International Flavors & Fragrances Inc (IFF) 2025 Q1 法說會逐字稿

At this time, I would like to welcome everyone to the IFF's first-quarter 2025 earnings conference call. (Operator Instructions)

現在，我歡迎大家參加 IFF 2025 年第一季財報電話會議。（操作員指示）

I would now like to introduce Michael Bender, Head of Investor Relations. Michael, you may begin.

現在我想介紹投資人關係主管 Michael Bender。邁克爾，你可以開始了。

Thank you. Good morning, good afternoon, and good evening, everyone. Welcome to IFF's first-quarter 2025 conference call. Yesterday afternoon, we issued a press release announcing our financial results. A copy of the release can be found on our IR website at ir.iff.com. Please note that this call is being recorded live, and will be available for replay.

謝謝。大家早安、下午好、晚上好。歡迎參加 IFF 2025 年第一季電話會議。昨天下午，我們發布了一份新聞稿，宣布了我們的財務表現。您可在我們的 IR 網站 ir.iff.com 上找到該新聞稿的副本。請注意，本次通話正在現場錄音，並可重播。

During the call, we'll be making forward-looking statements about the company's performance and business outlook. These statements are based on how we see things today and contain elements of uncertainty. For additional information concerning the factors that can cause actual results to differ materially, please refer to our cautionary statement and risk factors contained in our 10-K and press release, both of which can be found on our website.

在電話會議中，我們將對公司的業績和業務前景做出前瞻性陳述。這些表述是基於我們今天對事物的看法，包含不確定因素。有關可能導致實際結果大不相同的因素的更多信息，請參閱我們的 10-K 和新聞稿中包含的警告聲明和風險因素，這兩者都可以在我們的網站上找到。

Today's presentation will include non-GAAP financial measures, which exclude those items that we believe affect comparability. A reconciliation of these non-GAAP financial measures to their respective GAAP measures is set forth in the press release that we issued yesterday.

今天的演示將包括非公認會計準則財務指標，其中不包括我們認為影響可比性的項目。我們昨天發布的新聞稿中列出了這些非 GAAP 財務指標與各自的 GAAP 指標的對帳。

With me on the call today is our CEO Erik Fyrwald; and our CFO, Michael DeVeau. We will begin with prepared remarks, and then take questions at the end. With that, I would now like to turn the call over to Erik.

今天與我一起參加電話會議的是我們的執行長 Erik Fyrwald；以及我們的財務長 Michael DeVeau。我們將從準備好的發言開始，然後在最後回答問題。說完這些，我現在想把電話轉給艾瑞克。

Thanks, Mike, and hello, everyone. I look forward to discussing our first-quarter financial results, which build on our strong performance in 2024, and demonstrate continued growth and progress toward our strategic goals.

謝謝，麥克，大家好。我期待討論我們的第一季財務業績，該業績以我們 2024 年的強勁業績為基礎，並展示了我們戰略目標的持續增長和進步。

Now, despite the current uncertainty and challenges in the wider macroeconomic environment, IFF continues to deliver solid results as we focus on what we can control by delivering top-notch innovation to our customers while continuing to reinvest in the long term value creation opportunities for our business.

現在，儘管目前宏觀經濟環境充滿不確定性和挑戰，但 IFF 仍繼續取得穩健的業績，因為我們專注於我們能夠控制的事情，透過向客戶提供一流的創新，同時繼續為我們業務的長期價值創造機會進行再投資。

I'll begin by walking through the quarter, as well as the steps we are taking to manage through the current macro environment and further drive long-term profitable growth. I'll then turn the call over to Mike DeVeau, who will provide a more detailed look at our financial results and our current outlook for the rest of 2025. Then, we'll open the call for questions.

我將首先介紹本季的情況，以及我們為應對當前宏觀環境和進一步推動長期獲利成長而採取的措施。然後，我將把電話轉給 Mike DeVeau，他將更詳細地介紹我們的財務業績以及我們對 2025 年剩餘時間的當前展望。然後，我們將開始提問。

Now, beginning with slide 6. IFF had a solid start to the year with our refreshed strategy and renewed commitment to operational discipline, driving solid results across our businesses. As we've heard previously, one element of our enhanced business-led operating model was separating our former nourish segment into two segments of taste and food ingredients.

現在，從第 6 張投影片開始。IFF 憑藉更新的策略和對營運紀律的重新承諾，在新的一年裡取得了良好的開端，推動了各項業務的穩健成長。正如我們之前所聽到的，我們增強的業務主導營運模式的一個要素是將我們以前的營養部門分為口味和食品配料兩個部分。

Separating these businesses into focused units enables us to better track their progress, more quickly identify growth and margin opportunities, and drive performance and accountability across our portfolio. With this in mind, we are pleased to have delivered strong, broad-based growth across four of our business segments in the first quarter, including Taste, Pharma Solutions, Scent, and Health and Biosciences.

將這些業務劃分為重點部門使我們能夠更好地追蹤其進展，更快地發現成長和利潤機會，並推動整個投資組合的績效和責任。考慮到這一點，我們很高興看到第一季我們的四個業務部門實現了強勁、廣泛的成長，包括味覺、製藥解決方案、香味以及健康和生物科學。

Volume decline in food ingredients primarily driven by weaker performance and protein solutions due to some pull forward of orders in the fourth quarter and limitations in our capacity that are now being addressed.

食品配料銷售下降主要是由於業績疲軟和蛋白質解決方案銷量下降，原因是第四季度訂單提前，以及我們目前正在解決的產能限制。

Also, it's worth noting that part of the top line weakness in food ingredients was attributed to planned lower pectin sales as we purposefully walked away from low margin business to focus on higher margin businesses within food ingredients.

此外，值得注意的是，食品配料業務營收疲軟的部分原因是計畫中的果膠銷售額下降，因為我們有意放棄低利潤業務，轉而專注於食品配料中利潤率較高的業務。

Furthermore, with most segments delivering growth and our ongoing productivity initiatives, we achieved 9% growth in comparable currency neutral adjusted operating EBITDA as this broad-based improvement was led by strong performances and Taste and Pharma Solutions.

此外，由於大多數部門都實現了成長，並且我們持續推行生產力舉措，我們實現了可比貨幣中性調整後營業 EBITDA 增長 9%，而這一廣泛的改善是由強勁的業績以及味覺和製藥解決方案所推動的。

And I'm excited to share that we also completed our previously announced divestiture of Pharma Solutions to roquette two months ahead of our publicly announced schedule. This strategic action further strengthened our capital structure and enabled us to achieve our long-term target of net debt to credit adjusted EBITDA ratio of below 3 times. We are incredibly grateful to the Pharma Solutions team who kept the business running well during the divestiture and for their many contributions to IFF over the years, and we wish them well.

我很高興地告訴大家，我們還提前兩個月完成了先前宣布的將 Pharma Solutions 出售給羅蓋特的交易。這項策略措施進一步加強了我們的資本結構，使我們實現了淨債務與信貸調整後 EBITDA 比率低於 3 倍的長期目標。我們非常感謝 Pharma Solutions 團隊，他們在資產剝離期間保持業務良好運行，並感謝他們多年來對 IFF 的諸多貢獻，我們祝他們一切順利。

Now, shifting gears for a moment to discuss the current market environment. While I am encouraged by the momentum we have carried into 2025, and all that our global teams have done to strengthen our financial and operating foundation, broader macroeconomic dynamics remain challenging and as we all know, continue to evolve quickly.

現在，我們來討論一下目前的市場環境。雖然我對我們進入 2025 年的勢頭以及我們的全球團隊為加強財務和營運基礎所做的一切感到鼓舞，但更廣泛的宏觀經濟動態仍然充滿挑戰，眾所周知，它仍在快速發展。

We've been through complex macro-environments before, and what we know from history is IFF is resilient in times like these, as we focus on controlling what we can. Our customers, and ultimately and consumers rely on the quality of our products and solutions, the expertise of our talented teams, and the trusted partnership for which we are known in our industry.

