{"success":true,"data":{"pressRelease":{"id":"108648","rtpr_id":"nBw6l9vWfa","ticker":"IFF","exchange":"NYSE","all_tickers":["IFF"],"title":"IFF Reports Second Quarter 2026 Results; Announces Use of Proceeds Plan for Food Ingredients Divestiture","author":"Business Wire","published_at":"2026-08-04T20:15:00.755Z","article_body":"IFF Reports Second Quarter 2026 Results; Announces Use of Proceeds Plan for\nFood Ingredients Divestiture\n\nDelivered Strong Sales, Profit and Cash Flow Performance in Second Quarter\n2026\n\nProvides Full Year 2026 Financial Guidance on a Continuing Operations Basis\n\nAnnounces Enhanced $2.5B Share Repurchase Authorization; Including $500M\nAccelerated Share Repurchase in the second half of 2026\n\nIFF (NYSE: IFF) reported financial results for the second quarter ended June\n30, 2026. Results are presented on a continuing operations basis, excluding\nthe Food Ingredients business and other minor perimeter adjustments (the\n“Food Ingredients disposal group”), and the Soy Crush, Concentrates, and\nLecithin businesses (the “SCL disposal group”). The Food Ingredients\ndisposal group and the SCL disposal group are reported as discontinued\noperations.\n\nSecond Quarter 2026 Consolidated Summary of Results, on a continuing\noperations basis(1):\n Reported   Adjusted \n \n(GAAP) \n(Non-GAAP)(2) \n Sales   Income Before Taxes   EPS   Operating EBITDA   Operating EBITDA Margin   EPS ex Amortization \n $2.0 B   $64 M   $0.13   $408 M   20.9%   $0.82 \n\n\nFirst Six Months 2026 Consolidated Summary of Results, on a continuing\noperations basis(1):\n Reported   Adjusted \n \n(GAAP) \n(Non-GAAP)(2) \n Sales   Income Before Taxes   EPS   Operating EBITDA   Operating EBITDA Margin   EPS ex Amortization \n $3.9 B   $260 M   $0.73   $841 M   21.8%   $1.74 \n\n\nManagement Commentary\n\n“IFF delivered a strong first half of 2026 on a continuing operations\nbasis,” said Erik Fyrwald, CEO of IFF. “Performance was driven by volume\ngrowth, disciplined margin execution and robust free cash flow generation.\nThese results reflect the strength of our commercial and innovation pipelines\nand the actions underway to improve efficiency and cash flow across the\ncompany.”\n\n“This quarter marked a defining step in our portfolio transformation with\nthe announced agreement to divest Food Ingredients. The transaction sharpens\nIFF's focus on Taste, Scent, and Health & Biosciences, creating a simpler,\nhigher-growth, higher-margin company with enhanced cash generation. As part of\nthis transformation, we are taking decisive action to eliminate related\nstranded costs and will execute with urgency.”\n\n“We are also providing greater clarity on our intended use of proceeds from\nthe divestiture of the Food Ingredients business through a sequenced capital\nallocation framework. Our objective is to maintain a strong balance sheet and\nfinancial flexibility to deliver our growth ambitions with leverage in the\nrange of 2.0x to 2.5x net debt to EBITDA. Therefore we will apply net proceeds\nto reduce outstanding debt by over $1 billion. The Board has also authorized\nan enhanced $2.5 billion share repurchase program, beginning with $500 million\nto be executed in the second half of 2026, reflecting our confidence in\nIFF’s long-term value creation opportunity and the compelling return profile\nof repurchases at current valuation levels. We expect to execute the remaining\n$2.0 billion of the authorization following the anticipated transaction close,\nwith completion of this repurchase program targeted by the end of 2027.”\n\n“With Food Ingredients now reported as discontinued operations, we are\nintroducing full-year 2026 guidance on a continuing operations basis. The\nunderlying performance in the three business units is consistent with previous\nguidance given. The new presentation provides greater visibility into the\ngrowth and margin profile of our go-forward portfolio, reinforcing the outlook\nfor IFF’s continuing operations and our ability to create long-term\nshareholder value.”\n\nSecond Quarter 2026 Consolidated Financial Results(1)\n\n\n * Reported net sales for the second quarter were $1.95 billion, an increase of\n2% versus the prior-year period. On a comparable basis(3), currency neutral\nsales(2) increased 6% versus the prior-year period led by broad-based growth\nincluding high-single digit performance in Scent and mid-single digit growth\nin Taste and Health & Biosciences. Inclusive of discontinued operations\nnet sales of $827 million, net sales for the second quarter were $2.78\nbillion.\n\n * Income from continuing operations before taxes on a reported basis for the\nsecond quarter was $64 million. Adjusted operating EBITDA(2) for the second\nquarter was $408 million. On a comparable basis(3), currency neutral adjusted\noperating EBITDA(2) improved 6% versus the prior-year period, driven primarily\nby volume growth and productivity gains. Inclusive of discontinued operations\nadjusted operating EBITDA(2) of $140 million, adjusted operating EBITDA(2 )for\nthe second quarter was $548 million.\n\n * Reported earnings per share (EPS) for the second quarter was $0.13 per diluted\nshare. Adjusted EPS excluding amortization(2) was $0.82 per diluted share.\n\n * Cash flows from operations for the first six months of the year for continuing\nand discontinued operations was $679 million, increasing $311 million\nyear-over-year, and free cash flow(2), defined as cash flows from operations\nless capital expenditures, totaled $378 million, increasing $284 million\nyear-over-year. Total debt to trailing twelve months net income at the end of\nthe second quarter was 22.6x. Net debt to credit adjusted EBITDA(2) at the end\nof the second quarter was 2.5x, and includes the effects of both continuing\nand discontinued operations.