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Leffingwell &
Associates
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 Alchemist WebPick Awarded by the webzine of ChemWeb.com  |
2001 - 2005 Estimated Sales Volume in
Millions
(Final Estimate as of October 26, 2006)
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Leffingwell &
Associates
|
Alchemist WebPick Awarded by the webzine of ChemWeb.com |
2001 - 2005 Estimated Sales Volume in
Millions
(Final Estimate as of October 26, 2006)
.. Company 2001 2001 Est. 2001 2002 2002 Est. 2002 2003 2003 Est. 2003 2004 2004 Est. 2004 2005 2005 Est. 2005 ... Rank .. Country Currency =US $ Market Share1 Country Currency =US $ Market Share1 Country Currency =US $ Market Share1 Country Currency =US $ Market Share1 Country Currency =US $ Market Share1 Source 1 Givaudan 2,399 CHF $1,446.0 11.4% 2,674 CHF $1,932.8 12.8% 2,715 CHF $2194.1 13.5% 2,680 CHF $2,346.9 13.3% 2,778 CHF $2,108.9 13.2% 2 IFF $1,843.80 $1,843.8 14.5% $1,809.20 $1,809.2 12.0% $1901.5 $1901.5 11.7% $2,033.7 $2,033.7 11.5% $1,993.4 $1,993.4 12.5% 3(3) Firmenich 1900 CHF $1,145.2 9.0% 1,900 CHF $1,373.3 9.1% 1,976 CHF $1596.9 9.8% 2,035 CHF $1,782.1 10.1% 2,308 CHF $1,752.1 11.0% 4 Symrise NA NA NA 1,240 € $1,300.2 8.6% 1160.4 € $1462.2 9.0% 1,138.1 € $1540.3 8.7% 1,148.9 € $1,360.2 8.5% 5 Quest International 727 £ $1,057.3 8.3% 716 £ $1,152.7 7.6% 553 £ $987.5 6.1% 575 £ $1,101.6 6.2% 560 £ $963.4 6.0% 6(4) Takasago 103699 ¥ $791.6 6.2% 100837 ¥ $849.8 5.6% 96,161 ¥ $897.7 5.5% 101,205 ¥ $985.1 5.6% 105,721 ¥ $898.3 5.6% 7(6) Sensient Flavors $383.7*** $383.7*** 3.0% $423*** $423*** 2.8% $452.0*** $452.0*** 2.8% $499.2*** $499.2*** 2.8% $516.4*** $516.4*** 3.2% 8(5) T. Hasegawa 42,483 ¥ $324.3 2.6% 45,196 ¥ $380.9 2.5% 46465 ¥ $433.8 2.7% 50381 ¥ $490.4 2.8% 47,752 ¥ $405.7 2.5% 9 Mane SA ~1601 FF ~$ 235 1.9% 256 € $268.5 1.8% 246.2 € $310.2 ~1.9% 255 € $345.1 2.0% 263 € $311.4 1.9% 10 Robertet SA 203 € $180.6 1.4% 207.50 € $217.5 1.4% 202.1 € $254.7 1.6% 203.7 € $275.7 1.6% 207 € $245.1 1.5% ... Top Ten Totals .. $8,316.9 65.5% $9754.6 64.6% ... $10,554.70 64.75% ... $11,469.4 64.96% ..... $10,555.0 66.0% ... All Others $4,383.1 $5,345.4 ... $5,745.3 ... ... $6,188.0 35.04% ... $5,445.0 34.0% ... Total Market $12,700 $15,100 ... $16,300 ... ... $17,657.4 ... .. $16,000 ... 11 Frutarom NA NA NA NA NA NA $139.3 $139.3 0.9% $196.8 $196.8 1.1% $243.8 $243.8 1.5% 12 Danisco ~193 € ~$171.7 1.4% ~251 € ~$263.2 1.7% ~253 € ~$318.8 ~2.0% ~255 € ~$345.1 2.0% ~201.0€ ~$238.0 1.5% 13 Degussa Flavors & Fruit
Systems 236 € $210.0 1.7% 223 € $233.8 1.5% ~205 € ~$258 ~1.6% ~203 € ~$274.7 1.6% ~195 € ~$230.9 ~1.4% Top 12/13 Totals $8,707.5 68.6% $10,205.9 67.6% ... $11,206.7 68.8% ... $12,201.6 69.1% ... ... ~$11,267.7 ~70.4% ...