我們以前經歷過複雜的宏觀環境，從歷史中我們知道，IFF 在這樣的時期具有韌性，因為我們專注於控制我們能控制的事情。我們的客戶以及最終消費者依賴我們的產品和解決方案的品質、我們優秀團隊的專業知識以及我們在行業中享有盛譽的值得信賴的合作夥伴關係。

Those values and characteristics are in high demand during times of uncertainty, and we are staying focused on execution as we collaborate with our customers to be even more productive as we drive growth. And right now, we're working very closely with our customers to mitigate impacts of tariff actions, and we continue to stay nimble and disciplined in response to macroeconomic uncertainty, which we expect will continue throughout the year.

在不確定的時期，這些價值觀和特徵的需求很高，我們在與客戶合作的同時，將繼續專注於執行，以在推動成長的同時提高生產力。目前，我們正在與客戶密切合作，以減輕關稅行動的影響，並且我們將繼續保持靈活和嚴謹的態度來應對宏觀經濟的不確定性，我們預計這種不確定性將持續全年。

With this in mind, and given what we see currently, we are maintaining our full-year guidance ranges at this time, which Mike will discuss in a bit more detail on the back half of the call.

考慮到這一點，並根據我們目前看到的情況，我們目前維持全年指導範圍，Mike 將在電話會議的後半部分更詳細地討論這一點。

With that, I'll pass it over to Mike for a closer look at our results for the quarter. Mike?

說完這些，我將把它交給麥克，讓他仔細看看我們本季的表現。麥克風？

Thank you, Erik, and thanks everyone for joining us today. As Erik said, 2025 is off to a solid start with our global team continue to execute on our strategy. In the first quarter, IFF generated roughly $2.8 billion in sales, representing 3% comparable currency neutral growth.

謝謝你，艾瑞克，也謝謝大家今天的到來。正如艾瑞克所說，2025 年開局良好，我們的全球團隊將繼續執行我們的策略。第一季度，IFF 的銷售額約為 28 億美元，以可比較貨幣計算成長 3%。

This performance was led by volume growth across most of our businesses, including Taste, Pharma Solutions, Scent, and Health and Biosciences. Adjusted operating EBITDA totaled $578 million for the quarter, a strong 9% increase on a comparable currency neutral basis, while our comparable currency neutral adjusted operating EBITDA margin increased more than 120 basis points to 20.3%. This is the fourth consecutive quarter of margin expansion on a comparable currency neutral basis, a testament to IFF's focus to improve margin and returns.

這一業績得益於我們大部分業務的銷售成長，包括味覺、製藥解決方案、香味以及健康和生物科學。本季調整後的營業 EBITDA 總計 5.78 億美元，以可比貨幣中性計算強勁增長 9%，而我們的可比貨幣中性調整後營業 EBITDA 利潤率增長超過 120 個基點，達到 20.3%。這是以可比較貨幣中性計算的利潤率連續第四個季度擴大，證明了 IFF 致力於提高利潤率和回報。

Turning now to slide 8, I will provide a closer look to our performance by segment. Given our recently completed divestiture, I will begin with Pharma Solutions, which had another strong quarter of broad-based growth.

現在翻到第 8 張投影片，我將詳細介紹我們各部分的表現。鑑於我們最近完成的資產剝離，我將首先介紹 Pharma Solutions，該公司又一個季度實現了強勁的全面成長。

Pharma Solutions delivered $266 million in sales, an 8% year-over-year increase on a comparable currency neutral basis, while also recording strong profitability growth with adjusted operating EBITDA of $54 million a 19% increase versus last year. These results were driven by broad-based growth across all categories, and margin expansion was primarily driven by our distribution model change as well as productivity.

Pharma Solutions 的銷售額達到 2.66 億美元，以可比貨幣中性計算年增 8%，同時獲利能力也實現強勁增長，調整後營業 EBITDA 為 5,400 萬美元，比去年增長 19%。這些結果是由所有類別的廣泛增長所推動的，利潤率的擴大主要受到我們的分銷模式變化以及生產力的推動。

As discussed last quarter, we have completed the transition to our end to end business-led operator model, and going forward we'll report segment performance for taste and food ingredients separately.

正如上個季度所討論的那樣，我們已經完成了向端到端業務主導的運營商模式的轉變，未來我們將分別報告口味和食品成分的細分錶現。

We published an AK yesterday which recast 2024 results. As I mentioned last quarter, we also adjusted our corporate cost allocations to align with our new organizational structure and updated operating model. In Taste, sales were $627 million, a 7% year-over-year increase on a comparable currency neutral basis, driven by another excellent quarter for flavors, with broad-based volume growth across all regions.

我們昨天發布了一份 AK，重鑄了 2024 年的結果。正如我上個季度提到的，我們也調整了公司成本分配，以適應新的組織結構和更新的營運模式。口味業務的銷售額為 6.27 億美元，以可比貨幣中性計算同比增長 7%，這得益於口味業務又一個出色的季度，所有地區的銷量均實現廣泛增長。

This segment also recorded another very strong quarter of profitability with comparable currency neutral adjusted operating EBITDA growth of 22%, primarily driven by volume growth, favorable net pricing, and continued productivity gains.

該部門還創下了另一個非常強勁的盈利季度，可比貨幣中性調整後的營業 EBITDA 增長 22%，主要得益於銷售增長、有利的淨定價和持續的生產率提高。

Food Ingredients had sales of $796 million, a 4% comparable currency neutral decrease from the prior year, primarily due to sales pressures and protein solutions that Erik spoke about earlier. However, we are pleased with the segment's currency neutral, adjusted operating EBITDA growth of 5% on a comparable basis, as net favorable net pricing and productivity help drive performance.

食品配料的銷售額為 7.96 億美元，與前一年相比，以可比較貨幣中性計算下降了 4%，這主要是由於 Erik 之前談到的銷售壓力和蛋白質解決方案。然而，我們對該部門貨幣中性的調整後營業 EBITDA 在可比基礎上增長 5% 感到滿意，因為淨有利的淨定價和生產力有助於推動業績。

Our Health and Bioscience segment delivered another strong quarter of broad-based growth, with strong volume growth in Health, Food Biosciences, and Grain Processing, driving a 5% increase in comparable currency neutral sales.

我們的健康和生物科學部門又一個季度實現了全面強勁增長，其中健康、食品生物科學和穀物加工領域的銷量強勁增長，推動可比貨幣中性銷售額增長 5%。

As we continue to reinvest in IFF's core high growth segments like H&B, we are pleased to report that volume and productivity gains more than offset our reinvestment. With segment delivered adjusted operating EBITDA of $138 million, a 3% increase on a year-over-year comparable currency neutral basis.

隨著我們繼續對 H&B 等 IFF 核心高成長領域進行再投資，我們很高興地報告，產量和生產力的提高足以抵消我們的再投資。該部門調整後的營業 EBITDA 為 1.38 億美元，以可比貨幣中性計算年增 3%。

Lastly, Scent achieved another solid quarter, including double digit growth in Fine Fragrance and single digit growth in Consumer Fragrances. Net sales for the quarter totaled $614 million, up 4% year over year on a comparable currency neutral basis, and we also achieved an adjusted operating EBITDA of $144 million, up 4% on a comparable currency neutral basis as volume growth and productivity gains continue to drive.

最後，Scent 又取得了一個穩健的季度業績，其中高級香水業務實現了兩位數增長，消費香水業務實現了個位數增長。本季淨銷售額總計 6.14 億美元，以可比貨幣中性計算同比增長 4%，同時由於銷量增長和生產率提高的持續推動，我們還實現了 1.44 億美元的調整後營業 EBITDA，按可比貨幣中性計算增長 4%。

Turning now to slide 9 to discuss our cash flow and leverage position. Cash flow from operations totaled $127 million a year-to-date, and CapEx was $179 million or roughly 6% of sales as we stepped up reinvestment as shared earlier this year. Q1 is typically our lowest free cash flow quarter of the year due to our annual bonus payout and seasonality.

