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dsm-firmenich reports full year 2023 results

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KAISERAUGST, Switzerland and HEERLEN, Netherlands, Feb. 15, 2024 /PRNewswire/ —

Management Report

2023 highlights

Successful creation of dsm-firmenich with integration well ahead of planMerger-related cost and sales synergies gaining tractionAnimal Nutrition & Health to be separated from the GroupSolid performance across the company, significantly impacted by unprecedented low vitamin pricesGood operating cash flow driven by a strong performance in the second halfStable dividend of €2.50 proposedSynergies and the vitamin transformation programs will deliver a significant earnings step-up in 2024 and beyondOutlook 2024: Adjusted EBITDA of at least €1.9 billion

Key figures

in € millions

Pro forma
FY 2023¹

Pro forma
FY 2022¹

% Change

Actual
Q4 2023

Pro forma
Q4 2022¹

% Change

Sales

12,310

13,238

(7)

3,112

3,295

(6)

Organic sales growth (%)

(5)

(3)

Adj. EBITDA

1,777

2,275

(22)

439

499

(12)

Adj. EBITDA margin (%)

14.4

17.2

14.1

15.1

Core adj. net profit

555

1,013

(45)

1 Represents the figures on a pro forma basis, including the Firmenich results as if the merger had occurred on January 1, 2022. The pro forma figures represent the results from continuing operations – please also refer to the section Definitions.

 

Key figures on an IFRS basis2

in € millions

FY 2023

FY 2022

% Change

Sales

10,627

8,390

27

Net profit from continuing operations

(636)

475

(234)

Net profit (total group)

2,153

1,715

26

2 Represents the figures on an IFRS basis, including the Firmenich results as of the merger date May 8, 2023.

Dimitri de Vreeze, CEO, commented: “We are proud that the company is already operating seamlessly with integration well ahead of plan, including the development of a common culture, as demonstrated in our recent employee engagement survey. Our employees have done a truly amazing job building momentum, positioning dsm-firmenich as a world leader in nutrition, health and beauty.

In light of the unprecedented conditions with very low vitamin prices and a continued destocking cycle, we took a number of immediate and effective actions. We accelerated our plans for driving through additional self-help measures and advanced the review of all our business segments. This led us to the initiation of a process to separate out the Animal Nutrition & Health business from the Group which we announced today. This should strongly reduce our exposure to vitamins earnings volatility and reduce our capital intensity in line with our long-term strategy. We believe that the full potential of the ANH business could be best realized through a different ownership structure.

Supported by our exciting innovation pipeline, all these actions would help us to prioritize and accelerate the company’s nutrition, health and beauty high-growth and higher-margin businesses, all of which is reflected in our mid-term financial targets.”

Outlook 2024

As the global political and economic environment remains uncertain, and given that it is early in the year, we feel it prudent to base our full year outlook for the entire company only on those elements which are under our control, namely a €200 million step-up in Adjusted EBITDA from a combination of synergy delivery and the vitamin transformation program. Considering that the full negative vitamin effect emerged only in Q2 2023, the effective Adjusted EBITDA run-rate in the period Q2-Q4 2023 on an annualized basis was about €1.7 billion, the company estimates for FY 2024 Adjusted EBITDA of at least €1.9 billion.

Strategy

The merger of DSM and Firmenich created a world-leader in nutrition, health and beauty, through which its highly integrated portfolio of nutritional, natural and renewable ingredients, together with complementary science capabilities and technologies, will deliver superior innovation-led growth.

By creatively applying proven science and drawing on data-driven innovation capabilities as well as exceptional standards of operational excellence, dsm-firmenich seeks to tackle the tension between what society needs, what people individually want, and what the planet demands in the areas of nutrition, health and beauty. By working closely together with customers to create what is essential for life as well as desirable for consumers yet simultaneously more sustainable for the planet, dsm-firmenich is poised to bring progress to life for billions of people around the world.

dsm-firmenich is a purpose-led company where people and planet as well as financial success are at the core of its strategy that is aimed at further enhancing its positive impact in the world, continually raising the bar to help tackle climate change, protect nature, and care for people all along the value chain.

