Accounting policy
dsm-firmenich has segmented its operations by business activity from which revenues are earned and expenses incurred. These operating results are regularly reviewed by the Executive Committee, dsm-firmenich’s Chief Operating Decision Maker (CODM), to make decisions about resources to be allocated to the operating segments and assess their performance. dsm-firmenich uses Adjusted EBITDA as the main indicator to evaluate the consolidated performance as well as the performance per operating segment. Discrete financial information is available for each identified operating segment.
The same accounting policies applied to the Consolidated Financial Statements of dsm-firmenich are also applied to the operating segments. Prices for transactions between segments are determined on an arm’s length basis at market-based prices. Segment results, assets and liabilities include items directly attributable to a segment as well as those that can reasonably and consistently be allocated. Interest income, interest expense, and income tax expense or income are not allocated to segments as these amounts are not included in the measure of segment profit or loss reviewed by the Executive Committee, or otherwise regularly provided to the Executive Committee. Selected information on a country and regional basis is provided in addition to the information about operating segments.
Operating segments
The continuing operations of dsm-firmenich are organized into three distinct Business Units:
Perfumery & Beauty (P&B) creates premium scents with proven benefits, using the best and largest palette of natural, synthetic, and biotech ingredients. P&B excludes the Aroma Ingredients business, which was transferred to Animal Nutrition & Health (ANH) in view of the carve-out.
Taste, Texture & Health (TTH) helps customers create food and beverage products that are delicious, nutritious, affordable, and sustainable – providing enjoyment and nourishment for consumers, and better health for People and Planet. TTH includes the Bovaer® business, which was transferred from ANH in view of the carve-out.
Health, Nutrition & Care (HNC) provides people a way to look after their health by adding critical nutrients to their diets, driving medical innovation forward, speeding up recovery, and enhancing quality of life. HNC includes the Veramaris business, which was transferred from ANH in view of the carve-out.
The ANH business also continued to be a reportable segment throughout 2025; however, in view of its highly probable sale, it was reclassified to ‘discontinued operations’ at year-end 2025.
The Business Units are created with clear end-market orientation and large addressable markets. They are clustered in coherent product and market combinations with similar customers and distribution channels, and their operating results are regularly reviewed by the Executive Committee. Therefore, these Business Units have been identified as the reportable operating segments of dsm-firmenich.
Any consolidated activities outside the three reportable operating segments above are reported as the reportable segment ‘Corporate Activities’. These consist of corporate operating and service activities that are not further allocated to the operating segments.
Following the changes in the composition of the reportable operating segments in view of the carve-out, the previously reported information has been restated accordingly.
dsm-firmenich does not have a single external customer that represents 10% or more of total sales.
|
|
Perfumery & Beauty |
|
Taste, |
|
Health, Nutrition & Care |
|
Corporate Activities |
|
Total continuing operations |
|
Discontinued operations |
|
Total |
||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2025 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net sales |
|
3,760 |
|
3,146 |
|
2,102 |
|
26 |
|
9,034 |
|
3,487 |
|
12,521 |
||||||
Adjusted EBITDA1 |
|
815 |
|
648 |
|
407 |
|
(98) |
|
1,772 |
|
507 |
|
2,279 |
||||||
EBITDA |
|
807 |
|
674 |
|
369 |
|
(193) |
|
1,657 |
|
588 |
|
2,245 |
||||||
Adjusted operating profit1 |
|
460 |
|
322 |
|
213 |
|
(134) |
|
861 |
|
253 |
|
1,114 |
||||||
Operating profit |
|
432 |
|
340 |
|
168 |
|
(229) |
|
711 |
|
(1,588) |
|
(877) |
||||||
Capital expenditures |
|
170 |
|
315 |
|
123 |
|
– |
|
608 |
|
156 |
|
764 |
||||||
Adjusted EBITDA margin (in %) |
|
21.7 |
|
20.6 |
|
19.4 |
|
– |
|
19.6 |
|
14.5 |
|
18.2 |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
20242 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net sales |
|
3,776 |
|
3,109 |
|
2,117 |
|
52 |
|
9,054 |
|
3,745 |
|
12,799 |
||||||
Adjusted EBITDA1 |
|
842 |
|
626 |
|
377 |
|
(94) |
|
1,751 |
|
367 |
|
2,118 |
||||||
EBITDA |
|
837 |
|
589 |
|
357 |
|
(211) |
|
1,572 |
|
419 |
|
1,991 |
||||||
Adjusted operating profit1 |
|
470 |
|
302 |
|
199 |
|
(155) |
|
816 |
|
110 |
|
926 |
||||||
Operating profit |
|
465 |
|
264 |
|
92 |
|
(274) |
|
547 |
|
14 |
|
561 |
||||||
Capital expenditures |
|
182 |
|
300 |
|
138 |
|
– |
|
620 |
|
144 |
|
764 |
||||||
Adjusted EBITDA margin (in %) |
|
22.3 |
|
20.1 |
|
17.8 |
|
– |
|
19.3 |
|
9.8 |
|
16.5 |
||||||
|
||||||||||||||||||||
|
|
Switzerland |
|
Netherlands |
|
Rest of EMEA |
|
North America |
|
Latin America |
|
China |
|
Rest of Asia |
|
Total |
||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2025 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net sales continuing operations (by destination) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
In € millions |
|
214 |
|
302 |
|
3,098 |
|
2,353 |
|
857 |
|
671 |
|
1,539 |
|
9,034 |
||||
In % |
|
2 |
|
3 |
|
35 |
|
26 |
|
10 |
|
7 |
|
17 |
|
100 |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Workforce at period-end (headcount)1 |
|
3,678 |
|
1,763 |
|
8,437 |
|
4,204 |
|
3,577 |
|
3,324 |
|
3,567 |
|
28,550 |
||||
Intangible assets and property, plant and equipment at year-end (carrying amount) |
|
11,190 |
|
1,555 |
|
3,279 |
|
2,393 |
|
322 |
|
522 |
|
297 |
|
19,558 |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net sales continuing operations (by destination) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
In € millions |
|
173 |
|
296 |
|
3,018 |
|
2,456 |
|
882 |
|
708 |
|
1,521 |
|
9,054 |
||||
In % |
|
2 |
|
3 |
|
33 |
|
27 |
|
10 |
|
8 |
|
17 |
|
100 |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Workforce at year-end (headcount)1 |
|
3,734 |
|
1,776 |
|
8,134 |
|
4,155 |
|
3,565 |
|
3,365 |
|
3,485 |
|
28,214 |
||||
Intangible assets and property, plant and equipment at year-end (carrying amount)1 |
|
14,946 |
|
1,618 |
|
3,220 |
|
2,689 |
|
428 |
|
603 |
|
299 |
|
23,803 |
||||
|
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