現在翻到第 9 張投影片來討論我們的現金流和槓桿狀況。年初至今，經營活動產生的現金流總計 1.27 億美元，資本支出為 1.79 億美元，約佔銷售額的 6%，因為我們加大了再投資力度，正如今年早些時候所分享的那樣。由於年度獎金支付和季節性因素，第一季通常是我們一年中自由現金流最低的季度。

We also paid $102 million in dividends in the quarter, and cash and cash equivalents totaled $650 million including $37 million in assets held for sale. As of March 31, our gross debt was approximately $9.3 billion, a decrease of more than $1 billion compared to the year ago period. Our trailing 12-month credit adjusted EBITDA totaled roughly $2.2 billion in line with last quarter, while our net-debt to credit adjusted EBITDA remained largely unchanged at 3.9 times.

我們還在本季支付了 1.02 億美元的股息，現金和現金等價物總額為 6.5 億美元，其中包括 3,700 萬美元的持有待售資產。截至 3 月 31 日，我們的總債務約為 93 億美元，與去年同期相比減少了 10 多億美元。我們過去 12 個月的信貸調整後 EBITDA 總額約為 22 億美元，與上一季持平，而我們的淨債務與信貸調整後 EBITDA 之比基本保持不變，為 3.9 倍。

With our successful divestiture of Pharma Solutions, we recently announced the commencement of a debt tender offer as part of our broader strategy to strengthen IFF's balance sheet, and optimize our capital structure. This allows us to deliver on our commitment and achieve our target net debt to credit adjusted EBITDA target of below 3 times.

隨著我們成功剝離 Pharma Solutions，我們最近宣布開始債務要約收購，這是我們加強 IFF 資產負債表和優化資本結構的更廣泛策略的一部分。這使我們能夠兌現承諾，實現淨債務與調整後 EBITDA 比率低於 3 倍的目標。

Now on slide 10, I want to take a moment to address the evolving macroeconomic environment and the recent developments surrounding global tariffs. As you are aware, the US administration's new tariff measures, particularly those impacting China have introduced a renewed layer of complexity to global supply chains and cost structures.

現在在第 10 張投影片上，我想花點時間談談不斷變化的宏觀經濟環境和全球關稅的最新發展。眾所周知，美國政府的新關稅措施，特別是針對中國的措施，為全球供應鏈和成本結構帶來了新的複雜性。

Our IFF global footprint with manufacturing and sourcing capabilities across many countries gives us the flexibilities to adapt quickly. In past cycles of trade disruptions, including prior rounds of tariffs, we've demonstrated our ability to pivot operationally while continuing to successfully serve our customers.

我們的 IFF 業務遍布全球，在許多國家都擁有製造和採購能力，這使我們能夠靈活地快速適應。在過去的貿易中斷週期中，包括前幾輪關稅，我們已經證明了我們有能力在繼續成功服務客戶的同時進行營運調整。

As part of our mitigation strategy, we've taken actions to adjust our purchasing and redistribute our production in ways that minimize our exposure. By shifting procurement to alternative supply sources and balancing production across our global network, we've been able to offset a significant portion of inflationary pressure. In select cases where cost impacts were unavoidable, we are implementing targeted price -- pricing surcharges to recover incremental cost.

作為緩解策略的一部分，我們已採取行動調整採購並重新分配生產，以盡量減少風險。透過將採購轉移到替代供應源並平衡全球網路的生產，我們已經能夠抵消相當一部分通膨壓力。在成本影響不可避免的特定情況下，我們會實施有針對性的價格——定價附加費，以收回增加成本。

We do recognize that sweeping changes in global trade policy could contribute to broader macroeconomic volatility, including the potential to tip certain regions into a recession. This risk is not currently embedded in our guidance.

我們確實認識到，全球貿易政策的徹底變化可能導致更廣泛的宏觀經濟波動，包括可能使某些地區陷入衰退。目前我們的指導中尚未包含此風險。

However, we are fortunate that the majority of IFF's portfolio is grounded in resilient, essential end markets, particularly food, beverage, household, and personal care. We viewed this environment not only as a challenge, but also as an opportunity.

然而，我們很幸運，IFF 的大部分產品組合都立足於有彈性的、重要的終端市場，特別是食品、飲料、家庭和個人護理。我們不僅將這種環境視為挑戰，也視為機會。

Our ability to serve our customers globally with localized innovation positions us as a resilient partner, particularly for customers looking to de-risk their own supply chain.

我們能夠透過在地化創新為全球客戶提供服務，這使我們成為一個有韌性的合作夥伴，特別是對於希望降低自身供應鏈風險的客戶。

Also, amid the evolving environment, we want to reaffirm our commitment to IFF's long-term strategy. We remain focused on strengthening our business through consistent reinvestment in core growth drivers, R&D, commercial, digital, and capacity.

此外，在不斷變化的環境中，我們希望重申對 IFF 長期策略的承諾。我們將繼續致力於透過對核心成長動力、研發、商業、數位和產能進行持續再投資來加強我們的業務。

Even as we manage short-term external pressures, we will not compromise our future. Instead, we are accelerating our efforts to drive structural productivity and operational efficiency. This approach enables us to both navigate today's challenges and continue investing, ensuring we deliver on our profitability commitments while positioning IFF for long-term success. From a financial planning perspective, we are maintaining our guidance ranges for the full-year 2025, inclusive of the current tariff situation.

即使我們應對短期的外部壓力，我們也不會損害我們的未來。相反，我們正在加快努力提高結構性生產力和營運效率。這種方法使我們能夠應對當今的挑戰並繼續投資，確保我們履行盈利承諾，同時為 IFF 的長期成功做好準備。從財務規劃的角度來看，我們將維持 2025 年全年的指導範圍，包括目前的關稅情況。

We expect sales to be in the range of $10.6 billion to $10.9 billion, representing currency neutral growth of between 1% to 4%. We are now expecting approximately 2% adverse impact on revenue from foreign exchange, down from 4% previously, and approximately 7% adverse impact due to divestitures versus 5% previously given the earlier close of the Pharma Solutions divestiture.

我們預計銷售額將在 106 億美元至 109 億美元之間，相當於 1% 至 4% 的貨幣中性成長。我們現在預計外匯對收入的不利影響約為 2%，低於先前的 4%；資產剝離對收入的不利影響約為 7%，而先前由於 Pharma Solutions 資產剝離提前結束，預計不利影響為 5%。

From a bottom line perspective, we continue to expect that we will deliver a 2025 adjusted operating EBITDA range of between $2 billion to $2.15 billion, representing currency neutral growth between 5% and 10%.

從底線角度來看，我們仍然預計 2025 年調整後的營業 EBITDA 將在 20 億美元至 21.5 億美元之間，相當於 5% 至 10% 之間的貨幣中性增長。

We are now expecting approximately 3% adverse impact to EBITDA from foreign exchange, down from 6% previously and approximately 8% adverse impact due to divestitures versus 6% previously again due to the earlier close of Pharma Solutions.

我們現在預計外匯將對 EBITDA 造成約 3% 的不利影響，低於先前的 6%；資產剝離將造成約 8% 的不利影響，而先前由於 Pharma Solutions 的提前關閉，EBITDA 受到的不利影響為 6%。

With that, I will now turn it back to Erik for closing remarks.

現在，我將把發言時間交還給艾瑞克，請他作最後發言。

Thanks, Mike. The solid results we were able to deliver in the first quarter continue to reflect the strength of our execution and our investments in our people and our portfolio. With this growth, we have been able to maintain our strong momentum from 2024, complete key divestitures to strengthen our portfolio and meet our deleveraging targets. But we still have a lot of work ahead of us, and we are always focused on strengthening IFF, so we can help our customers win in any market environment.

謝謝，麥克。我們在第一季取得的穩健業績持續反映了我們強大的執行力以及我們對員工和投資組合的投資。憑藉這一成長，我們能夠從 2024 年開始保持強勁勢頭，完成關鍵資產剝離以加強我們的投資組合併實現我們的去槓桿目標。但我們仍有許多工作要做，我們始終專注於加強 IFF，以便幫助我們的客戶在任何市場環境中取得成功。

Building a strong company means continuing to reinvest in catalysts for our growth, including research and development, commercial capabilities, and integral capital expenses that will bolster our foundation and enable us to achieve sustainable, profitable long-term growth for our shareholders.