Delivering synergies through integration

dsm-firmenich is on track to achieve its target synergies of approximately €350 million Adjusted EBITDA per year. Around half of this is expected to come from cost efficiencies, with the full run rate achieved by the end of year 3. Initial benefits of about €15 million were delivered in Q4. The remaining synergies are expected from incremental revenues of €500 million, generated by an acceleration of innovation with customers. There has been good early progress and the full run rate is still expected by the end of year 4. These revenue synergies are driven by complementary capabilities and realized in the three business units with the strongest strategic adjacency – Perfumery & Beauty (P&B); Taste, Texture & Health (TTH); and Health, Nutrition & Care (HNC) – with roughly the following balance:

60% in TTH business unit25% in HNC business unit15% in P&B business unit

Overall, we expect to see an Adjusted EBITDA contribution of about €100 million in 2024, coming mainly from cost synergies.

Separation of Animal Nutrition & Health from the Group

The Company initiates a process to carve-out and separate out the Animal Nutrition & Health (ANH) business from the Group. Full focus on nutrition, health, and beauty would enable dsm-firmenich to better drive superior innovation-led growth. Separating out Animal Nutrition & Health from the Group would minimize dsm-firmenich’s exposure to vitamins earnings volatility and reduce capital intensity in line with its long-term strategy. The Company believes that the full potential of the ANH business could be best realized through a different ownership structure for which all potential separation options will be considered. The Company would expect to be in a position to separate the business in the course of 2025.

Progressing the vitamin transformation program

In mid-2023 the company embarked on a major restructuring program in its vitamin activities to reduce costs and restore profitability. This program is expected to result in an estimated Adjusted EBITDA contribution of around €200 million per year with the full run rate to be reached by the end of 2024. These savings will be in addition to the previously announced €350 million Adjusted EBITDA synergies target. Neither of these targets will be disrupted by the separation of Animal Nutrition and Health.

dsm-firmenich has already made strong progress in executing the program through the closure of the Xinghuo vitamin B6 plant in China and shutting down the Jiangshan vitamin C production in China. The sales model now supports a ‘go-to-market’ approach which is simpler and more efficient in the current market environment.

In Q4 2023, the program generated an about €10 million savings contribution to Adjusted EBITDA. For 2024, dsm-firmenich expects to achieve an additional around €100 million Adjusted EBITDA contribution.

Stable dividend

At the Annual General Meeting on May 7, 2024, dsm-firmenich’s Board of Directors will propose a cash dividend of €2.50 per share for the financial year 2023.  

Key figures and indicators

in € millions

Pro forma
FY 2023¹

Pro forma
FY 2022¹

% Change

Actual
Q4 2023

Pro forma
Q4 2022¹

% Change

Net sales

12,310

13,238

(7)

3,112

3,295

(6)

P&B

3,709

3,792

(2)

914

916

(0)

TTH

3,038

3,174

(4)

768

806

(5)

HNC

2,270

2,418

(6)

581

587

(1)

ANH

3,227

3,784

(15)

833

971

(14)

Corporate

66

70

(6)

16

15

7

Adj. EBITDA 

1,777

2,275

(22)

439

499

(12)

P&B

783

748

5

192

166

16

TTH

556

549

1

133

137

(3)

HNC

389

533

(27)

94

121

(22)

ANH

128

524

(76)

32

95

(66)

Corporate

(79)

(79)

(12)

(20)

(40)

Adj. EBITDA margin (%)

14.4

17.2

14.1

15.1

P&B

21.1

19.7

21.0

18.1

TTH

18.3

17.3

17.3

17.0

HNC

17.1

22.0

16.2

20.6

ANH

4.0

13.8

3.8

9.8

Adj. EBIT

666

1,361

(51)

.