\n\nSecond Quarter 2026 Segment Summary(1): Growth vs. Prior Year\n   Reported   Comparable   Adjusted   Comparable \n \n(GAAP) \nCurrency \n(Non-GAAP)(2) \nCurrency Neutral \n \nNeutral \nAdjusted \n \n(Non-GAAP)(2 3) \n(Non-GAAP)(2 3) \n   Sales   Sales   Operating EBITDA   Operating EBITDA \n Taste 5%   4%   6%   6% \n Health & Biosciences 8%   5%   8%   6% \n Scent 10%   8%   11%   5% \n Consolidated((1)) 2%   6%   2%   6% \n\n ______________________ \n ((1)) Consolidated Reported Sales and Adjusted Operating EBITDA for the second \n quarter 2025 includes approximately one month of activity related to the \n Pharma Solutions disposal group and Nitrocellulose business, that were \n divested on May 1, 2025 and May 9, 2025, respectively. \n\n\nTaste Segment\n\n\n * On a reported basis, second quarter sales were $688 million. On a comparable\nbasis(3), currency neutral sales(2) increased 4% with broad-based growth in\nall regions.\n\n * Taste adjusted operating EBITDA(2) was $124 million and adjusted operating\nEBITDA margin(2) was 18.0% in the second quarter. On a comparable basis(3),\ncurrency neutral adjusted operating EBITDA(2) increased 6% driven primarily by\nvolume growth and favorable net pricing.\n\nHealth & Biosciences Segment\n\n\n * On a reported basis, second quarter sales were $601 million. On a comparable\nbasis(3), currency neutral sales(2) increased 5% with growth in all\nbusinesses, led by Grain Processing, Food Biosciences & Animal Nutrition.\n\n * Health & Biosciences adjusted operating EBITDA(2) was $150 million and\nadjusted operating EBITDA margin(2) was 25.0% in the second quarter. On a\ncomparable basis(3), currency neutral adjusted operating EBITDA(2) increased\n6% primarily driven by volume growth.\n\nScent Segment\n\n\n * On a reported basis, second quarter sales were $665 million. On a comparable\nbasis(3), currency neutral sales(2) increased 8% led by double-digit growth in\nFragrance Ingredients and a high single-digit performance in Consumer\nFragrance. Fine Fragrance increased low-single digits compared to the prior\nyear period as it was impacted by the Middle East conflict.\n\n * Scent adjusted operating EBITDA(2) was $134 million and adjusted operating\nEBITDA margin(2) was 20.2% in the second quarter. On a comparable basis(3),\ncurrency neutral adjusted operating EBITDA(2 )increased 5% driven primarily by\nvolume growth and productivity.\n\nSale of Food Ingredients Disposal Group\n\nOn May 29, 2026, IFF announced that it had entered into a definitive agreement\nto sell its Food Ingredients disposal group, which was included in the Food\nIngredients segment, to CVC Capital Partners for net cash proceeds of\napproximately $3.8 billion, subject to customary transaction adjustments. The\ntransaction is expected to close by the end of the second quarter of 2027,\nsubject to customary closing conditions and receipt of regulatory approvals.\nAs part of the transaction, IFF will retain an approximately 10% minority\nequity interest in the business enabling continued collaboration and\ncooperation between IFF and Food Ingredients.\n\nStranded costs related to this transaction represent approximately $100\nmillion of corporate and functional expenses previously allocated to the Food\nIngredients business that are expected to remain with IFF following the close\nof the transaction. IFF has a remediation plan in place, with actions\nunderway, and expects to eliminate approximately two thirds of these costs\nwithin the first year following the transaction close, and substantially all\nwithin two years following transaction close.\n\nOn March 2, 2026, the Company completed the divestiture of the SCL disposal\ngroup, which was also included in the Food Ingredients segment. The\ndivestitures were part of a combined strategy by IFF to divest the majority of\nits Food Ingredients segment and strengthen its portfolio.\n\nAs a result, beginning in the second quarter of 2026, the financial results of\nthe Food Ingredients disposal group and the financial results of the SCL\ndisposal group prior to its divestiture on March 2, 2026, are reflected in\nIFF’s Consolidated Financial Statements as discontinued operations, along\nwith comparative periods.\n\nThe classification of the Food Ingredients and SCL businesses as discontinued\noperations reflects the Company’s continued focus on its remaining\ninnovation-led, higher-growth and higher-margin segments: Taste, Scent and\nHealth & Biosciences. On a continuing operations basis, the Company\ndelivered second quarter 2026 Adjusted Operating EBITDA margin of 20.9%, an\nimprovement compared to 19.7% including discontinued operations.\n\nShare Repurchase Authorization\n\nThe Company announced that its Board of Directors has authorized an enhanced\nshare repurchase authorization with a total value of $2.5 billion; this amount\nincluded approximately $400 million remaining on its prior authorization.\nUnder the program, the Board of Directors also authorized an accelerated share\nrepurchase of $500 million, which the Company expects to execute in the second\nhalf of 2026. The remaining $2.0 billion share repurchase is expected to be\nexecuted following the closing of the Food Ingredients disposal group\ndivestiture, with an expected completion of the program by the end of 2027.\nThe Board will review the share repurchase program periodically and may\nauthorize adjustment of its term and size. The Company plans to fund\nrepurchases from cash provided by operating activities, short-term debt and\nnet cash proceeds provided by the divestiture of the Food Ingredients disposal\ngroup.\n\nFinancial Guidance(1)\n\nThe Company has provided financial guidance to reflect the separation of the\nFood Ingredients disposal group and SCL disposal group as discontinued\noperations. For continuing operations, the Company expects full year 2026\nsales to be in the range of $7.4 billion to $7.6 billion excluding\napproximately $3.2 billion related to discontinued operations. For the full\nyear 2026 adjusted operating EBITDA is expected to be in the range of $1.53\nbillion to $1.60 billion, excluding approximately $520 million related to\ndiscontinued operations.