打造一家強大的公司意味著繼續對我們成長的催化劑進行再投資，包括研發、商業能力和綜合資本支出，這些將鞏固我們的基礎，並使我們能夠為股東實現可持續的、長期盈利的成長。

And as we move forward, we'll continue to focus on bringing innovative, sustainable solutions to the market that meet customer needs and delivering value that makes us the clear partner of choice for customers around the world. I'm confident we are well on our way.

隨著我們不斷前進，我們將繼續致力於為市場帶來創新、永續的解決方案，滿足客戶需求並提供價值，使我們成為全球客戶的首選合作夥伴。我確信我們的進展順利。

Thank you, and I'll now open the floor for questions.

謝謝大家，現在我開始回答問題。

Thank you. (Operator Instructions)

謝謝。（操作員指示）

Nicola Tang, BNP Paribas.

法國巴黎銀行的 Nicola Tang。

Hi everyone, and thanks for taking the question. On the outlook, you flagged that this doesn't include any potential recessionary pressures that could arise from the recent shifts in trade quality. But you also mentioned that IFF portfolio is grounded in resilient end markets.

大家好，感謝您提出這個問題。就前景而言，您指出這不包括近期貿易品質變化可能產生的任何潛在衰退壓力。但您也提到，IFF 投資組合紮根於有彈性的終端市場。

Can you talk us through which areas of the portfolio could potentially be at risk and which parts could be more resilient in a recessionary scenario? And do you see any signs of sequential slowdown of caution from your customers so far? Thanks.

您能否向我們介紹一下投資組合中哪些部分可能面臨風險，以及在經濟衰退的情況下哪些部分可能更具彈性？到目前為止，您是否看到客戶的謹慎態度有逐漸放緩的跡象？謝謝。

Yeah. Thank you for the question, Nicola, this is Erik. I'll take it. First of all, our order book so far has stayed consistent with -- and in line with our guidance. But as you know, and I think all of us feel that -- and across industries that there's concern about all the uncertainty.

是的。謝謝你的提問，尼古拉，我是艾瑞克。我要買它。首先，到目前為止，我們的訂單與我們的指導保持一致。但正如你所知，我想我們所有人都感受到了這一點——各行各業都對所有的不確定性感到擔憂。

And just for an example, a major HPC company executive recently expressed caution saying that US consumers are, for example, reducing the number of times they do longer each week. Having said that, historically, about 80% of our portfolio goes into what we consider essential products and about 20% into discretionary. And so the bulk of our portfolio is very resilient.

舉個例子，一家大型高效能運算公司高層最近發出警告稱，美國消費者正在減少每週加班的次數。話雖如此，從歷史上看，我們投資組合中約有 80% 用於我們認為的必需品，約有 20% 用於可自由支配的產品。因此，我們大部分的投資組合都具有很強的彈性。

But some examples of the discretionary areas would be fine fragrances where, by the way, we've seen continued strong order pattern. Consumer fragrances in the beauty and air care areas and in the health and the probiotics area.

但一些可自由支配領域的例子是高級香水，順便說一句，我們看到該領域的訂單模式持續強勁。美容和空氣護理領域以及健康和益生菌領域的消費香水。

But so far, the order pattern has been solid, but we do have concerns as we head toward the back half of the year with all the uncertainty, but we hope that some of that uncertainty resolves itself and things continue as they are today.

但到目前為止，訂單模式一直很穩固，但隨著我們面臨下半年的各種不確定性，我們確實感到擔憂，但我們希望其中一些不確定性能夠自行解決，事情能夠繼續保持目前的狀態。

Thank you. Josh Spector, UBS.

謝謝。瑞銀的喬希·斯佩克特。

Yeah, hi, good morning. I was wondering if you could expand upon your comments around tariffs. Curious if you'd be able to disclose what you think the gross impact today is on your costs? And how much of that do you think you can mitigate through some of the actions you talked about? And if it's possible to help frame that in terms of 2025 impacts and potential run rate assumptions? Thank you.

是的，你好，早安。我想知道您是否可以詳細說明有關關稅的評論。好奇您是否可以透露一下您認為今天這對您的成本的整體影響是什麼？您認為透過您談到的一些行動可以在多大程度上緩解這種情況？是否可以從 2025 年的影響和潛在運行率假設的角度來闡述這一點？謝謝。

Yeah. Thanks, Josh. Erik, I'll take this one. Fortunately, at IFF, we have a diverse and global operations, local procurement and manufacturing capabilities that has allowed us to migrate and mitigate some of the efforts that you see from a tariff perspective overall. Most of our tariff exposure is related to China, specifically importing from China to the US and exporting from the US to China. That is the [far bulk] of it. When we look at it on a gross basis, we have a little more than about $100 million of exposure for 2025, and maybe a little bit around double that or run rate basis. So it is quite large.

是的。謝謝，喬希。艾瑞克，我要這個。幸運的是，在 IFF，我們擁有多元化和全球性的營運、本地採購和製造能力，這使我們能夠遷移並減輕從關稅角度整體看到的一些努力。我們的大部分關稅風險與中國有關，特別是從中國進口到美國以及從美國出口到中國。這就是它的[大部分]。從整體來看，2025 年我們的曝險略高於 1 億美元，或以運行率計算，大約是這個數字的兩倍。所以它相當大。

The reality is, though, the team has done a fantastic job in terms of the supply chain optimization, reducing exposure quite significantly. For the areas where we cannot cover from a supply chain standpoint, we are working and continue to work with our customers on pricing surcharges to fully compensate and we're targeting the full mitigation over time.

但事實是，該團隊在供應鏈優化方面做得非常出色，大大降低了風險。對於我們從供應鏈角度無法涵蓋的領域，我們正在並將繼續與客戶合作，透過定價附加費來充分補償，我們的目標是隨著時間的推移全面緩解。

Thank you. John Roberts, Mizuho.

謝謝。瑞穗的約翰羅伯茲。

Thank you. I haven't looked at last night's 8-K yet, but what were the year ago for Flavors and Food Ingredients? I'm trying to get at the two-year stacks on growth for Flavors and Food Ingredients are significantly different than the one-year numbers you just reported in the quarter?

謝謝。我還沒看昨晚的 8-K，但是去年的調味品和食品配料是什麼樣的呢？我想了解的是，香精和食品配料的兩年增長數據與您在本季度剛剛報告的一年的數據有何顯著差異？

Yeah. Thanks, John. I'll take this one as well. In summary, Taste is performing very, very well. It's actually on a two-year basis, it's a bit better than what we recorded in first quarter of 2021. And so just to dimensionalize, it grew 11% last year in Q1 of '24, 7% this year. So on a two-year basis, 9%. This is very strong across the board, no matter how you look it. So we feel really good about the success and the performance the team is driving there.

是的。謝謝，約翰。我也要這個。總而言之，Taste 的表現非常非常好。實際上，以兩年計算，這比我們在 2021 年第一季記錄的要好一些。為了具體化，去年 24 年第一季成長了 11%，今年成長了 7%。因此，以兩年計算，成長率為 9%。無論你怎麼看，這都是非常強勁的。因此，我們對團隊在那裡的成功和表現感到非常滿意。

In terms of Food Ingredients, last year, they declined 4%. This year, they're declining 4%. So on a two-year basis is down 4%. The only caveat that I will make is that remember, a lot of the performance was driven by price reductions. So this is not a volume number. This is an all-in number.

就食品原料而言，去年下降了4%。今年，這一數字下降了4%。因此，兩年內下降了 4%。我唯一要提醒的是，請記住，許多業績的成長都是由降價所推動的。所以這不是一個卷數。這是一個全押的數字。

And if you remember last year, we strategically lowered prices to make sure we're competitive in terms of overall market conditions. If you normalize for that and you look at a volume basis, it actually -- the 2 years actually stronger in Q1 overall in 2025.

如果您還記得去年，我們策略性地降低了價格，以確保我們在整體市場條件下具有競爭力。如果你對此進行標準化，並且從數量基礎來看，實際上 - 2025 年第一季的整體表現實際上比前兩年更加強勁。

Thank you. Kevin McCarthy, Vertical Research Partners.

