International Flavors & Fragrances Inc. announced sales of $597 million for the first quarter of 2008, a 5% increase from first quarter 2007. Reported sales benefited from the weaker U.S. dollar, mainly against the Euro. At comparable exchange rates, sales would have increased 1% compared to the prior year period.
"We are very pleased with the continued strength of our flavors business, which has delivered market share growth for seven consecutive quarters," said Robert M. Amen, chairman and CEO, IFF. "Our fragrance business results were mixed. Functional fragrance sales were strong in Asia and Europe, although this performance was offset by weakness in global fine fragrance and North America functional fragrance sales."
Earnings per share as reported were $.69 in both the first quarter of 2008 and 2007. Operating profit for the quarter was 16% of sales, including the pre-tax restructuring charges of $6.2 million, compared to 16.8 percent in the prior year period.
"Despite the challenging U.S. economic environment, which we anticipate will continue for some time, we remain confident about our growth prospects—particularly in the emerging markets—and our ability to deliver on our financial goals," said Amen.
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