\n\nOn a continuing operations basis, the Company expects comparable currency\nneutral sales growth to be between 2% to 4%, and comparable currency neutral\nadjusted operating EBITDA growth to be 4% to 8%.\n\nBased on recent market foreign exchange rates, the Company continues to expect\nthat foreign exchange will have an approximately 1% positive impact on sales\ngrowth and have an approximately 2% positive impact on adjusted operating\nEBITDA growth in 2026.\n\nAudio Webcast\n\nA live webcast to discuss the Company’s second quarter 2026 financial\nresults will be held on August 5, 2026, at 9:00 a.m. ET. The webcast and\naccompanying slide presentation may be accessed on the Company’s IR website\nat ir.iff.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fir.iff.com&esheet=54583136&newsitemid=20260804962836&lan=en-US&anchor=ir.iff.com&index=1&md5=74d7d3c6f699d9b62c24fcf7bc2766c2)\n. For those unable to listen to the live webcast, a recorded version will be\nmade available on the Company’s website approximately one hour after the\nevent and will remain available on IFF’s website for one year.\n\nCautionary Statement Under The Private Securities Litigation Reform Act of\n1995\n\nThis press release includes statements that are not historical facts and are\n“forward-looking statements” within the meaning of The Private Securities\nLitigation Reform Act of 1995. Such forward-looking statements are based on\nmanagement’s current assumptions, estimates and expectations, including with\nrespect to our financial and operational outlook (sales, adjusted operating\nEBITDA and cash flow), portfolio optimization initiatives (including the\npending divestiture for our Food Ingredients segment), pricing, productivity\nand cost-discipline actions, capital allocation, future operations, growth\npotential, strategic investments and the expected effects of foreign exchange.\nThese statements reflect management’s present views, are based on a series\nof expectations, assumptions, estimates and projections about the Company, are\nsubject to change, and involve uncertainties that could cause actual results\nto differ materially.\n\nCertain of such forward-looking information may be identified by such terms as\n“expect”, “anticipate”, “believe”, “intend”, “outlook”,\n“may”, “will”, “would”, “estimate”, “should”,\n“predict”, “plan”, “project”, “could”, “potential”,\n“seek”, “target”, “continue”, “future”, and similar terms or\nvariations thereof. These statements are not guarantees of future performance\nand are subject to risks and uncertainties that could lead to materially\ndifferent outcomes.\n\nSuch risks, uncertainties and other factors include, among others, the\nfollowing: (1) demand trends, competitive dynamics and customer concentration\nin our end markets; (2) execution of our strategic transformation and other\nstrategic transactions, divestitures, acquisitions, collaborations and joint\nventures; (3) working capital and inventory management; (4) outcomes of legal\nclaims, disputes, regulatory investigations and litigation; (5) tariffs and\ntrade actions, supply chain disruptions and macro events, including\ngeopolitical developments, climate events, natural disasters, public health\ncrises; (6) volatility in input costs (such as raw materials, transportation\nand energy); (7) attraction, retention and turnover of key employees and\nexecutives; (8) product innovation, time-to-market, product safety and\nquality; (9) cybersecurity incidents, artificial intelligence related risks,\ndata privacy and compliance with data protection laws; (10) exposure to\nemerging markets, foreign currency fluctuations and international regulatory\nand political risks; (11) capital allocation, dividend policy and potential\nimpairments of tangible or intangible assets; (12) our indebtedness, credit\nrating, liquidity, and access to capital; (13) pension and postretirement\nobligations; (14) compliance with federal, state, local and international\nrules and regulations, and regulatory, environmental, anti-corruption and\nsanctions laws and related ethical business practices; (15) protection and\nenforcement of intellectual property; (16) changes in tax laws and policies,\ntax audits and outcomes, including potential tax liabilities related to prior\ntransactions; and (17) changes in federal, state, local and international\nrules and regulations.\n\nThe foregoing list of important factors does not include all such factors, nor\nnecessarily present them in order of importance. Important factors are\ndescribed under “Risk Factors” in our most recent Annual Report on Form\n10-K and in our subsequent filings with the SEC, and those disclosures are\nincorporated herein by reference.\n\nWe intend our forward-looking statements to speak only as of the time of such\nstatements and do not undertake or plan to update or revise them as more\ninformation becomes available or to reflect changes in expectations,\nassumptions or results, whether as a result of new information, future events\nor otherwise. We can give no assurance that such expectations or\nforward-looking statements will prove to be correct. An occurrence of, or any\nmaterial adverse change in, one or more of the risk factors or risks and\nuncertainties referred to in this press release or included in our other\nperiodic reports filed with the SEC could materially and adversely impact our\noperations and our future financial results.\n\nAny public statements or disclosures made by us following this press release\nthat modify or impact any of the forward-looking statements contained in or\naccompanying this press release will be deemed to modify or supersede such\noutlook or other forward-looking statements in or accompanying this press\nrelease.