Sales results for 1999 to 2002 are available HERE and for 2000 to 2003 click HERE
On September 19, 2006, Danisco announced a restructuring of its ingredients divisions including the designation of the Flavorings sector into a separate division. In this announcement, Danisco stated that "this one product area had recorded revenue of around DKK 1.5 billion in 2005/06, equivalent to 12% of revenue in Ingredients. At December 31, 2005 exchange rates this equates to sales in US $ of ~238.0 million or in Euros of € ~201.0 million. This change reshuffles our previous estimate that Danisco was the No. 10 company (with our prior sales estimate of US $~279.4 million). Accordingly, this moves Robertet SA to No. 10 and Frutarom to No. 11 with Danisco now being No. 13.
Note - It is quite possible that Mastertaste (Kerry Ingredients) should be included as one of the Top Ten for 2004 (particularly in view of numerous recent acquisitions). However, there is a lack of firm sales data information, as the company has not made these disclosures.
Rank is based on US$
equivalents
(1) Estimated 1999 Total World
Flavor & Fragrance Sales of US $12.9 Billion. Again in year
2000, we estimate that sales growth in local currencies was about
3-4%, but the continued strengthening of the U.S. dollar against
major currencies once again leaves the estimated total market in U.S.
dollars at about U.S 12.9 Billion. For 2001 we believe that growth in
local currencies was about 2% or less and that in US $ equivalents
the market shrank to about U.S $12.7 Billion based on the strength of
the dollar. For 2002, we estimate that the total world market is
$15.1 billion. This sizable increase reflects a decrease in the value
of the U.S. dollar of about 17.8% vs. major currencies at 12/31/02 vs
12/31/01. The continued weakness of the U.S. dollar in 2003 against
the worlds major currencies (a decline of about 16%) again has
affected the size of the total market in U.S. dollars (the 2003
estimate being about U.S. $16.3 billion). For 2004, the U.S. $ was
again down about 5-6% against major currencies. We estimate that
growth in local currencies was about 3% resulting in a total market
size of about U.S. $17.7 billion. For 2005, the U.S. $
strengthened by about 12% against major currencies. We estimate that
growth in local currencies was about 3% in 2005 resulting in a total
market size of about U.S. $16.0 billion.
It should be noted that Givaudan in 2001 estimates the total F&F market at "roughly" 15 billion CHF (U.S. $ 8.7 billion) while in a market study (April , 2001) ChemSynergy estimates the market for flavor and fragrance products is at present globally in the order of $12.24 billion. Also in a market study by The Freedonia Group, they estimated the world F&F market as $14.15 billion in 1999 with a projected growth to $18.4 billion by 2004. Get a copy of the Freedonia Press Release. Finally, Sensient Technologies estimates the global market at $16.2 billion (presumably including herbs & spices?).
(3) Accounting Period of July 1 to June
30
(4) Accounting Period of April
1 to March 31
(5)Accounting Period of Sept. 1
to August 31; Net sales given are Company consolidated sales, See
T.Hasegawa
Co., Ltd.
(6) Accounting Period of Sept.
1 to August 31 until year 2000. Information in Universal Foods 1999
Annual Report (available online) indicates UF Flavor sales for 1995
($371 million), 1996 ($359 million), 1997 ($321 million), 1998 ($347
million), and 1999 ($374 million). In year 2000, Universal Foods
changed is name to SENSIENT TECHNOLOGIES CORPORATION and the Flavor
division is now known as Sensient Flavors. In addition, the
accounting period was changed to January 1 - December 31 starting in
year 2000 and in the "funny" way of making one look larger than they
really are in F&F, Sensient's Flavor sales for 2000 now include
"Dehydrated Products" (onion/garlic/chilies/dehydrated vegetables)
which are not flavors or fragrances in the conventional sense.
