- DSM-Firmenich‘s adjusted EBITDA for the second quarter was €610 million, rising 19% compared to last year, but it fell short of the estimated €620.4 million.
- The adjusted EBITDA margin improved to 18.9%, up from 15.9% in the previous year.
- Net sales reached €3.24 billion, marking a 0.3% increase year-on-year, which aligned with expectations.
- Organic sales rose by 6% over the past year.
- The company forecasts 2025 adjusted EBITDA at €2.4 billion, which meets previous expectations and is slightly above the estimate of €2.39 billion.
- DSM-Firmenich anticipates a stronger cash flow performance in the latter half of the year, aiming to achieve an adjusted gross operating cash-to-sales ratio target of over 10% for the full year.
- In 2025, a total contribution of approximately €100 million to adjusted EBITDA is expected, with €45 million realized in the first half of the year.
- The company’s stock has strong support, with 20 analysts recommending a buy, none holding, and only 2 suggesting a sell.
DSM-Firmenich on Smartkarma
On Smartkarma, the independent investment research network, analysts from The IDEA! have provided valuable insights on DSM-Firmenich. In their report titled “What’s New(s) in Amsterdam – 3 April,” they highlight dsm-firmenich’s recent move to increase its shareholding in Yantai DSM Andre Pectin Company. The company has successfully raised its stake to 90.5% from 75%, solidifying its position in the specialty food ingredient sector. This strategic acquisition aligns with DSM-Firmenich‘s growth efforts, as it originally acquired a 29% stake in Andre Pectin back in 2013 and further expanded its interest by purchasing an additional 46% stake in 2019 for approximately EUR 150m.
A look at DSM-Firmenich Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 4 | |
| Growth | 2 | |
| Resilience | 3 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts reviewing the Smartkarma Smart Scores for DSM-Firmenich AG have indicated a positive long-term outlook for the company. With strong scores of 4 in both Value and Dividend categories, DSM-Firmenich is perceived favorably in terms of its financial stability and returns to investors. However, its Growth and Momentum scores are lower at 2, suggesting a slower growth trajectory and limited short-term price momentum. Additionally, the Resilience score of 3 indicates a moderate ability to withstand market fluctuations.
DSM-Firmenich AG, a pioneer in nutrition, health, and beauty products with a global customer base, is recognized for its innovation in combining essential nutrients, flavors, and fragrances. While the company shows strength in value and dividends, its growth and momentum aspects may require further monitoring to capitalize on future opportunities.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