\n\nUse of Non-GAAP Financial Measures\n\nWe provide in this press release non-GAAP financial measures, including: (i)\ncomparable currency neutral sales; (ii) adjusted operating EBITDA and\ncomparable currency neutral adjusted operating EBITDA; (iii) adjusted\noperating EBITDA margin; (iv) adjusted EPS ex amortization; (v) free cash\nflow; and (vi) net debt to credit adjusted EBITDA. Unless otherwise noted, all\namounts and percentages in this press release reflect the results from\ncontinuing operations, with the exception of the Statements of Cash Flows and\nnet debt to credit adjusted EBITDA which are presented on a combined\ncontinuing and discontinued basis.\n\nOur non-GAAP financial measures are defined below.\n\nCurrency Neutral metrics eliminate the effects that result from translating\nnon-U.S. currencies to U.S. dollars. We calculate currency neutral numbers by\ntranslating current year invoiced sale amounts at the exchange rates used for\nthe corresponding prior year period. We use currency neutral results in our\nanalysis of segment performance. We also use currency neutral numbers when\nanalyzing our performance against that of our competitors.\n\nComparable results for the second quarter exclude the impact of divestitures.\n\nAdjusted operating EBITDA and adjusted operating EBITDA margin exclude\ndepreciation and amortization, interest expense, other expense, net, and\ncertain non-recurring or unusual items that are not part of recurring\noperations such as impairment of goodwill, restructuring and other charges,\nlosses (gains on business disposals, loss on assets classified as held for\nsale, divestiture costs, strategic initiatives costs, regulatory costs, gain\non debt extinguishment, entity realignment and other items.\n\nAdjusted EPS ex Amortization excludes the impact of non-operational items\nincluding restructuring and other charges, divestiture costs, losses (gains)\non business disposals, strategic initiatives costs, regulatory costs and other\nitems that are not a part of recurring operations.\n\nFree Cash Flow is operating cash flow (i.e., cash flow from operations) less\ncapital expenditures.\n\nNet debt to credit adjusted EBITDA is the leverage ratio used in our credit\nagreements and defined as net debt (which is debt for borrowed money less cash\nand cash equivalents) divided by the trailing 12-month credit adjusted EBITDA.\nCredit adjusted EBITDA is defined as income (loss) before interest expense,\nincome taxes, depreciation and amortization, specified items and non-cash\nitems.\n\nThese non-GAAP measures are intended to provide additional information\nregarding our underlying operating results and comparable year-over-year\nperformance. Such information is supplemental to information presented in\naccordance with GAAP and is not intended to represent a presentation in\naccordance with GAAP. In discussing our historical and expected future results\nand financial condition, we believe it is meaningful for investors to be made\naware of and to be assisted in a better understanding of, on a\nperiod-to-period comparable basis, financial amounts both including and\nexcluding these identified items, as well as the impact of exchange rate\nfluctuations. These non-GAAP measures should not be considered in isolation or\nas substitutes for analysis of the Company’s results under GAAP and may not\nbe comparable to other companies’ calculation of such metrics.\n\nThe Company cannot reconcile its expected adjusted operating EBITDA under\n\"Financial Guidance\" without unreasonable effort because certain items that\nimpact net income and other reconciling metrics are out of the Company's\ncontrol and/or cannot be reasonably predicted at this time. These items\ninclude but are not limited to divestiture costs, gains (losses) on business\ndisposals, and regulatory costs.\n\nWelcome to IFF\n\nAt IFF (NYSE: IFF), we make joy through science, creativity and heart. As the\nglobal leader in flavors, fragrances, and health and biosciences, we deliver\ngroundbreaking, sustainable innovations that elevate everyday\nproducts—advancing wellness, delighting the senses and enhancing the human\nexperience. Learn more at iff.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fiff.com&esheet=54583136&newsitemid=20260804962836&lan=en-US&anchor=iff.com&index=2&md5=0c48f375fe1a4c81c5f5be3226d4d048)\n, LinkedIn, Instagram and Facebook.\n _______________________ \n (1) Unless otherwise noted, results are presented on a continuing operations \n basis, now reflecting the Food Ingredients disposal group and the SCL disposal \n group as discontinued operations. See pages 5-6 for further information, \n including the basis of presentation included in this release. \n (2) Schedules at the end of this release contain reconciliations of reported \n GAAP to Non-GAAP metrics. See Use of Non-GAAP Financial Measures for \n explanations of our Non-GAAP metrics. \n (3) Comparable results for the second quarter exclude the impact of \n divestitures.  \n   \n\n International Flavors & Fragrances Inc. \n Consolidated Statements of Income (Loss) \n (Amounts in millions except per share data) \n (Unaudited) \n   \n   Three Months Ended June 30,   Six Months Ended June 30, \n     2026     2025     % Change     2026     2025     % Change \n Net sales $ 1,954   $ 1,919     2 %   $ 3,860   $ 3,969     (3 )% \n Cost of sales   1,101     1,095     1 %     2,178     2,293     (5 )% \n Gross profit   853     824     4 %     1,682     1,676     — % \n Research and development expenses   170     170     — %     324     325     — % \n Selling and administrative expenses   437     409     7 %     771     799     (4 )% \n Amortization of acquisition-related intangibles   82     82     — %     166     162     2 % \n Impairment of goodwill   —     —     NMF     —     34     NMF \n Restructuring and other charges   6     20     (70 )%     10     35     (71 )% \n Losses on sale of assets   —     1     (100 )%     —     1     (100 )% \n Operating profit   158     142     11 %     411     320     28 % \n Interest expense   46     61     (25 )%     90     132     (32 )% \n Gain on extinguishment of debt   —     (488 )   NMF     —     (488 )   NMF \n Losses on business disposals   1     111     (99 )%     1     111     (99 )% \n Loss on assets classified as held for sale   27     —     NMF     27     —     NMF \n Other expense, net   20     20     — %     33     39     (15 )% \n Income from continuing operations before taxes   64     438     (85 )%     260     526     (51 )% \n Provision (benefit) for income taxes   31     (112 )   (128 )%     72     (92 )   (178 )% \n Net income from continuing operations   33     550     (94 )%     188     618     (70 )% \n Income (loss) from discontinued operations before tax   31     66     (53 )%     44     (1,016 )   (104 )% \n Provision for income taxes from discontinued operations   13     17     (24 )%     11     20     (45 )% \n Net income (loss) from discontinued operations   18     49     (63 )%     33     (1,036 )   (103 )% \n Net income (loss)   51     599     (91 )%     221     (418 )   (153 )% \n Net income attributable to non-controlling interests from continuing   —     —     NMF     1     1     — % \n operations \n Net income attributable to non-controlling interests from discontinued   1     —     NMF     1     —     NMF \n operations \n Net income (loss) attributable to IFF shareholders $ 50   $ 599     (92 )%   $ 219   $ (419 )   (152 )% \n                         \n Net income (loss) per share - basic                       \n Continuing operations $ 0.13   $ 2.15         $ 0.73   $ 2.41       \n Discontinued operations   0.07     0.19           0.13     (4.05 )     \n Net income (loss) per share - basic $ 0.20   $ 2.34         $ 0.86   $ (1.64 )     \n Net income (loss) per share - diluted                       \n Continuing operations $ 0.13   $ 2.14         $ 0.73   $ 2.40       \n Discontinued operations   0.07     0.19           0.12     (4.03 )     \n Net income (loss) per share - diluted $ 0.20   $ 2.33         $ 0.85   $ (1.63 )     \n                         \n Average number of shares outstanding                       \n Average number of shares outstanding - basic   255     256           256     256       \n Average number of shares outstanding - diluted   257     257           257     257       \n   \n NMF Not meaningful \n\n International Flavors & Fragrances Inc. \n Condensed Consolidated Balance Sheets \n (Amounts in millions) \n (Unaudited) \n   \n   June 30,   December 31, \n   2026   2025 \n Cash and cash equivalents $ 569   $ 590 \n Receivables, net   1,424     1,294 \n Inventories   1,505     1,507 \n Prepaid expenses and other current assets   750     742 \n Current assets of discontinued operations   4,840     1,461 \n Total current assets   9,088     5,594 \n         \n Property, plant and equipment, net   2,666     2,685 \n Goodwill and other intangibles, net   11,877     12,190 \n Other assets   1,523     1,469 \n Non-current assets of discontinued operations   —     3,601 \n Total assets $ 25,154   $ 25,539 \n         \n Short-term borrowings $ 964   $ 1,254 \n Other current liabilities   2,276     2,129 \n Current liabilities of discontinued operations   1,170     550 \n Total current liabilities   4,410     3,933 \n         \n Long-term debt   4,735     4,738 \n Non-current liabilities   2,000     2,065 \n Non-current liabilities of discontinued operations   —     617 \n         \n Total Shareholders' equity including Non-controlling interests   14,009     14,186 \n Total liabilities and shareholders' equity $ 25,154   $ 25,539 \n\n International Flavors & Fragrances Inc. \n Consolidated Statements of Cash Flows((1)) \n (Amounts in millions) \n (Unaudited) \n   \n   Six Months Ended June 30, \n     2026       2025   \n Cash flows from operating activities:       \n Net income (loss) $ 221     $ (418 ) \n Adjustments to reconcile to net cash provided by operating activities       \n Depreciation and amortization   464       478   \n Deferred income taxes   (37 )     (177 ) \n Loss on assets classified as held for sale   27       —   \n Losses on sale of assets   —       1   \n Losses on business disposals   8       111   \n Stock-based compensation   51       51   \n Pension contributions   (10 )     (9 ) \n Gain on extinguishment of debt   —       (488 ) \n Impairment of goodwill   —       1,153   \n Changes in assets and liabilities, net of acquisitions:       \n Trade receivables   (188 )     (106 ) \n Inventories   (45 )     (124 ) \n Accounts payable   288       77   \n Accruals for incentive compensation   (63 )     (204 ) \n Other assets/liabilities, net   (37 )     23   \n Net cash provided by operating activities   679       368   \n Cash flows from investing activities:       \n Additions to property, plant and equipment   (301 )     (274 ) \n Additions to intangible assets   (2 )     —   \n Joint venture capital contributions   —       (4 ) \n Net proceeds received from business disposals   201       2,707   \n Payments to buyer for business disposals   (12 )     —   \n Cash (paid) received on foreign currency forward contracts   (19 )     112   \n Net cash (used in) provided by investing activities   (133 )     2,541   \n Cash flows from financing activities:       \n Cash dividends paid to shareholders   (204 )     (204 ) \n Net repayments of commercial paper (maturities less than three months)   (264 )     —   \n Principal payments of debt   —       (2,413 ) \n Withholding tax paid on stock-based compensation   (18 )     (22 ) \n Purchase of treasury stock   (71 )     —   \n Other, net   (8 )     (15 ) \n Net cash used in financing activities   (565 )     (2,654 ) \n Effect of exchange rate changes on cash and cash equivalents   (2 )     90   \n Net change in cash and cash equivalents   (21 )     345   \n Cash and cash equivalents at beginning of year   590       471   \n Cash and cash equivalents at end of period $ 569     $ 816   \n\n (1) The cash flows from discontinued operations are included in the Consolidated \n Statements of Cash Flows. \n\n\nThe following table reconciles cash and cash equivalents between the Company's\nstatement of cash flows for the periods ended June 30, 2026 and June 30, 2025\nto the amounts reported on the Company's balance sheet:\n AMOUNTS IN MILLIONS June 30, 2026   December 31, 2025   June 30, 2025   December 31, 2024 \n Current assets               \n Cash and cash equivalents $ 569   $ 590   $ 816   $ 469 \n Cash and cash equivalents included in Assets held for sale   —     —     —     2 \n Cash and cash equivalents $ 569   $ 590   $ 816   $ 471 \n\n International Flavors & Fragrances Inc. \n Reportable Segment Performance \n (Amounts in millions) \n (Unaudited) \n   \n   Three Months Ended June 30, 2026 \n   Taste   Health & Biosciences   Scent   Total \n Net Sales $ 688     $ 601     $ 665     $ 1,954 \n Cost of Sales   (415 )     (313 )     (374 )     \n Research & Development Expenses   (48 )     (58 )     (64 )     \n Selling & Administrative Expenses   (120 )     (114 )     (112 )     \n Depreciation Expense Add-back (a)   19       34       19       \n Adjusted Operating EBITDA $ 124     $ 150     $ 134     $ 408 \n\n Reconciliation of Adjusted Operating EBITDA:   \n Total Adjusted Operating EBITDA $ 408   \n Depreciation & Amortization   (154 ) \n Interest Expense   (46 ) \n Other Expense, net   (20 ) \n Restructuring and Other Charges (b)   (6 ) \n Losses on Business Disposals (d)   (1 ) \n Loss on Assets Classified as Held for Sale (e)   (27 ) \n Divestiture Costs (f)   (10 ) \n Strategic Initiative Costs (g)   (9 ) \n Regulatory Costs (h)   (71 ) \n Entity Realignment Costs (j)   (1 ) \n Other (k)   1   \n Income Before Taxes from Continuing Operations $ 64   \n\n Segment Adjusted Operating EBITDA Margin   \n Taste 18.0 % \n Health & Biosciences 25.0 % \n Scent 20.2 % \n Consolidated 20.9 % \n\n   Three Months Ended June 30, 2025 \n   Taste   Health & Biosciences   Scent   Pharma Solutions   Total \n Net Sales $ 654     $ 559     $ 603     $ 103     $ 1,919 \n Cost of Sales   (397 )     (294 )     (336 )     (68 )     \n Research & Development Expenses   (49 )     (55 )     (62 )     (3 )     \n Selling & Administrative Expenses   (108 )     (101 )     (101 )     (10 )     \n Depreciation Expense Add-back (a)   17       30       17       —       \n Adjusted Operating EBITDA $ 117     $ 139     $ 121     $ 22     $ 399 \n\n Reconciliation of Adjusted Operating EBITDA:   \n Total Adjusted Operating EBITDA $ 399   \n Depreciation & Amortization   (146 ) \n Interest Expense   (61 ) \n Other Expense, net   (20 ) \n Restructuring and Other Charges (b)   (20 ) \n Losses on Business Disposals (d)   (111 ) \n Divestiture Costs (f)   (26 ) \n Strategic Initiative Costs (g)   (6 ) \n Regulatory Costs (h)   (53 ) \n Gain on Debt Extinguishment (i)   488   \n Entity Realignment Costs (j)   (4 ) \n Other (k)   (2 ) \n Income Before Taxes from Continuing Operations $ 438   \n\n Segment Adjusted Operating EBITDA Margin   \n Taste 17.9 % \n Health & Biosciences 24.9 % \n Scent 20.1 % \n Pharma Solutions 21.4 % \n Consolidated 20.8 % \n\n   Six Months Ended June 30, 2026 \n   Taste   Health & Biosciences   Scent   Total \n Net Sales $ 1,368     $ 1,176     $ 1,316     $ 3,860 \n Cost of Sales   (808 )     (622 )     (749 )     \n Research & Development Expenses   (93 )     (111 )     (120 )     \n Selling & Administrative Expenses   (228 )     (219 )     (209 )     \n Depreciation Expense Add-back (a)   37       66       37       \n Adjusted Operating EBITDA $ 276     $ 290     $ 275     $ 841 \n\n Reconciliation of Adjusted Operating EBITDA   \n Total Adjusted Operating EBITDA $ 841   \n Depreciation & Amortization   (306 ) \n Interest Expense   (90 ) \n Other Expense, net   (33 ) \n Restructuring and Other Charges (b)   (10 ) \n Losses on Business Disposals (d)   (1 ) \n Loss on Assets Classified as Held for Sale (e)   (27 ) \n Divestiture Costs (f)   (15 ) \n Strategic Initiative Costs (g)   (18 ) \n Regulatory Costs (h)   (81 ) \n Entity Realignment Costs (j)   (2 ) \n Other (k)   2   \n Income Before Taxes from Continuing Operations $ 260   \n\n Segment Adjusted Operating EBITDA Margin   \n Taste 20.2 % \n Health & Biosciences 24.7 % \n Scent 20.9 % \n Consolidated 21.8 % \n\n   Six Months Ended June 30, 2025 \n   Taste   Health & Biosciences   Scent   Pharma Solutions   Total \n Net Sales $ 1,304     $ 1,079     $ 1,217     $ 369     $ 3,969 \n Cost of Sales   (791 )     (576 )     (679 )     (248 )     \n Research & Development Expenses   (90 )     (106 )     (120 )     (8 )     \n Selling & Administrative Expenses   (209 )     (193 )     (191 )     (42 )     \n Depreciation Expense Add-back (a)   32       58       32       5       \n Adjusted Operating EBITDA $ 246     $ 262     $ 259     $ 76     $ 843 \n\n Reconciliation of Adjusted Operating EBITDA:   \n Total Adjusted Operating EBITDA $ 843   \n Depreciation & Amortization   (288 ) \n Interest Expense   (132 ) \n Other Expense, net   (39 ) \n Restructuring and Other Charges (b)   (35 ) \n Impairment of Goodwill (c)   (34 ) \n Losses on Business Disposals (d)   (111 ) \n Divestiture Costs (f)   (77 ) \n Strategic Initiative Costs (g)   (14 ) \n Regulatory Costs (h)   (64 ) \n Gain on Debt Extinguishment (i)   488   \n Entity Realignment Costs (j)   (5 ) \n Other (k)   (6 ) \n Income Before Taxes from Continuing Operations $ 526   \n\n Segment Adjusted Operating EBITDA Margin   \n