Core adj. EBIT

850

1,361

(38)

Core adj. net profit

555

1,013

(45)

.

Average number of shares (x millions)

265.1

264.5

Core adj. EPS

2.03

3.77

.

(Avg.) core capital employed

16,423

16,271

Core adj. ROCE (%)  

5.2

8.4

.

Operating working capital

3,872

4,021

Capital expenditures (cash)

734

775

Adj. gross operating free cash flow

999

918

1 Represents the figures on a pro forma basis, including the Firmenich results as if the merger had occurred on January 1, 2022. The pro forma figures represent the results from continuing operations – please also refer to the section Definitions.

 

Key figures and indicators on an IFRS basis2

in € millions

FY 2023

FY 2022

% Change

Net sales

10,627

8,390

27

EBITDA

810

1,304

(38)

EBITDA margin (%)

7.6

15.5

EBIT

(497)

682

(173)

Net profit (total group)

2,153

1,715

Net EPS (total group)

9.14

9.80

.

Effective tax rate (%)

2.8

20.9

Net debt

(2,215)

(87)

Workforce (headcount)               

29,367

20,6823 

2 Represents the figures on an IFRS basis, including the Firmenich results as of the merger date May 8, 2023

3 Refers to total group, including discontinued operations.

 

dsm-firmenich FY 2023 and Q4

in € millions

Pro forma
FY 2023¹

Pro forma
FY 2022¹

% Change

Actual
Q4 2023

Pro forma
Q4 2022¹

% Change

Sales

12,310

13,238

(7)

3,112

3,295

(6)

Organic sales growth (%)

(5)

(3)

Adj. EBITDA

1,777

2,275

(22)

439

499

(12)

Adj. EBITDA margin (%)

14.4

17.2

14.1

15.1

1 Represents the figures on a pro forma basis, including the Firmenich results as if the merger had occurred on January 1, 2022. The pro forma figures represent the results from continuing operations – please also refer to the section Definitions.

FY 2023

Good performance in Perfumery & Beauty (P&B)Solid performance in Taste, Texture & Health (TTH)Weak performance in Animal Nutrition & Health (ANH), and Health, Nutrition & Care (HNC) on exceptionally low vitamin prices and persistent de-stocking

The results for the full year were impacted by a combination of unprecedented market dynamics that led to very low vitamin prices, together with a deep destocking cycle.

Adjusted EBITDA, significantly impacted by the vitamin effect and foreign exchange was 22% lower than in the prior year, resulting in a 280bps margin decline. This includes a negative vitamin effect which is estimated at about €500 million. Without this effect, the Adjusted EBITDA would have been in line with prior year, despite a negative foreign exchange effect of about €90 million.

Q4 2023

Market conditions broadly unchangedFirst contribution from self-help initiatives materializedStrong cash flow generation, driven by disciplined action on inventory management

P&B continued to perform well, against a soft prior year comparable period, with TTH remaining resilient. ANH and HNC continued to see the same unprecedented market conditions. The quarter was notable by strong cashflow generation owing to a greater focus on, in particular, improving working capital through inventory reduction, together with the first benefits of cost synergies being realized.

Adjusted EBITDA was down 12%, owing mainly to the ongoing vitamin effect and destocking. The negative vitamin effect was estimated around €120 million and negative foreign exchange effect was slightly more than €20 million. Without this negative vitamin effect, Adjusted EBITDA would have been 24% higher than reported, despite a 5% negative FX effect. The quarter saw the initial contribution from the integration synergies of about €15 million and, in addition, savings of around €10 million from the vitamin transformation program.

Note for editors:

The full text of the press release is available here.
The presentation to investors is available here.

Financial calendar

February 22, 2024: North American Investor Event in Princeton, USA
May 2, 2024: Q1 2024 trading update
May 7, 2024: Annual General Meeting
June 3, 2024: Capital Markets Day in Paris
July 30, 2024: H1 2024 financial results
October 31, 2024: Q3 2024 trading update

Additional information

Today dsm-firmenich will hold a webcast for investors and analysts at 9:00 am CET. Details on how to access this call can be found on the dsm-firmenich website, www.dsm-firmenich.com.

