US flavours company International Flavors & Fragrances (IFF) announced a leap in fourth quarter earnings for 2001.
Fourth quarter 2001 earnings per share hit $0.30 (€0.35), an increase of 100 per cent and 67 per cent compared to pro forma and reported earnings per share excluding nonrecurring charges respectively for the fourth quarter 2000.
IFF acquired Bush Boake Allen in November 2000 and BBA's sales and operating results are included in the company's consolidated results from that date; pro forma results are prepared as though the acquisition of BBA occurred on 1 January 2000.
Earnings per share for the full year 2001 were $1.40, excluding the effect of certain non-recurring charges associated with the company's previously announced reorganisation. Including these non-recurring charges, earnings per share were $1.20.
Net income for the fourth quarter and full year 2001, excluding the effect of certain non-recurring charges, totalled $29.2 million and $135.1 million respectively. Including these non-recurring charges, net income for the full year 2001 was $116.0; there were no such charges in the fourth quarter 2001.
Sales for the fourth quarter 2001 reached $419.2 million in comparison to pro forma and reported sales of $444.1 million and $384.5 million in the fourth quarter 2000 respectively. Full year 2001 sales totalled $1,843.8 million in comparison to pro forma and reported sales of $1,880.6 million and $1,462.8 million for the full year 2000, respectively.
Richard A. Goldstein, chairman and chief executive officer of IFF, said:
"IFF began 2001 with two main priorities - continuing to focus on the integration of BBA and further implementing our reorganisation. Under our programmes, we achieved savings of $16 million in the fourth quarter and in excess of $40 million for the full year 2001. These savings enabled us to grow earnings despite the difficult sales and economic environment over the past year.
"We have improved our customer service and strengthened our relationships with key customers, invested in business development and implemented programs to retain key employees. The actions we've taken to streamline our business, coupled with our back-to-basics approach, are the cornerstones on which we will build future growth - achieving superior long-term operating results and enhancing shareholder value."
IFF is a leading creator and manufacturer of flavours and fragrances used in a wide variety of consumer products. The company has sales, manufacturing and creative facilities in 42 countries.