謝謝。凱文·麥卡錫（Kevin McCarthy），Vertical Research Partners。

Yes, thank you and good morning, Erik, I'm curious about this EUR130 million joint venture that you formed with Chimera called AlphaBio. Can you just elaborate on strategic rationale there, long-term opportunity structure the venture and timing of that cash investment, please? .

是的，謝謝你，早安，艾瑞克，我對你與 Chimera 組成的價值 1.3 億歐元的合資企業 AlphaBio 很好奇。您能否詳細說明其中的策略原則、長期機會結構、現金投資的風險和時機？。

Great. Great question. Thank you, Kevin. First of all, this AlphaBio JV with Kemira is a 50/50 JV, and it's around scaling our design enzymatic bio materials, the DEB technology, which is breakthrough technology, and it's ready to go. For example, we have just recently commercialized with a very strategic partner applications in Fabric Care that are high value, and we'll see nice growth there.

偉大的。好問題。謝謝你，凱文。首先，AlphaBio 與 Kemira 成立的合資公司是各佔50%的股份，主要致力於擴大我們設計的酵素生物材料 DEB 技術，這是一項突破性技術，目前已經準備就緒。例如，我們最近剛與一家極具戰略意義的合作夥伴合作，實現了織物護理領域高價值應用的商業化，我們將看到該領域良好的成長。

But now with Kemira, we've committed to building a plant. We've already started in Finland, EUR130 million plant and that CapEx will be spread out over the next two years, 50/50 divided between the two companies, and we expect it to start up by the end of '27. And it will be servicing for Kemira, the water treatment market, which is a very attractive market and cardboard and paper packaging.

但現在我們與凱米拉合作，致力於建造一座工廠。我們已經在芬蘭啟動了價值 1.3 億歐元的工廠，該資本支出將在未來兩年內分攤，兩家公司各佔 50%，我們預計該工廠將於 27 年底投入使用。它將為凱米拉（Kemira）水處理市場以及紙板和紙包裝提供服務，這是一個非常有吸引力的市場。

For us, we will take the technology into other industrial applications, which we're developing now and are very excited about. I think the important thing here is that we're taking sugar feedstock and making high-value biodegradable cost-competitive polymers that will sell into various end markets and have tremendous growth opportunity for the future. And this plant start-up, world-scale plant, a modern plant I think, will be the first beginning of a long series of great applications that we can really grow this.

對我們來說，我們將把這項技術應用到其他工業應用中，我們現在正在開發這些應用，並且對此感到非常興奮。我認為這裡重要的是我們利用糖原料製造出高價值、可生物降解且具有成本競爭力的聚合物，這些聚合物將銷往各個終端市場，並在未來擁有巨大的成長機會。我認為，這座世界級的現代化工廠將成為我們真正發展這項技術的一系列偉大應用的開端。

Thank you. Ghansham Panjabi, Baird.

謝謝。甘沙姆·潘賈比，貝爾德。

Hi, good morning. I just want to go back to the comments on Taste, the 7% core sales growth in 1Q. Can you give us a bit more color as to which specific end market verticals may have contributed towards that on slide 7, you mentioned volume gains. And then also just any impact in that segment or any other for that matter from a prebuy specific to head of tariffs, et cetera?

嗨，早安。我只是想回到對 Taste 的評論，第一季核心銷售額成長了 7%。您能否向我們詳細介紹哪些特定的終端市場垂直產業可能對您在第 7 張投影片中提到的銷售成長做出了貢獻。那麼，對於該部分或任何其他部分，從預購到關稅負責人等具體方面來說，會有什麼影響嗎？

Great. Yeah, I'll take this one, Ghansham. Thank you for the question. The Taste team overall has done a great job of growing their business. Much of this is driven by the increased pipeline where they proactively have targeted a lot of incremental growth potentials and opportunities going forward.

偉大的。是的，我會選擇這個，Ghansham。謝謝你的提問。整體而言，Taste 團隊在業務發展方面做得非常出色。這在很大程度上是由不斷增加的管道推動的，他們積極瞄準了未來大量的增量成長潛力和機會。

What's actually more impressive is actually when you look at the win rate, they're winning much more than their fair share. And so between the combination of a strong win rate and an increased pipeline. I think that's what's driving the nor of the growth in there.

實際上更令人印象深刻的是，當你查看勝率時，你會發現他們的勝率遠遠超過了他們應得的份額。這就是高勝率和增加的管道之間的結合。我認為這就是推動那裡成長的因素。

To your point, the way I would look at it is I look at it on a region perspective and all the regions have broad-based growth, so they're executing at the local level and from a category perspective, it is broad-based growth across most of the categories within the business overall.

對於你的觀點，我會從區域角度來看待這個問題，所有地區都有廣泛的成長，所以他們在地方層級執行，從類別角度來看，這是整個業務中大多數類別的廣泛成長。

So it's a really good combination of what I would say, is a success story for IFF at this point in time. With respect to prebuy, there could be a modest benefit, but it's hard to tell at this point in time because the trend that we see is consistent in April. And so it's very hard when you think about the prebuy overall, we'll know more as we progress through the balance of the quarter.

所以，我想說，這是一個非常好的組合，也是 IFF 目前的成功故事。就預購而言，可能會有適度的好處，但目前很難判斷，因為我們看到的趨勢與四月一致。因此，當你考慮整體預購時，這非常困難，隨著我們在本季度的進展中取得進展，我們會了解更多資訊。

And I would just add quickly that in Taste, Scent and Health & Biosciences, the increased investment in R&D is strengthening our R&D pipeline which is very important for the years of '27, and beyond.

我想補充一點，在味覺、嗅覺和健康與生物科學領域，增加研發投入正在加強我們的研發管道，這對 27 年及以後至關重要。

Thank you. Patrick Cunningham, Citigroup.

謝謝。花旗集團的派崔克‧坎寧安。

Hi, good morning. Just on Food Ingredients, what's your volumes lower in Protein Solutions? And how should we mean on the outlook there, and overall food ingredient volumes for the year and sort of progress towards that 15% margin target?

嗨，早安。僅就食品成分而言，蛋白質溶液的含量是多少？那麼，我們對前景、全年食品配料總量以及實現 15% 利潤率目標的進展有何看法？

So first of all, thanks for the question, Patrick. The Food Ingredients turnaround is going very well. Andy Muller, who now runs the business knows the business extremely well. I was with Dynisco before, has come back to IFF, if you will, and is getting the team and us on the right track. If you recall in 2023, our EBITDA margin for this business was in the high single digits.

首先，感謝派崔克的提問。食品配料業務的轉型進展順利。現任該企業負責人安迪‧穆勒 (Andy Muller) 對企業非常了解。我之前在 Dynisco 工作過，如果你願意的話，現在又回到了 IFF，並帶領團隊和我們走上了正軌。如果你還記得的話，2023 年我們這項業務的 EBITDA 利潤率處於高個位數。

In 2024, it was 12% and in '25, first quarter, we guided to 13.9%. So that's all headed in the right direction, and we see that continuing. In the first quarter, the volumes were down a bit overall for the year, we see them flattish to slightly down as we focus on selling the higher-margin products and decrease our sales in the lower-margin products and lower-margin applications.

2024 年，這一比例為 12%，而 2025 年第一季度，我們預計這一比例將達到 13.9%。所以一切都朝著正確的方向發展，而且我們看到這種情況正在持續下去。第一季度，全年銷售略有下降，我們認為銷量持平或略有下降，因為我們專注於銷售高利潤產品，並減少低利潤產品和低利潤應用的銷售。

Now protein volumes were down due to weaker volume in some of the lower-value areas of protein and in some of the higher-value areas of protein, we had production issues that are now being resolved. So we're confident in the higher-value protein growth going forward and the overall performance of our Food Ingredients business continuing to improve as we planned out and are developing and executing our strategy very well.

現在，由於一些低價值蛋白質領域的產量較弱，導致蛋白質產量下降，而一些高價值蛋白質領域的產量也出現下降，我們遇到了生產問題，目前正在解決這些問題。因此，我們對未來更高價值的蛋白質成長充滿信心，並且我們的食品配料業務的整體業績將繼續改善，正如我們規劃的那樣，我們正在很好地制定和執行我們的策略。

Thank you. Kristen Owen, Oppenheimer.