For more information

Media relations 
Ingvild Van Lysebetten
tel. +41 (0)79 833 72 52
e-mail media@dsm-firmenich.com

Investor relations
Dave Huizing
tel. +31 (0)45 578 2864
e-mail investors@dsm-firmenich.com

About dsm-firmenich

As innovators in nutrition, health, and beauty, dsm-firmenich reinvents, manufactures, and combines vital nutrients, flavors, and fragrances for the world’s growing population to thrive. With our comprehensive range of solutions, with natural and renewable ingredients and renowned science and technology capabilities, we work to create what is essential for life, desirable for consumers, and more sustainable for the planet. dsm-firmenich is a Swiss-Dutch company, listed on the Euronext Amsterdam, with operations in almost 60 countries and revenues of more than €12 billion. With a diverse, worldwide team of nearly 30,000 employees, we bring progress to life™ every day, everywhere, for billions of people.
www.dsm-firmenich.com

Forward-looking statements
This press release may contain forward-looking statements with respect to dsm-firmenich’s future (financial) performance and position. Such statements are based on current expectations, estimates and projections of dsm-firmenich and information currently available to the company. dsm-firmenich cautions readers that such statements involve certain risks and uncertainties that are difficult to predict and therefore it should be understood that many factors can cause actual performance and position to differ materially from these statements. dsm-firmenich has no obligation to update the statements contained in this press release, unless required by law. The English language version of this press release prevails over other language versions.

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Technology

LONGi launches 25% efficient heterojunction back contact (HBC) module and new residential solar brand “EcoLife”

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MUNICH, May 11, 2025 /PRNewswire/ — On May 7, 2025, LONGi, a global leader in solar technology, launched a premium back contact module EcoLife series based on heterojunction (HBC) at Intersolar, Munich. This is the first time that heterojunction back contact technology has been successfully implemented in a commercialized module.

27.3% cell efficiency and module efficiency up to 25%

The EcoLife series module delivers a world-leading cell efficiency of 27.3% and a module efficiency of up to 25%, setting a new benchmark for performance in the photovoltaic industry. The first launched module version is the 54-cell bifacial premium, and more versions will be released subsequently. The 54-cell bifacial premium module launched on Intersolar is designed for use in the residential sector and has a maximum power output of up to 510W, leading to a power per square meter ratio of 250W/m².

EcoLife series, a premium brand developed specifically for the residential sector, are designed to meet the advanced expectations of homeowners, combining high performance with enhanced safety, long-term reliability, and a streamlined aesthetic suited to compact rooftop environments. With EcoLife series, LONGi aims to build closer connections with end customers and enable a more agile, locally responsive approach to product development, service delivery, and brand engagement in key residential markets.

First commercialized PV module based on HBC platform

The EcoLife series incorporates the world’s only mass-produced HJT + BC cell technology, which combines the high-efficiency passivation of heterojunction (HJT) with the multi-surface light absorption of back-contact (BC) designs. This results in full-surface passivation from all angles, reducing metal recombination loss to zero and enabling open-circuit voltage exceeding 750mV.

Compared to mainstream modules, the EcoLife series offers 40W higher output and can increase rooftop installation capacity by up to 9%, reinforcing LONGi’s position at the forefront of solar innovation.

Built on the HBC platform, the EcoLife series ensures superior energy generation and reliability as the first of its kind in mass production. It features an ultra-low temperature coefficient of -0.24%/°C, limiting performance losses under high-temperature environment. Degradation is just 1% in the first year, followed by a best-in-class 0.35% annual rate. Engineered for resilience, it withstands snow loads up to 4 meters (6000 Pa) and Category 15 hurricane winds (3600 Pa) and holds a Class A fire rating for top-tier safety.

