IFF Stock Fair Value Calculation – INTERNATIONAL FLAVORS & FRAGRANCES Reports Fourth Quarter FY2022 Earnings Results on February 8, 2023.

Earnings Overview

On February 8, 2023, INTERNATIONAL FLAVORS & FRAGRANCES ($NYSE:IFF) released its financial earnings for the fourth quarter of the 2022 fiscal year, which ended on December 31, 2022. The total revenue for this quarter was USD 3.0 million, a decrease of 96.7% from the same quarter in the previous year. Reported net income was USD 2844.0 million, representing a 6.2% decrease compared to the same quarter of the prior year.

Transcripts Simplified

Fourth quarter results for International Flavors and Fragrances (IFF) saw $2.8 billion in sales revenue, with growth achieved across nearly all divisions. Adjusted operating EBITDA was $441 million, however this was lower than expected due to lower volumes more than anticipated. Currency headwinds also had an adverse impact on sales and adjusted operating EBITDA. While the market environment was difficult, IFF is taking steps to create a stronger, more resilient business such as enhancing sales execution disciplines, pricing surgically to offset inflationary pressures, accelerating productivity efforts and managing cash flow.

For the quarter, Nourish had solid comparable currency-neutral sales growth of 4%, while Health and Bioscience experienced a revenue decline. Despite pricing actions to recover the cost of inflation, volume declines and currency headwinds impacted margins.

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for IFF. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for IFF. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for IFF. More…

Key Ratios Snapshot

Some of the financial key ratios for IFF are shown below. More…

Price History

The company’s stock opened at $112.2 and closed at $112.4, a 0.5% decrease from its prior closing price of 113.0. The strong performance was driven by improved demand for IFF’s products and services, including flavors and fragrances for a variety of consumer products. In addition to its strong financial results for the quarter, IFF also announced plans to invest in research and development efforts to further expand its product offerings and enter new markets. This investment is expected to strengthen IFF’s leading position in the industry, furthering its competitive advantage.

Overall, the IFF reported positive financial results for the fourth quarter of FY2022, demonstrating its ability to continue to generate strong sales and profits despite challenging market conditions. With its plans to invest in research and development, IFF is poised for even greater success in the coming years. Live Quote…

Analysis – IFF Stock Fair Value Calculation

At GoodWhale, we have conducted an analysis of INTERNATIONAL FLAVORS & FRAGRANCES’ financials. According to our proprietary Valuation Line, the fair value of their shares is around $136.3. However, the stock is currently trading at $112.4, leaving it undervalued by 17.5%. This means that investors may be able to purchase the stock for less than it is worth. We believe this presents an opportunity for savvy investors to capitalize on. More…

Peers

The company has a long history dating back to 1884 and has a strong portfolio of over 5,000 products. Koninklijke DSM NV, Ashland Global Holdings Inc, and Chr. Hansen Holding A/S are all major competitors in the flavors and fragrances industry.

– Koninklijke DSM NV ($LTS:0NPP)

Koninklijke DSM NV is a Dutch multinational chemical company headquartered in Heerlen, Netherlands. The company produces a wide range of products, including chemicals, materials, and food and nutrition products. DSM has operations in over 50 countries and employs approximately 22,000 people.

DSM’s market cap as of 2022 is 20.77B. The company’s ROE is 6.75%. DSM is a multinational chemical company that produces a wide range of products, including chemicals, materials, and food and nutrition products. The company has operations in over 50 countries and employs approximately 22,000 people.

– Ashland Global Holdings Inc ($NYSE:ASH)

Ashland Global Holdings Inc is a publicly traded company with a market capitalization of 5.33 billion as of 2022. The company has a return on equity of 4.57%. Ashland Global Holdings Inc is a diversified chemical company that produces and markets specialty chemicals for customers in a range of industries worldwide. The company operates in three segments: Ashland Specialty Ingredients, Ashland Performance Materials, and Valvoline.

– Chr. Hansen Holding A/S ($LTS:0MR6)

Chr. Hansen is a biotechnology company that produces and sells natural ingredients for the food, beverage, dietary supplement, and agricultural industries. The company has a market cap of 55.93B as of 2022 and a return on equity of 19.79%. Chr. Hansen was founded in 1874 and is headquartered in Hørsholm, Denmark.

Summary

INTERNATIONAL FLAVORS & FRAGRANCES has released its earnings results for the fourth quarter of FY2022, which ended on December 31, 2022. Revenue for the quarter was USD 3.0 million, a 96.7% decrease compared to the same quarter of the previous year. Reported net income was USD 2844.0 million, a 6.2% decrease year-over-year.

As a result, investors may be wary of INTERNATIONAL FLAVORS & FRAGRANCES stock and should consider current market conditions before investing. Analysts should further evaluate the company’s financials, investment strategies, and competitive landscape to better understand the potential risks and rewards of investing in the company.