Latest Givaudan sales figures. Interview with CEO Gilles Andrier (premium).
During its annual investor conference in Zurich, Givaudan (Geneva) has unveiled a five-year plan for annual growth of 4.5-5.5% (predicted industry average: 2-3%) with a focus on five key strategies, "efficiency improvements" and a relocation of savory activities.
To grow, the company will:
- boost percentage of overall sales from the developing world to 50% by 2015 (current: 41%);
- invest CHF 300 million per year into R&D in pursuit of "relevant solutions";
- expand its health and wellness market share via programs such as TasteSolutions;
- focusing on naturals as part of its larger sustainable raw material initiatives;
- and expand its presence in product categories in which it is currently underrepresented.
Meanwhile, the company will reduce its savory manufacturing activities in the United Kingdom and Switzerland and move them to a CHF 170 million Hungarian site in order to be closer to the fast-growing Eastern European market. The company expects this project will take about seven years. This and additional measures are expected to save the company approximately CHF 75 million. As much as two thirds of the costs will impact 2010 financials.
UPDATE: swissinfo is reporting that the production moves will result in the cutting of 120 jobs at the Kempthal, Switzerland facility.