TaiRay wafer and Anti-shading ensure enhanced safety features 

LONGi’s proprietary TaiRay wafer enhances the module’s mechanical strength, increasing rupture resistance by 16% and reducing surface collapse under stress. The full back contact one-line welding structure reduces cell edge stress, improving the module’s anti-cracking performance.

Furthermore, the wafer is 10 μm thicker than other options, providing enhanced reliability and longevity. The module also features bipolar passivation technology on its front, sides, and back. Coupled with the Anti-shading design, compared with traditional TOPCon cells, under the same shading conditions, the local temperature is reduced by 28% (equivalent to 38°C). This significantly suppresses the formation of hot spots and reduces the probability of fires caused by them.

Backed by a 30-year power and material warranty, the EcoLife series are committed to long-term, save performance in the residential scenario.

EcoLife Series available in bifacial full black and transparent

LR7-54HJBB – A 54-cell full black bifacial module with a maximum efficiency of 24.7% and 505W Pmax, designed for superior aesthetics and performance.LR7-54HJD – A 54-cell transparent bifacial module with 25.0% maximum efficiency and 510W Pmax, offering high energy yield and advanced safety features.
Link to LONGi’s Intersolar Presskit 
(datasheets, product images, company profile, and more)

Due to the nature of back contact technology, both modules are engineered for optimal performance in low-light conditions, ensuring maximum energy autonomy for homes, even in shaded areas or with limited roof space.

The EcoLife Series will be available in August throughout Europe this year.

 

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SOURCE LONGi Solar

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Smartee Targets 209-Ton CO₂Cut with Solar Power; ESG Strategy Integrates Employee Wellness & Tech-Driven Governance

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SHANGHAI, May 9, 2025 /PRNewswire/ — Smartee Denti-Technology, a global leader in clear aligner manufacturing and digital orthodontic solutions, projects to reduce annual CO₂ emissions by 209,370 kg through its newly operational rooftop solar installation at the Jiaxing smart factory—equivalent to the annual carbon absorption of 11,700+ mature trees. This initiative anchors its 2025 ESG strategy, integrating renewable energy, employee welfare, and agile governance to align business growth with sustainability goals.

Environmental: Solar Leadership with Data-Driven Projections

Smartee’s  facility in Jiaxing, Zhejiang Province, China, equipped with 20,000 sqm rooftop photovoltaic panels, which have a capacity of 2MW.  The installation is sufficient to meet 50% of the factory’s energy requirements. This initiative reduces CO₂ emissions by 209,370 kg/year, equivalent to planting 11,700+ trees.

Additionally, the facility integrates energy-efficient lighting, such as solar streetlights and smart LED systems, and high-performance motors to minimize energy consumption. Complemented by a rainwater reuse system for irrigation, cleaning, and other non-potable applications, maximizing regional water resource efficiency. These initiatives collectively enhance operational efficiency while reducing environmental impact.

“Our solar initiative isn’t just about cost saving, it’s about redefining manufacturing responsibility,” said Mr. Junfeng Yao, Founder of Smartee. “Every aligner we produce now carries a lighter environmental footprint.” 

Social: Building Communities Within Walls

Smartee prioritizes employee well-being by providing comfortable on-site housing designed for flexibility and comfort. Its dormitory complex offers a range of housing options to accommodate diverse needs, ensuring employees feel supported both professionally and personally.

The commitment extends to nutrition. Smartee’s in-house cafeteria sources fresh, seasonal ingredients to craft diverse menus, from summer salads to protein-rich meals, while a zero-food-waste policy ensures sustainability extends to the dining table.

Governance: Agile Systems for Sustainable Growth

As Smartee scales its global operations, the company combines structured agility with employee empowerment to drive responsible growth. Central to this approach is a framework integrating ERP and MES platforms, real-time performance tracking, and cross-department collaboration tools. These systems ensure transparency from production lines to executive decision-making, minimizing inefficiencies while embedding ESG principles from carbon reduction to employee well-being into daily operations.