In our figures for Sensient, we have removed sales for the
"Dehydrated Products".
Note - all foreign currency
calculations for the table are based on December
31 rates for the year
indicated
Note - for companies with
accounting periods that overlap calendar years, sales are stated for
the year in which the majority of sales periods occur. For example,
if Takasago's year end is March 31, 2002 we treat that as year 2001
sales. Similarly, if Firmenich's year end is June 30, 2002 we report
the year ending as 2001 sales. While not exact, we feel that this
treatment still provides an accurate overall basis for comparison.
Similarly, as noted, currency calculations are based on calendar year
end rates for comparison consistency. If fiscal year end rates were
employed the U.S. $ figures would be somewhat different, but totally
confuse comparisons.
Note - Top Ten Total for market share does
not add due to rounding for individual companies.
*** See Note (6). F&F figures in the table above for Sensient Flavors are estimates as we have removed reported sales of "Dehydrated products" (27% of reported F&F revenues) from their stated "Flavor & Fragrance Sales" of $525.7 million for 2001; 26% of reported F&F revenues of $572.2 million for 2002; 24% of reported F&F revenues of $594.7 million 2003; 23% of reported F&F sales of $648.3 million (restated) in 2004 and 23% of reported F&F sales of $670.6 million in 2005 in order to have a reasonable year to year comparison.
Lazlo Unger, an economist at Givaudan , estimated the world F&F market at US 4.0 billion in 1979, 4.2 billion in 1981 (Source: Perfumer & Flavorist, Vol. 7, August/September, 1982, p. 52) and 7.0 billion in 1987 (Source: Perfumer & Flavorist, Vol .14, May/June, 1989, p. 43). Hans Hartmann of H&R estimated the world F&F market at US $ 7.8 billion in 1990 and 9.6 billion in 1995 (Source: Perfumer & Flavorist, Vol .21, March/April, 1996, p. 22), and the flavor market (only) at 4.5 billion in 1994 (Source: Perfumer & Flavorist, Vol . 20, September/October, 1995, p. 35). Ron Fenn of IFF estimated the total F&F market in 1995 at about US $ 10 billion and projected a market of 12 billion in the year 2000 (Source: Perfumer & Flavorist, Vol .23, March/April, 1996, p. 11 ) in concurrence with (or based on) Hartmann's estimates.
For information, Unger also estimated 1987 world F&F sales by category as follows:
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Fragrance compounds |
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Flavor compounds |
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Aroma Chemicals |
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Essential Oils & Other Natural Products |
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Sensient Technologies Flavors & Fragrances Group 2005 Sales, For the year, Sensient's Flavors & Fragrances Group revenue increased 3.4%, to $670.6 million. Operating income for the year declined 2.7% to $82.5 million, compared to 2004 as restated. As "dehydrated products" accounted for 23% of the groups sales (and are not normally considered flavors & fragances), Leffingwell & Associates estimates that "True" Flavor & Fragrance sales were about $516 million in 2005. For a 10 year history of SENSIENT TECHNOLOGIES CORPORATION sales click HERE.
IFF 2005 Sales Results - NEW YORK, January 25, 2006 - Sales in 2005 totaled $1,993.4 million, declining 2% in reported dollars and 3% in local currency in comparison to the prior year.
Firmenich 2005/2006 Sales - 13 October 2006 - Firmenich posted sales growth of 8.7% in local currencies, 13.5% in Swiss Francs, for its fiscal year ended June 2006, with an annual turnover of CHF 2,308 million. "Our exceptional growth positioned us as the world’s number one Perfume and Ingredients Company and strengthened our overall position among the top three companies in the Fragrance and Flavor industry."
