Symrise falls 4% after Q3 sales miss, trims 2025 growth outlook

Investing.com -- Symrise AG (ETR:SY1G)G shares fell more than 4% on Tuesday after the German fragrance and flavor supplier lowered its full-year sales growth forecast and posted weaker-than-expected third-quarter results.

The Holzminden-based company reported 1.4% organic sales growth for the third quarter of 2025, below Jefferies’ estimate of 2.1% and the consensus forecast of 1.8%. 

Group sales came in at €1.22 billion, matching market expectations but 3% below Jefferies’ estimate of €1.26 billion. 

Jefferies said “scent & care drove the miss,” citing underperformance in that division compared with earlier projections.

Symrise narrowed its full-year organic sales growth guidance to 2.3% to 3.3%, down from the previous range of 3% to 5%. 

The new outlook “implies a broad Q4 OSG of 1.5% to 5.7%,” Jefferies said, citing “end market volatility into year end.” 

The brokerage maintained an “underperform” rating on the stock with a price target of €71, a 12% discount to Monday’s closing price of €80.32.

Sales in the Scent & Care division, which includes fragrance and cosmetic ingredients, reached €473 million, compared with Jefferies’ estimate of €493 million and consensus of €476 million. 

Organic growth was 1.7%, trailing Jefferies’ projection of 4.4% and the 3.6% consensus. Fragrance achieved mid-single-digit growth supported by consumer and fine fragrance demand, while Fine Fragrance posted mid-single-digit growth after double-digit expansion in the first half. 

“Aroma Molecules achieved lower growth vs PY impacted by price and volume pressure - competition from Asia and overall market volatility,” Jefferies said. 

Cosmetic Ingredients showed low-single-digit growth, the first organic increase of 2025, “signalling initial signs of recovery from previous UV destocking.”

The Taste, Nutrition & Health division, which produces flavorings and food ingredients, reported €750 million in sales with 1.2% organic growth, slightly ahead of Jefferies’ and consensus expectations of 0.7%. 

Food & Beverage recorded single-digit organic growth, led by Europe, Africa and the Middle East. 

“Beverages [posted] double-digit OSG, Naturals single-digit OSG, and slightly higher sales in Savory,” according to the report. 

Pet Food sales were in line with prior-year levels after price adjustments earlier in the year.

By geography, the Europe, Africa and Middle East region delivered the strongest performance with 4.5% organic growth and €514 million in sales. North America declined 1.1% to €300 million, Asia/Pacific increased 1% to €250 million, and Latin America fell 1.8% to €158 million. 

Foreign exchange effects reduced total sales by 4%, while portfolio changes subtracted 0.2%.

Symrise kept its EBITDA margin at 21.5% and reported a free cash flow margin of 14% for the period. 

The company’s market capitalization stood at €11.2 billion, with shares trading within a 52-week range of €115.55 to €72.40.

Jefferies added that the Scent & Care shortfall, combined with slower growth across regions, “drove the miss” versus internal estimates.