謝謝。克里斯汀歐文，奧本海默。

Hi, good morning. Thank you for the question. Mike, this one's for you. Just with the pharma sale now complete, you jump-started the delevering process that was largely as expected. But as we look forward from here and given some of this broader macro uncertainty, what's your philosophy on further delevering in terms of balancing that redeployment of capital to grow EBITDA versus using cash to reduce the debt? Thank you.

嗨，早安。謝謝你的提問。麥克，這個是給你的。隨著製藥業務的出售完成，您啟動了基本上符合預期的去槓桿進程。但是，當我們展望未來，考慮到一些更廣泛的宏觀不確定性時，您對進一步去槓桿的理念是什麼，即平衡資本重新部署以增加 EBITDA 與使用現金減少債務？謝謝。

Thanks, Kristen. Yeah, in terms of the balance sheet or our capital structure, I would say our focus right now is completing our debt tender, which will result in us getting to the leverage of below 3 times net debt to EBITDA.

謝謝，克里斯汀。是的，就資產負債表或資本結構而言，我想說我們現在的重點是完成債務招標，這將使我們的淨債務與 EBITDA 的槓桿率達到 3 倍以下。

Not only does this meet our commitment, it also allows us more financial flexibility going forward. And so as I discussed in some of the prepared remarks, our number one priority right now is reinvestment in CapEx to support our core businesses. We have really great core businesses with a lot of growth and margin projections going forward.

這不僅履行了我們的承諾，也為我們未來的財務提供了更大的靈活性。正如我在一些準備好的發言中所討論的那樣，我們現在的首要任務是重新投資資本支出以支持我們的核心業務。我們的核心業務確實非常出色，未來成長和利潤率預測都很高。

So what can we do now the best to support that, and that's the investment CapEX. From there, we're going to look at some bolt-on opportunities in terms of acquisitions, small in nature, but really to reinforce these core businesses in the areas of innovation and commercial capabilities.

那麼我們現在能做些什麼來最好地支持這一點呢，那就是投資資本支出。從那裡開始，我們將尋找一些收購方面的附加機會，雖然規模較小，但確實可以在創新和商業能力方面加強這些核心業務。

And then what I'd say is we're going to evaluate capital return to shareholders through our dividend and also look at a potential share buyback program now that we get below 3 times net debt to EBITDA, so more to come on this aspect, but just wanted to frame some initial conversations or thoughts as we go forward.

然後我想說的是，我們將透過股息來評估股東的資本回報，現在我們的淨債務與 EBITDA 之比已低於 3 倍，因此我們將考慮潛在的股票回購計劃，因此在這方面還會有更多內容，但我只是想在未來進行一些初步的對話或想法。

Thank you. Michael Sison, Wells Fargo.

謝謝。富國銀行的麥可·西森。

Hey, good morning, nice start to the year. A quick follow-up on Food Ingredients EBITDA margin first quarter were very good. And you guys talked about net pricing and productivity was noted for the year of increase. How much did each contribute to that? And then it does seem like you're pretty close to your goal of mid-teens. Is there more upside to that longer term?

嘿，早安，新的一年有個好的開始。食品配料第一季 EBITDA 利潤率的快速跟進非常好。你們談到了淨定價，生產力在今年有所成長。每個人對此的貢獻有多大？那麼看起來你已經非常接近你的目標了：十幾歲。從長期來看，這是否還有更多好處？

Yeah. Thanks, Mike. The games so far have been largely productivity, combined with focusing on the higher-margin products and applications, and that's going very well, and we see that continuing. Now we are committed to delivering the higher improvements for this year on EBITDA margin. And what I would say is through 2026, we're committed to getting above 15%.

是的。謝謝，麥克。到目前為止，遊戲主要都是生產力，同時專注於利潤率更高的產品和應用程序，而且進展非常順利，而且我們認為這種情況將繼續下去。現在我們致力於在今年實現更高的 EBITDA 利潤率提升。我想說的是，到 2026 年，我們致力於將這一比例提高到 15% 以上。

Thank you. Salvator Tiano, BofA.

謝謝。美國銀行的 Salvator Tiano。

Yes, good morning. So there's been a lot of discussion about artificial dyes. So can you discuss a little bit what your color exposure and also given that we may see a structural shift to natural gas here. Is this an area where you would like to expand organically or even through acquisitions?

是的，早安。因此，關於人工染料的討論很多。那麼，您能否稍微討論一下您的色彩曝光度，以及我們可能會看到這裡向天然氣的結構性轉變。這是您想要透過內部擴張還是收購來擴張的領域嗎？

Yes. So, first of all, colors are a small part of our taste portfolio, our Taste business portfolio, less than $50 million and we're all naturals. So banning artificial die is a positive for us. I don't see us making major acquisition moves in this area.

是的。首先，色素只是我們口味組合、口味業務組合的一小部分，價值不到 5,000 萬美元，而且我們全部都是天然的。因此，禁止人工骰子對我們來說是件好事。我認為我們不會在這個領域採取重大收購行動。

I think there are other areas that are more attractive to us, but we will continue to grow this business, especially with this dynamic. I think the broader advantage to us of this trend is the push for cleaner labels, and we see that as a big opportunity across our food portfolio.

我認為其他領域對我們更有吸引力，但我們將繼續發展這項業務，尤其是在這種動態下。我認為這一趨勢給我們帶來的更廣泛的優勢是推動更乾淨的標籤，我們認為這是我們食品組合的一個巨大機會。

Thank you. David Begleiter, Deutsche Bank.

謝謝。大衛‧貝格萊特，德意志銀行。

Hey, good morning, Erik, given the 3% currency neutral growth in Q1, what we need to happen for that to be at the low end of your full year range of 1% to 4% on sales growth here? And also, where you're seeing the greatest stress on the consumer right now? Thank you.

嘿，早上好，埃里克，考慮到第一季度 3% 的貨幣中性增長，我們需要做什麼才能使這一增長達到全年 1% 至 4% 的銷售增長範圍的低端？另外，您認為目前消費者面臨的最大壓力在哪裡？謝謝。

Thanks, David. I think that to go to the low end of our currency-neutral sales, we would have to see a significant economic slowdown which some people are talking about their concerns about, but we are also hearing that actions are being taken to mitigate the uncertainty, but -- and so we're hoping for that. All I'll say is that, so far, our order pattern has given us full confidence that we'll be solidly in that range.

謝謝，大衛。我認為，要達到我們的貨幣中性銷售額的低端，我們必須看到經濟大幅放緩，有些人正在談論他們對此的擔憂，但我們也聽說正在採取行動來減輕不確定性，但是 - 所以我們希望如此。我想說的是，到目前為止，我們的訂單模式讓我們完全有信心我們將穩固地處於這個範圍內。

And we hope that continues, and we're working really hard to do what we can control around bringing more innovation to our customers around figuring out where in the world, their applications, products, customers that we can go and grow with. And our team is very energized and they're out there pushing hard for growth. Any growth it's attractive profitably that we can get. We're trying to take so that in any economic scenario, we achieve our guidance.

我們希望這種情況能持續下去，我們正在努力做我們能控制的事情，為我們的客戶帶來更多的創新，並弄清楚在世界上的哪個地方，他們的應用、產品和客戶，我們可以與他們一起成長。我們的團隊充滿活力，正在努力推動成長。任何能夠帶來利潤的成長都是有吸引力的。我們正在努力確保在任何經濟狀況下，我們都能實現我們的預期。

Thank you. Lauren Lieberman, Barclays.

謝謝。巴克萊銀行的勞倫·利伯曼。

Great. I just wanted to follow up on the commentary on the order book, nothing having changed so far. Because as you pointed out, Erik, you've got the comment on fewer laundry loads from one of the CPG CEOs.

偉大的。我只是想跟進訂單簿上的評論，到目前為止沒有任何變化。因為正如你所指出的，埃里克，你從一位 CPG 首席執行官那裡得到了關於減少洗衣量的評論。

But even more broadly than that, we're hearing through earnings season from your customer base pretty cautious commentary both on recent trading conditions, so seeing significant inventory destocking across the US during the first quarter in some categories, particularly beauty-related that extending into the second quarter actual consumer takeaway turning negative in some categories.

