Perfumery & Beauty
Our markets

What a year! The merger brought together great businesses and operations and made us think differently to implement a new, empowered organization. We developed the strategy to achieve our mid-term targets, while focusing on customer needs, and growth and profitability results. In 2024, we were able to both transform and perform, and establish an even stronger foundation for future growth.

P&B now covers the entire perfumery and beauty market space.

• In Perfumery, we are a leading partner of our customers in Fine Fragrance and Consumer Brands
• In Ingredients, we provide the broadest, backwards-integrated portfolio in the industry, with a world-class palette, including captives, that is the backbone of perfumery
• In Beauty & Care, we are a leader in suncare and we offer our customers a differentiated portfolio of skincare actives

Key market trends

The global perfumery and beauty market is experiencing continuous growth momentum based on three consumer macro trends:

• Increased focus on lifespan vitality: customers are now engaging sooner (teen beauty) and for longer (silver beauty), resulting in growth for established and target-specific (newcomer) brands
• Growing expectations around well-being: changing consumer attitudes provide additional upsides for discretionary categories
• The rise of the no-compromise consumer: this leads to a new willingness to invest in the scientific and sensorial quality of products while also emphasizing the importance of sustainability and regulatory restrictions

These market trends combined to contribute to strong results for our Business Unit in 2024.

Performance

P&B delivered a very strong performance with 9% volume growth, driven by both global and regional accounts. The 2% negative pricing reflected lower input costs. Perfumery had an excellent year with strong organic sales growth in both Fine Fragrances and Consumer Fragrances. These activities benefited from the continued good demand for differentiated and exclusive fragrance creations and from innovation delivering product superiority. Ingredients’ performance was very strong. Beauty & Care delivered a good first half which was followed by a softer half especially due to weak demand for suncare.

The strong results were supported by innovation in Perfumery, enabling the creation of superior consumer experiences and securing strong win rates, as well as new product launches in Ingredients and Beauty & Care.

Adjusted EBITDA was up 13% from the prior year, driven by strong innovation-driven volume growth, with the contribution synergies, resulting in a margin of 22.3%.