Colourful results from Sensient Technologies
week announced double digit growth for the second quarter ended 30
June 2002. Revenue increased 17.5 per cent to $239.6 million
(€235m), up from $203.9 million reported last year.
Colour, flavour and fragrance company Sensient Technologies this week announced double digit growth for the second quarter ended 30 June 2002. Revenue increased 17.5 per cent to $239.6 million (€235m), up from $203.9 million reported last year.
Cash flow from continuing operations in the second quarter increased 88.6 per cent over the previous year, marking the third consecutive quarter of significant increases. Diluted earnings per share from continuing operations for the second quarter were 44 cents, up from 38 cents per share for the previous year.
"Over the past year and a half, we have grown the business while steadily reducing our cost structure," said Kenneth P. Manning, chairman and CEO of Sensient Technologies. "The continuation of our successful acquisition programme and efforts to manage the business even more efficiently has built a strong base for the future."
"Sensient has become a global leader in several new and fast-growing markets. This expansion is part of a well-planned, long-term strategy to improve margins, expand growth opportunities and build value for shareholders," he concluded.
The company's flavours and fragrances unit revenues increased by 10.2 per cent to $147.4 million for the second quarter, compared with $133.7 million in the same period last year. The company reported that this reflects double-digit sales growth in fragrances and in dehydrated and beverage flavours.
Operating income increased 31.9 per cent to $23.7 million for the second quarter of 2002 compared with $18.0 million for the previous year. Operating margins improved 260 basis points in the quarter to 16.1 per cent from 13.5 per cent last year, primarily resulting from lower expenses and higher volumes, the company reported.
The colour unit's revenues increased by 26.5 per cent to $87.2 million in the second quarter of 2002 versus $69.0 million in the year ago period. The increase reflects the company's growing presence in specialty inks and dyes as well as growth in the pharmaceutical, cosmetic and natural colour product lines.
Revenue for the quarter in the Asia Pacific division grew 13.4 per cent as a result of strong sales in several markets including China, Australia and Thailand.