但更廣泛地說，在整個收益季，我們從您的客戶群中聽到了對近期交易狀況的相當謹慎的評論，因此看到第一季度美國某些類別的庫存大幅減少，特別是與美容相關的產品，這種現象延續到第二季​​度，某些類別的實際消費者外賣出現負面變化。

So I'm just a little bit concerned, frankly, that you haven't seen that slowdown yet on your side because I feel like it's inevitable. So I guess, why not incorporate that into the outlook? Or is it just that areas outside the US are that much more resilient. So there's really nothing to worry about in a total company consolidated level? Thanks.

所以坦白說，我只是有點擔心，你還沒有看到你們這邊的經濟放緩，因為我覺得這是不可避免的。所以我想，為什麼不把它納入展望呢？或者只是因為美國以外的地區更具韌性。那麼，從整個公司的合併程度來看，真的沒有什麼好擔心的嗎？謝謝。

Thanks for the question, Lauren. And I wouldn't say there's nothing to worry about. We worry plenty, and we've got a lot of energy to go out and do all we can to drive growth and drive productivity. So we're on top of this. We're energized by the challenges.

謝謝你的提問，勞倫。但我並不認為這沒什麼好擔心的。我們有很多擔憂，但我們有足夠的精力去盡一切努力推動成長和提高生產力。所以我們已經掌握了這一點。挑戰帶給我們活力。

What I would say is, as Mike alluded to, there might have been some prebuying around tariffs that could be in some of our numbers and some of our orders. But I would also say that we've got a very diverse customer base.

我想說的是，正如麥克提到的那樣，我們的一些產品和訂單中可能存在一些與關稅相關的預購。但我還要說的是，我們的客戶群非常多元。

We've got a very diverse geographic base, and we're going to work -- we are working hard to take advantage of that to make sure that wherever we can grow, we will grow but as we've mentioned before, we are concerned about what could happen economically, particularly in the United States, but also in other markets.

我們擁有非常多樣化的地理基礎，我們將努力利用這一點，確保我們能夠在能夠成長的地方實現成長，但正如我們之前提到的，我們擔心經濟方面可能出現的情況，特別是在美國，但也包括其他市場。

China, as you know, is very slow. So we are concerned and we're doing all we can do to drive what we can control. But as we look at what we think are reasonable scenarios, we're continuing to hold our guidance.

如你們所知，中國的發展非常緩慢。所以我們很關心，我們正在盡一切努力推動我們能夠控制的事情。但當我們審視我們認為合理的情景時，我們會繼續堅持我們的指導。

Thank you. Jeff Zekauskas, JPMorgan.

謝謝。摩根大通的 Jeff Zekauskas。

Thanks very much. Is the Food Ingredients business more strategic than it used to be in that my impression is that this might be an asset that could be separated from IFF. How do you feel about that? Or how do you feel about the timing? And then for Mike, can you talk about your cash flow expectations for the year and your CapEx levels?

非常感謝。食品配料業務是否比以前更具策略性，我的印像是這可能是一種可以從 IFF 中分離出來的資產。你對此有何感想？或者您對時機有什麼感覺？那麼對於 Mike，您能談談您今年的現金流量預期和資本支出水準嗎？

Thanks, Jeff. I'll take the first part of that to begin with. And I'll just say that we just separated our Pharma business last week, and we were heavily focused on that in getting that done and also getting the cash in and getting our balance sheet strong. So now we are clearly looking at our Food Ingredients business. We think we have great leadership in that business.

謝謝，傑夫。我先從第一部分開始。我只想說，我們上週剛分開了製藥業務，我們非常重視完成這項工作，同時也是為了獲得現金並增強我們的資產負債表。所以現在我們正在明確地關注我們的食品配料業務。我們認為我們在該業務領域擁有卓越的領導力。

We think we have a great team. We're on track with our transformation. We're going to continue to do that. We want to get the growth higher and make sure that we're doing the right things to get profitable growth higher as we increase the EBITDA margin overall.

我們認為我們擁有一支出色的團隊。我們的轉型正在順利進行中。我們將繼續這樣做。我們希望實現更高的成長，並確保我們採取正確措施，在提高整體 EBITDA 利潤率的同時實現更高的獲利成長。

And I would say we're on track with the plan to do that. As we do that, yes, we'll look at strategic options for pieces or all of our Food Ingredients business, which we talked about before. But right now, we're focused on keeping that transformation going, getting it healthier and healthier and making sure that we collaborate across the company to get the most benefit we can out of serving customers with our full line of products. And we like how the progress is being made and we'll have more to say, I think, in the -- towards the later part of this year and into next year.

我想說，我們正在按照計劃進行。當我們這樣做的時候，是的，我們會考慮我們之前討論過的部分或全部食品配料業務的戰略選擇。但現在，我們專注於保持這種轉變，使其越來越健康，並確保我們在整個公司範圍內進行合作，以透過全系列產品為客戶服務來獲得最大的利益。我們對目前的進展感到滿意，我認為，在今年下半年和明年，我們將會有更多消息要透露。

And maybe just, Jeff, on CapEx and cash flow, broadly similar to how we guided earlier this year, CapEx about 6% of sales. And we talked about some of those levels of reinvestments in H&B overall. So that's the biggest driver that's driving that up year over year.

傑夫，關於資本支出和現金流，可能與我們今年稍早的指導大致相同，資本支出約佔銷售額的 6%。我們討論了 H&B 整體上的一些再投資水準。所以這是推動其逐年成長的最大驅動力。

In terms of free cash flow, again, very, very consistent it's probably around $500 million, which is what we talked about in February, and that includes around $350 million of taxes related to the pharma divestitures. So on a kind of a normalized basis, you're probably in that $800 million to $850 million range, which is pretty consistent to where it was in previous years.

就自由現金流而言，同樣非常穩定，大概在 5 億美元左右，這也是我們在二月份討論過的內容，其中包括與製藥業務剝離相關的約 3.5 億美元的稅款。因此，按照正常化標準，您的收入可能在 8 億美元到 8.5 億美元之間，這與前幾年的水平相當一致。

Thank you. Laurence Alexander, Jefferies.

謝謝。勞倫斯‧亞歷山大，傑富瑞集團。

Good morning, Erik, I was wondering if you could speak specifically to how you think about the inventory cycle and the [bolt on] effects and how that might affect IFF because in the past, I think in the supply chain lags have always been kind of a bit of a challenge to adjust for.

早安，艾瑞克，我想知道您是否可以具體談談您對庫存週期和[附加]影響的看法，以及這可能會如何影響 IFF，因為在過去，我認為供應鏈滯後一直是一個難以調整的挑戰。

So what do you see as kind of coming down the pike is kind of inevitable that the company is already preparing for and then I mean you mentioned overall demand issues, but I'm just curious more specifically about the inventory cycle.

那麼您認為即將發生的情況是不可避免的，公司已經在為此做準備了，我的意思是您提到了整體需求問題，但我只是對庫存週期更具體地感到好奇。

Yes. Thank you, Laurence. I'll pass that over to Mike given his longer history with IFF and the cycles that we've seen. So Mike?

是的。謝謝你，勞倫斯。鑑於 Mike 在 IFF 的長期經驗以及我們所見的周期，我將把這個問題交給他。那麼麥克？

Yeah, it's a great strategic question. I think some of the commentary here around our cautiousness is just around some of the delay that you can see with customers. And as they see end market weakness, they then work back into the supply chain, ultimately coming back to our industry.

是的，這是一個偉大的戰略問題。我認為，這裡關於我們謹慎態度的一些評論只是針對客戶可能遇到的一些延遲。當他們發現終端市場疲軟時，他們就會重新回到供應鏈，最終回到我們的產業。

I think what's different around this time, and I lived through a couple of challenging times over my 17-year career here. And what's a little bit different is that we just recently came through a pretty significant destocking error, both in terms of magnitude and length and so when I think about inventories and you can look at some big global customers as a percentage of sales over a relative history period, there's not big, big builds overall.

