Sensient Reports Q4 and 2021 Sales Results

Sensient has released its fourth-quarter results, reporting adjusted fourth-quarter local currency revenue growth of 11% and adjusted local currency EBITDA growth of 15%.

Report: Sensient Flavors & Extracts Introduces Boundless Line of Chili Extracts

Highlights of the report include:

• The Flavors and Extracts Group achieved 9% adjusted local currency revenue growth and 15% adjusted local currency operating profit growth.
• The Color Group finished 2021 with 9% adjusted local currency revenue growth and 5% adjusted local currency operating profit growth. This group also delivered 16% adjusted local currency revenue growth and 19% adjusted local currency profit growth in the quarter.
• Asia Pacific reported adjusted local currency revenue growth of 10% and adjusted local currency profit growth of 22%. This group also delivered 15% adjusted local currency revenue growth and 25% adjusted local currency profit growth in the fourth quarter.
• The Flavors and Extracts finished 2021 reporting 8% adjusted local currency revenue growth in the fourth quarter and 11% adjusted local currency profit growth in the fourth quarter. The growth in the Flavors and Extracts Group is a direct result of strong new sales wins and more value-added products solutions.
• For the full year of 2021, the group's adjusted operating profit margin increased 60 basis points from 12.9% to 13.5%.
• Double-digit revenue and profit growth were seen in both food and pharmaceutical colors and personal care, driven by new product launches and solid demand for natural colors.
• Expansion of the personal care product portfolio should help fuel consistent Eastern growth for the foreseeable future.
• Fourth-quarter GAAP diluted earnings per share were $0.65. Included in these results are approximately $0.07 per share of divestiture costs and the cost of the operational improvement plan. GAAP earnings per share in the fourth quarter of 2021 include approximately 700,000 of revenue and 500,000 of operating expenses related to the results of the divested operations.
• Adjusted local currency EBITDA was up 14.7% for the quarter and adjusted local currency EPS was up 21.3% for the quarter.
• Capital expenditures were $61 million for 2021. Sensient purchased approximately 492,000 shares of company stock in 2021 for nearly $43 million. Debt to adjusted EBITDA is now 2.0 as of December 31, 2021, down from 2.4 as of December 31, 2020.

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