.”
Fragrance notes
Among the strategic innovations that IFF celebrates in the Q2 report is the company’s new PuraVita fragrance. It’s a fragrance that meets strict sustainability criteria and holds a Cradle to Cradle certification.
When PuraVita was shown at the Sustainable Cosmetics Summit in New York City, Fibig remarked, “our new PuraVita fragrance is a clear demonstration of how we are building on our legacy of pioneering firsts, infused with a sustainable mindset, to inspire new possibilities in R&D and product creation.”
The IFF fragrances business unit overall reported a 5% sales increase. Fine fragrance was down by 1%. Business in North America and EAME was not especially good. Though, fine fragrance in Latin America saw sturdy double-digit growth.