Taste 18.9 % \n Health & Biosciences 24.3 % \n Scent 21.3 % \n Pharma Solutions 20.6 % \n Consolidated 21.2 % \n\n (a) There is depreciation recorded within cost of sales, research & \n development expenses, and selling & administrative expenses, which is then \n added back to calculate segment Adjusted Operating EBITDA. This reflects how \n the CODM reviews Segment results. \n (b) For 2026 and 2025, represents costs related to severance as part of the IFF \n Productivity Program. \n (c) For 2025, represents the impairment of goodwill attributable to the portion of \n the Food Ingredients reporting unit that is not included within the Food \n Ingredients or SCL disposal groups. \n (d) For 2026, primarily represents losses recognized as part of final closing \n price adjustments related to the divestiture of the Nitrocellulose business in \n 2025. For 2025, primarily represents losses recognized as part of the sale of \n the Pharma Solutions disposal group, offset in part by gains recognized as \n part of the sale of the Nitrocellulose business. \n (e) For 2026, represents the loss on assets classified as held for sale related to \n the CitraSource business within the Scent segment. \n (f) For 2026 and 2025, primarily represents costs related to the Company’s \n completed and anticipated divestitures, excluding external costs related to \n the planned divestiture of the Food Ingredients and SCL disposal groups. These \n costs primarily consisted of external consulting fees, professional and legal \n fees and salaries of individuals who are fully dedicated to such efforts. \n (g) Represents costs related to the Company’s strategic assessment and business \n portfolio optimization efforts and reorganizing the Global Business Services \n (GBS) Centers. In 2026, the GBS reorganization has been expanded to include \n additional functions such as customer service, supply chain and logistics in \n addition to human resources, accounting and finance, as well as additional \n efforts to automate processes and expand the use of artificial intelligence \n (AI) for these functions. These costs primarily consisted of external \n consulting fees and salaries of individuals who are fully dedicated to such \n efforts. Costs to develop software and AI are only included to the extent that \n they do not qualify for capitalization. \n (h) For 2026 and 2025, represents costs primarily related to provisions recognized \n for the ongoing investigations of the fragrance businesses and legal fees \n incurred. \n (i) For 2025, represents the gain recognized on the extinguishment of debt in \n connection with the completion of the tender offers. \n (j) For 2025, the Company implemented a phased restructuring initiative aimed at \n optimizing its legal entity framework. A one-time tax benefit was achieved as \n part of this restructuring which is partially offset by the execution costs to \n implement. \n (k) For 2025, represents the net impact of costs related to severance, including \n accelerated stock compensation expense, for certain executives who have \n separated from the Company, in addition to consulting costs related to the \n Company’s implementation of a phased restructuring initiative aimed at \n optimizing its legal entity framework. \n\n International Flavors & Fragrances Inc. \n Discontinued Operations Reconciliation \n (Amounts in millions) \n (Unaudited) \n   \n   Three Months Ended June 30, \n     2026     2025   \n Reconciliation of Adjusted Operating EBITDA from Discontinued Operations:       \n Income (Loss) From Discontinued Operations Before Tax   31     66   \n Depreciation & Amortization   64     97   \n Other Expense, net (a)   1     (10 ) \n Divestiture Costs (c)   44     —   \n Adjusted Operating EBITDA from Discontinued Operations   140     153   \n Adjusted Operating EBITDA from Continuing Operations   408     399   \n Total IFF Adjusted Operating EBITDA Inclusive of Discontinued Operations $ 548   $ 552   \n\n   Six Months Ended June 30, \n     2026     2025   \n Reconciliation of Adjusted Operating EBITDA from Discontinued Operations:       \n Income (Loss) From Discontinued Operations Before Tax $ 44   $ (1,016 ) \n Depreciation & Amortization   158     190   \n Other Expense, net (a)   1     (9 ) \n Restructuring and Other Charges (b)   2     3   \n Divestiture Costs (c)   63     —   \n Losses on Business Disposals (d)   7     —   \n Impairment of Goodwill (e)   —     1,119   \n Adjusted Operating EBITDA from Discontinued Operations   275     287   \n Adjusted Operating EBITDA from Continuing Operations   841     843   \n Total IFF Adjusted Operating EBITDA Inclusive of Discontinued Operations $ 1,116   $ 1,130   \n\n (a) For 2026 and 2025, primarily represents foreign exchange losses (gains). \n (b) For 2026 and 2025, represents severance costs under the IFF Productivity \n Program. \n (c) For 2026, primarily represents costs related to the Company’s anticipated \n divestiture of the Food Ingredients disposal group and completed divestiture \n of the SCL disposal group. These costs primarily consisted of external \n consulting fees and professional and legal fees. \n (d) For 2026, represents losses recognized upon the sale of the SCL disposal \n group. \n (e) For 2025, represents the impairment of goodwill attributable to the portion of \n the Food Ingredients reporting unit classified within the Food Ingredients \n disposal group and the SCL disposal group. \n\n\nInternational Flavors & Fragrances Inc.\n\nGAAP to Non-GAAP Reconciliation\n\n(Unaudited)\n\nThe following information and schedules provide reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedules are not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n\nFor the three months ended June 30, 2026 and 2025, there was no difference\nbetween Reported (GAAP) and Adjusted (Non-GAAP) gross profit.