Smartee’s ESG strategy powers sustainable smiles—for patients, doctors, and the planet. By cutting carbon footprints, nurturing employee well-being, and innovating responsibly, the company demonstrates how orthodontic progress can advance both oral health and global communities.

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SOURCE Smartee Denti-Technology

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TECNO SPARK 40 Series Set for Global Debut as the First Smartphone with MediaTek Helio G200

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HONG KONG, May 11, 2025 /PRNewswire/ — TECNO,  an AI-driven innovative technology brand, will be the first to feature MediaTek’s latest Helio G200 chipset in the upcoming SPARK 40 Series. The new processor will debut on the premium model SPARK 40 Pro+, with the Helio G200 offering an over 10% performance boost over its predecessor. This translates to enhanced smoothness, faster computing, and a seamless entertainment experience, elevating the performance of entry-level smartphones.

Elevated Power and Seamless Entertainment

At the heart of the SPARK 40 Pro+ is the MediaTek Helio G200, a next-gen 4G chipset built on TSMC’s advanced 6nm process. It features an octa-core CPU configuration with 2x Cortex-A76 cores at 2.2GHz and 6x Cortex-A55 cores at 2.0GHz, delivering smoother responsiveness and faster multi-tasking.

Benchmark tests place the MediaTek Helio G200 at approximately 470,000 on AnTuTu, marking a 10% performance uplift compared to the previous generation. Users can expect significantly faster app launches, more responsive interactions, and better handling of multiple tasks simultaneously.

The ARM Mali-G57 MC2 GPU also sees a notable upgrade, with its operating frequency increased to 1.1GHz, delivering a 10% improvement in single-core graphics processing. This ensures richer, more immersive gaming and multimedia experiences even in demanding scenarios.

“The MediaTek Helio G200 empowers TECNO to deliver superior performance in the coming SPARK 40 Series, enabling users to experience flagship-level responsiveness, seamless operation, and sustained power that elevates everyday smartphone interactions,” said Dr. Yenchi Lee, General Manager of MediaTek’s Wireless Communications Business .

“The SPARK 40 Series will not just be raising specs,” said Joey Qu, TECNO senior product manager. “With the Helio G200 as its engine, the SPARK 40 Series redefines what’s possible in its class, offering an unprecedented experience for its users  — All while delivering signature slim design”.

Visuals and Connectivity Redefined

Taking visual quality to new heights, the SPARK 40 Pro+ pairs the Helio G200 with TECNO’s customized algorithms, enabling 1.5K super-resolution rendering — the strongest visual configuration in its price range. This exceptional synergy results in sharper, more vibrant visuals and intelligent upscaling, redefining entertainment expectations for affordable smartphones.

The MediaTek Helio G200 also brings advanced modem enhancements, supporting DCSAR (Dynamic Communication Smart Adaptive Response), which boosts significant improvement in network efficiency  even in complex or weak signal environments. Users can expect more stable and faster connections, translating to seamless streaming, calling, and gaming on the go.

The TECNO SPARK 40 Series is set to launch in global markets in July, which will  blends eye-catching slim aesthetics with flagship-caliber power and TECNO AI features, with more details to be announced soon.

About TECNO

TECNO is an AI-driven innovative technology brand with a presence in over 70 markets across five continents. Committed to transforming the digital experience in global emerging markets, TECNO relentlessly pursues the perfect integration of contemporary aesthetic design with the latest technologies and artificial intelligence. Today, TECNO offers a comprehensive ecosystem of AI-powered products, including smartphones, smart wearables, laptops, tablets, smart gaming devices, the HiOS operating system, and smart home products. Guided by its brand essence of “Stop At Nothing,” TECNO continues to pioneer the adoption of cutting-edge technologies and AI-driven experiences for forward-looking individuals, inspiring them to never stop pursuing their best selves and brightest futures. For more information, please visit TECNO’s official site: www.tecno-mobile.com.

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