我認為這次的情況有所不同，在我 17 年的職業生涯中，我經歷了幾次充滿挑戰的時期。稍有不同的是，我們最近經歷了一次相當嚴重的去庫存錯誤，無論是在幅度還是長度方面，所以當我考慮庫存時，你可以將一些全球大客戶視為相對歷史時期內銷售額的百分比，總體而言並沒有出現大幅增長。

Now it's hard to tell ultimately what the inventory levels are in the channel on a customer basis. But given that we just came out of a pretty significant destock, we actually don't believe that they're elevated to a point that we could see a meaningful downtick going forward.

現在很難從客戶角度最終判斷通路中的庫存水準。但考慮到我們剛剛經歷了相當大規模的去庫存，我們實際上並不認為價格已經上升到未來可能出現大幅下跌的水平。

All that being said, a lot of that cautiousness that we're talking about today as we think about the future, specifically second half of this year, we want to make sure that we're prepared in any situation. And that's why things like productivity becomes so important to make sure we maintain and protect our profitability overall.

話雖如此，我們今天談論的許多謹慎性都是在我們思考未來，特別是今年下半年時，我們希望確保我們為任何情況做好準備。這就是為什麼生產力等因素變得如此重要，以確保我們維持和保護我們的整體獲利能力。

Thank you. Lisa De Neve, Morgan Stanley.

謝謝。摩根士丹利的麗莎·德內夫。

Hi, thank you for taking my question. Can you please provide us with an updates on 2025 inflation levels? And where precisely you are potentially seeing any incremental raw material inflation? Can you detail which ingredients that are and as well, what's a lower price environment may mean for you?

你好，謝謝你回答我的問題。您能否提供我們 2025 年通膨水準的最新情況？您認為原物料價格上漲的具體可能性在哪裡？您能否詳細說明這些因素有哪些，以及較低的價格環境對您意味著什麼？

And then I have a very short follow-up for a previous question. Can you share with us -- I mean, you've announced this tender offer for certain notes. What sort of net interest savings do you expect from that, if that is completed? Thank you.

然後我對之前的問題做一個簡短的跟進。您能否與我們分享一下——我的意思是，您已經宣布了對某些票據的要約收購。如果完成的話，您預計可以節省多少淨利息？謝謝。

Sure, Lisa. So maybe I'll start broadly consistent from an input cost guidance from where we started the year. Now there's a little bit of puts and takes. I think you've seen a little bit more favorability on the Food Ingredient side. meaning input costs less than we would have expected.

當然，麗莎。因此，也許我會從年初的投入成本指導開始大致保持一致。現在有一點點得失。我認為您在食品成分方面看到了更多的青睞。這意味著投入成本低於我們的預期。

And on the send side, we've actually seen a bit of an uptick. So broadly, we're about even overall from a guidance perspective. The drivers of that really are some of the key feedstock ingredients that go into Scent overall.

在發送方面，我們實際上看到了一些上升趨勢。因此，從指導角度來看，總體而言，我們的水平大致相同。其驅動因素其實是構成香味的一些關鍵原料成分。

To your point that as (inaudible) prices come down, there could be a tailwind. But remember, we have 6 months of inventory. There's a lot of volatility so as we think about it, it's more latter half of this year and then to 2026. So we're really focused on making sure we're driving our business and driving margin consecutive labor time. So I think that addresses your first question.

正如您所說，隨著（聽不清楚）價格下降，可能會出現順風。但請記住，我們有 6 個月的庫存。波動性很大，因此我們認為，這主要發生在今年下半年，然後到 2026 年。因此，我們真正關注的是確保我們能夠推動業務發展並提高連續勞動時間的利潤率。所以我認為這回答了你的第一個問題。

Your second question was on the debt tender in terms of overall interest rate. The best way I can address that is I think broadly speaking, our interest expense line item for the full year in terms of guidance would be around $225 million.

您的第二個問題是關於債務招標的整體利率。我能解決這個問題的最好方式是，我認為從廣義上講，我們全年的利息支出項目預計約為 2.25 億美元。

So that is a step down because we've been running at a more elevated rate. Obviously, with the debt tender overall, it will become more favorable here. So you'll see that as we progress through the balance of the year, a bit of a step down overall in interest expense.

所以這是一個退步，因為我們的運行速度一直在加快。顯然，隨著債務招標的全面展開，這裡的情況將變得更加有利。因此，您會發現，隨著我們度過今年的餘額，整體利息支出會有所下降。

Thank you. Chris Parkinson, Wolfe Research.

謝謝。克里斯帕金森，沃爾夫研究公司。

Great, thank you so much for taking my question. When you take a step back just over the last few quarters, can you talk a little bit more about the growth spend you've been seeing in Scent and H&B progress you've made as well as your own assessment of your competitive position versus your primary European peers. Thank you so much.

太好了，非常感謝您回答我的問題。回顧過去幾個季度，您能否再多談一下您在 Scent 和 H&B 方面看到的支出增長，以及您對自己與主要歐洲同行相比的競爭地位的評估。太感謝了。

The growth spend that we talked about last year has continued into this year. It's focused on R&D and commercial areas. It's making good progress as we alluded to before, our commercial pipeline are strengthening that we will see that will deliver into next year, and our R&D pipelines are strengthening, which will deliver more into '27 and '28.

我們去年談到的成長支出一直持續到今年。其專注於研發和商業領域。正如我們之前提到的，它正在取得良好的進展，我們的商業管道正在加強，我們將看到它將在明年實現，我們的研發管道也在加強，這將在 27 年和 28 年帶來更多收益。

But we're very pleased with the level of talent that we've been able to attract. And by the way, some of you heard that we were losing talent a few years ago where we regained some of the best health that we lost, and we're getting really great talent.

但我們對於所吸引到的人才水準感到非常滿意。順便說一句，你們中的一些人聽說過，幾年前我們失去了一些人才，但我們恢復了一些失去的最佳健康，並且獲得了真正優秀的人才。

And we're very pleased with not only the talent that we're bringing in, but the projects that they're working on and the strengthening of the commercial and the R&D pipeline. So it's going well. It's on track. We're not backing down from the amounts that we talked about before, despite the challenges that we're facing.

我們不僅對引進的人才感到非常滿意，而且對他們正在進行的專案以及商業和研發管道的加強也感到非常滿意。一切進展順利。一切進展順利。儘管我們面臨挑戰，但我們不會放棄之前談到的金額。

What we are doing is we're putting more energy into the productivity side so that we can make sure that in any scenario that we can pay for this innovation and commercial capability, but we are absolutely committed to having long-term strong profitable growing company.

我們正在做的是將更多的精力投入到生產力方面，以便確保在任何情況下我們都能為這種創新和商業能力付費，但我們絕對致力於擁有長期強勁盈利增長的公司。

Thank you. There are currently no registered questions at this time. I would like to pass the call back over to Erik for any closing remarks.

謝謝。目前還沒有已註冊的問題。我想將電話轉回給埃里克，讓他做最後的總結演講。

Yeah. Thank you for your interest in IFF. I just want to say that I'm very proud of and pleased with our team. We've tried very hard in the last year plus to be very clear on what our program is, getting back to basics, what our core businesses are and how we're investing in those businesses for long-term profitable growth.

是的。感謝您對 IFF 的關注。我只想說，我為我們的團隊感到非常自豪和高興。在過去的一年裡，我們非常努力地明確我們的計劃是什麼，回歸基礎，我們的核心業務是什麼，以及我們如何投資這些業務以實現長期盈利增長。

We've tried to be clear on the steps that we're taking, and I think that we're delivering on the things that we said that we're going to do, and we plan to continue to make that happen and unleash the full potential of IFF. So, thank you very much.

我們試圖明確我們正在採取的步驟，我認為我們正在兌現我們說過要做的事情，我們計劃繼續實現這一點，並釋放 IFF 的全部潛力。所以，非常感謝。

Thank you all. That will now conclude today's call. We appreciate your participation. We hope all of you have a wonderful day, and at this time you may now disconnect your line.

謝謝大家。今天的電話會議到此結束。感謝您的參與。我們希望大家度過美好的一天，現在您可以斷開線路了。