International Flavors and Fragrances Inc (IFF) |
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International Flavors And Fragrances Inc's Suppliers Performance
IFF's Supply Chain
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IFF Costs vs Sales of Suppliers Growth |
International Flavors And Fragrances Inc's Suppliers recorded an increase in sales by 85.26 % year on year in Q4 2023, from the previous quarter, sales fell by -4.65 %, International Flavors And Fragrances Inc's cost of sales deteriorated by -6.68 % year on year, relative to one quarter ago cost of sales fell by -2.8 % in Q4.
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International Flavors And Fragrances Inc's Suppliers recorded an increase in sales by 85.26 % year on year in Q4 2023, from the previous quarter, sales fell by -4.65 %, International Flavors And Fragrances Inc's cost of sales deteriorated by -6.68 % year on year, compare to one quarter ago cost of sales fell by -2.8 % in Q4.
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News about International Flavors and Fragrances Inc Contracts |
International Flavors And Fragrances Inc's Comment on Supply Chain
We have an integrated supply chain from raw material sourcing through manufacturing,
quality assurance, regulatory compliance and distribution, which permits us to
provide our customers with consistent quality products on a timely and cost-effective
basis.
Procurement. The ingredients that we use in our compounds are both natural
and synthetic. We purchase approximately 9,000 different raw materials from
about 2,400 domestic and international suppliers. Approximately half of the
materials we purchase are naturals or crop related items and the other half
are synthetics and chemicals. Natural ingredients are derived from flowers,
fruits and other botanical products as well as from animal products. They contain
varying numbers of organic chemicals that are responsible for the fragrance
or flavor of the natural product. The natural products are purchased in processed
or semi-processed form. Some are used in compounds in the state in which they
are purchased and others after further processing. Natural products, together
with various chemicals, are also used as raw materials for the manufacture of
synthetic ingredients by chemical processes. Our flavor products also include
extracts and seasonings derived from various fruits, vegetables, nuts, herbs
and spices as well as microbiologically-derived ingredients. We manufacture
most of our synthetic ingredients for use in our fragrance compounds as well
as for sale to others.
While we purchase a diverse portfolio of raw materials, about 80% of our spending
is focused on approximately 800 materials, which allows us to leverage our buying
power with suppliers. In order to ensure our supply of raw materials, achieve
favorable pricing and provide timely transparency regarding inflationary trends
to our customers, we continue to be focused on (i) implementing a forward-buy
strategy, (ii) entering into supplier relationships to gain access to supplies
that we do not have, (iii) implementing indexed pricing, (iv) reducing the complexity
of our formulations and (v) evaluating whether it is more profitable to buy
or make an ingredient. We are also concentrating on local country sourcing with
our own procurement professionals.
Manufacturing and Distribution. We have 29 manufacturing sites around the world
that support more than 35,000 products. Our major manufacturing facilities are
located in the United States, the Netherlands, Spain, Great Britain, Argentina,
Brazil, Mexico, Australia, China, India, Japan and Singapore. Our supply chain
initiatives in developing markets are focused on increasing capacity and investments
in key technologies, while within our more mature markets, we tend to focus
on consolidation and cost optimization as well as implementing new technologies.
In addition to our own manufacturing facilities, we develop relationships with
third parties that permit us to expand the technologies, capabilities and capacity
that we can access to serve our customers.
Based on the regional nature of the Flavors business and the concerns regarding
the transportability of raw materials, we have established smaller manufacturing
facilities in our local markets that are focused on local needs. Products within
the Fragrances business are typically composed of compounds that are more stable
and more transportable around the world. Consequently, we have fewer manufacturing
facilities within our Fragrances business, which produce compounds and ingredients
for global distribution.
International Flavors And Fragrances Inc's Comment on Supply Chain
We have an integrated supply chain from raw material sourcing through manufacturing,
quality assurance, regulatory compliance and distribution, which permits us to
provide our customers with consistent quality products on a timely and cost-effective
basis.
Procurement. The ingredients that we use in our compounds are both natural
and synthetic. We purchase approximately 9,000 different raw materials from
about 2,400 domestic and international suppliers. Approximately half of the
materials we purchase are naturals or crop related items and the other half
are synthetics and chemicals. Natural ingredients are derived from flowers,
fruits and other botanical products as well as from animal products. They contain
varying numbers of organic chemicals that are responsible for the fragrance
or flavor of the natural product. The natural products are purchased in processed
or semi-processed form. Some are used in compounds in the state in which they
are purchased and others after further processing. Natural products, together
with various chemicals, are also used as raw materials for the manufacture of
synthetic ingredients by chemical processes. Our flavor products also include
extracts and seasonings derived from various fruits, vegetables, nuts, herbs
and spices as well as microbiologically-derived ingredients. We manufacture
most of our synthetic ingredients for use in our fragrance compounds as well
as for sale to others.
While we purchase a diverse portfolio of raw materials, about 80% of our spending
is focused on approximately 800 materials, which allows us to leverage our buying
power with suppliers. In order to ensure our supply of raw materials, achieve
favorable pricing and provide timely transparency regarding inflationary trends
to our customers, we continue to be focused on (i) implementing a forward-buy
strategy, (ii) entering into supplier relationships to gain access to supplies
that we do not have, (iii) implementing indexed pricing, (iv) reducing the complexity
of our formulations and (v) evaluating whether it is more profitable to buy
or make an ingredient. We are also concentrating on local country sourcing with
our own procurement professionals.
Manufacturing and Distribution. We have 29 manufacturing sites around the world
that support more than 35,000 products. Our major manufacturing facilities are
located in the United States, the Netherlands, Spain, Great Britain, Argentina,
Brazil, Mexico, Australia, China, India, Japan and Singapore. Our supply chain
initiatives in developing markets are focused on increasing capacity and investments
in key technologies, while within our more mature markets, we tend to focus
on consolidation and cost optimization as well as implementing new technologies.
In addition to our own manufacturing facilities, we develop relationships with
third parties that permit us to expand the technologies, capabilities and capacity
that we can access to serve our customers.
Based on the regional nature of the Flavors business and the concerns regarding
the transportability of raw materials, we have established smaller manufacturing
facilities in our local markets that are focused on local needs. Products within
the Fragrances business are typically composed of compounds that are more stable
and more transportable around the world. Consequently, we have fewer manufacturing
facilities within our Fragrances business, which produce compounds and ingredients
for global distribution.
IFF's Suppliers recorded net loss |
Suppliers recorded net loss |
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IFF's vs. Suppliers, Data
(Revenue and Income for Trailing 12 Months, in Millions of $, except Employees)
COMPANY NAME |
MARKET CAP |
REVENUES |
INCOME |
EMPLOYEES |
International Flavors and Fragrances Inc |
21,406.99 |
11,479.00 |
-2,563.00 |
24,000 |
Avient Corporation |
3,733.01 |
3,142.50 |
76.20 |
0 |
Flotek Industries Inc |
-948.98 |
187.26 |
24.71 |
363 |
Stepan Company |
1,966.02 |
2,419.82 |
52.23 |
2,073 |
Sensient Technologies Corp |
2,912.12 |
1,456.45 |
93.39 |
4,083 |
Tredegar Corporation |
173.21 |
999.02 |
-105.91 |
2,800 |
United guardian Inc |
35.56 |
11.04 |
2.52 |
34 |
SUBTOTAL |
7,870.94 |
8,216.09 |
143.16 |
9,353 |
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