Symrise 2005 Sales (& IPO?) - May 10, 2006 - Symrise booked 2005 sales of € 1,148.9 million, essentially flat compared to 2004 sales of € 1,138.1 million. In addition, Symrise is considering an initial public offering as early as 2007, its chief executive told Dow Jones Newswires. "An IPO is one of the scenarios for the exit of our private equity shareholders," CEO Gerold Linzbach said. Symrise spokeswoman Katja Derow added, a decision by the 76% owner, Swedish private equity company EQT, is likely to be made in 2007. EQT declined to comment. (Source - Morningstar)
Givaudan 2005 Sales Results - Geneva, Switzerland, 21 February 2006 - Givaudan's 2005 sales increased to CHF 2,778 million (an increase of 2.5% in local currencies and a 3.6% in Swiss Francs) while Operating profit increased by 7% to CHF 513 million with a strong operating cash flow of CHF 502 million. Net profit increased by 21% to CHF 406 million. Earnings per share increased by 27% to CHF 56.57 per share. The Fragrance division recorded sales of CHF 1,131 million, a growth of 4.2% in local currencies and 5.4% in Swiss Francs. Flavours sales of CHF 1,647 million grew 1.3% in local currencies and 2.5% in Swiss Francs. Th Companies gross profit margin improved from 47.7% to 48.9% in 2005.
Quest Intl 2005 Sales Results - February 9, 2006 - Quest's 2005 sales were 560 £m. For the full year, reported sales were -4%, with comparable sales +3% ahead of 2004 with both Flavours and Fragrances delivering growth. Overall gross margin percentages were broadly unchanged despite rising raw material costs. With costs below gross margin slightly lower, trading profit was 28% ahead. For the full year, comparable Fragrance sales sales were +5% with trading profit well ahead. For the full year Flavour sales were 2% ahead of 2004 and trading profit was significantly higher.
T. Hasegawa 2005 Sales Results - For the year ending Sept. 30, 2005, consolidated Net sales declined 5.2% to 47,752 million Yen while net income increased 7.2% to 3,882 million Yen.
Takasago 2005 Sales Results - May 15, 2006 - Takasago's 2005/06 sales increased 4.5% to ¥ 105,721,000 from ¥ 101,205,000 in the prior year while net income decreased 10.2% to ¥ 2,907,000 from ¥ 3,257,000. It should be noted however that earnings in 2004/05 had increased an astounding +80.2% from 2003/04. For a 10 year history of Takasago sales click HERE.
Mane - 2002 sales were 256 € (million) (personal communication). For 2003 sales results for Mane were 246.2 € (million) and for 2004 were 255 € (million) and for 2005 were 263 € (million).
Robertet - 2004 sales were 203.7 € (million) and in 2005 were 207 € (million).
Danisco Restuctures - On September 19, 2006, Danisco announced a restructuring of its ingredients divisions including the designation of the Flavorings sector into a separate division. In this announcement, Danisco stated that "this one product area had recorded revenue of around DKK 1.5 billion in 2005/06, equivalent to 12% of revenue in Ingredients. At December 31, 2005 exchange rates this equates to sales in US $ of ~238.0 million or in Euros of € ~201.0 million. This change reshuffles our previous estimate that Danisco was the No. 10 company (with our prior sales estimate of US $~279.4 million). Accordingly, this moves Robertet SA to No. 10 and Frutarom to No. 11 with Danisco now being No. 13.
Frutarom 2005 sales were US $243,803,000 (up 23.9%) from 2004 sales of $196,780,000.
Disclaimer: The figures reported are
derived from reliable published sources and represent our
best estimates. We disclaim any material interest in any of
the companies for which information is provided. Statements
presented here which are not historical facts or information
must be considered "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of
1995, and are subject to risks and uncertainties that could
cause a company's actual results to differ materially from
those expressed or implied by such forward-looking
statements. Risks and uncertainties with respect to a
company's business include general economic and business
conditions, the price and availability of raw materials, and
political and economic uncertainties, including the
fluctuation or devaluation of currencies in countries in
which a company does business. Investors should not accept
any information presented here as fact without independent
verification. If errors are found in our market analysis, we
would gratefully accept factual corrections. This information is provided gratis as a
service to those in the Flavor & Fragrance
industry.
June 23, 2000 - A press release from
IAL Consultants estimated the World F&F market at $10.4
billion. The following chart shows the estimates as to the market
breakdown.
Email: leffingwell@mindspring.com
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Leffingwell &
Associates
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