\n Reconciliation of Selling and Administrative Expenses(1) \n   Second Quarter \n (DOLLARS IN MILLIONS)   2026       2025   \n Reported (GAAP) $ 437     $ 409   \n Divestiture Costs (b)   (10 )     (26 ) \n Strategic Initiatives Costs (e)   (9 )     (6 ) \n Regulatory Costs (f)   (71 )     (53 ) \n Entity Realignment Costs (h)   (1 )     (2 ) \n Adjusted (Non-GAAP) $ 346     $ 322   \n\n\nInternational Flavors & Fragrances Inc.\n\nGAAP to Non-GAAP Reconciliation\n\n(Unaudited)\n\nThe following information and schedules provide reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedules are not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n Reconciliation of Net Income (Loss) and EPS from Continuing Operations(1) \n   Second Quarter \n   2026   2025 \n (DOLLARS IN MILLIONS EXCEPT PER SHARE AMOUNTS) Income before taxes   (Benefit) Provision for income taxes (j)   Net income attributable to IFF   Diluted EPS   Income before taxes   (Benefit) Provision for income taxes (j)   Net income attributable to IFF   Diluted EPS \n Reported (GAAP) $ 64     $ 31   $ 33     $ 0.13   $ 438     $ (112 )   $ 550     $ 2.14   \n Restructuring and Other Charges (a)   6       1     5       0.02     20       5       15       0.06   \n Divestiture Costs (b)   10       1     9       0.04     26       22       4       0.02   \n Losses on Business Disposals (c)   1       —     1       —     111       (137 )     248       0.97   \n Losses on Assets Classified as Held for Sale (d)   27       4     23       0.09     —       —       —       —   \n Strategic Initiative Costs (e)   9       2     7       0.02     6       1       5       0.02   \n Regulatory Costs (f)   71       —     71       0.27     53       12       41       0.16   \n Gain on debt extinguishment (g)   —       —     —       —     (488 )     (116 )     (372 )     (1.45 ) \n Entity Realignment Costs (h)   1       —     1       —     4       361       (357 )     (1.40 ) \n Other (i)   (1 )     —     (1 )     —     2       —       2       —   \n Adjusted (Non-GAAP) $ 188     $ 39   $ 149     $ 0.57   $ 172     $ 36     $ 136     $ 0.52   \n\n Reconciliation of Adjusted (Non-GAAP) EPS ex. Amortization(1) \n   Second Quarter \n (DOLLARS AND SHARE AMOUNTS IN MILLIONS) 2026   2025 \n Numerator       \n Adjusted (Non-GAAP) Net Income $ 149   $ 136 \n Amortization of Acquisition related Intangible Assets   82     82 \n Tax impact on Amortization of Acquisition related Intangible Assets (j)   20     20 \n Amortization of Acquisition related Intangible Assets, net of tax (k)   62     62 \n Adjusted (Non-GAAP) Net Income ex. Amortization $ 211   $ 198 \n         \n Denominator       \n Weighted average shares assuming dilution (diluted)   257     257 \n Adjusted (Non-GAAP) EPS ex. Amortization $ 0.82   $ 0.77 \n\n (a) For 2026 and 2025, represents costs related to severance as part of the IFF \n Productivity Program. \n (b) For 2026 and 2025, primarily represents costs related to the Company’s \n completed divestitures. These costs primarily consisted of external consulting \n fees, professional and legal fees and salaries of individuals who are fully \n dedicated to such efforts. \n (c) For 2026, primarily represents losses recognized as part of final settlement \n adjustments related to the divestiture of the Nitrocellulose business in 2025. \n For 2025, primarily represents losses recognized as part of the sale of the \n Pharma Solutions disposal group, offset in part by gains recognized as part of \n the sale of the Nitrocellulose business. \n (d) For 2026, represents the losses recognized on assets classified as held for \n sale of the CitraSource business. \n (e) Represents costs related to the Company’s strategic assessment and business \n portfolio optimization efforts and reorganizing the Global Business Services \n (GBS) Centers. In 2026, the GBS reorganization has been expanded to include \n additional functions such as customer service, supply chain and logistics in \n addition to human resources, accounting and finance, as well as additional \n efforts to automate processes and expand the use of artificial intelligence \n (AI) for these functions. These costs primarily consisted of external \n consulting fees and salaries of individuals who are fully dedicated to such \n efforts. Costs to develop software and AI are only included to the extent that \n they do not qualify for capitalization. \n (f) For 2026 and 2025, represents costs primarily related to legal fees incurred \n and provisions recognized for the ongoing investigations of the fragrance \n businesses. \n (g) For 2025, represents the gain recognized on the extinguishment of debt in \n connection with the completion of tender offers. \n (h) For 2025, the Company implemented a phased restructuring initiative aimed at \n optimizing its legal entity framework. A one-time tax benefit was achieved as \n part of this restructuring which is partially offset by the execution costs to \n implement. \n (i) For 2025, represents the net impact of costs related to severance, including \n accelerated stock compensation expense, for certain executives who have \n separated from the Company. \n (j) The income tax effects of non-GAAP adjustments are calculated based on the \n applicable statutory tax rate for the relevant jurisdiction, except for those \n items which are non-taxable or subject to valuation allowances for which the \n tax expense (benefit) was calculated at 0%. The tax benefit for amortization \n is calculated in a similar manner as the tax effects of the non-GAAP \n adjustments. \n (k) Represents all amortization of intangible assets acquired in connection with \n acquisitions, net of tax. \n\n\nInternational Flavors & Fragrances Inc.\n\nGAAP to Non-GAAP Reconciliation\n\n(Unaudited)\n\nThe following information and schedules provide reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedules are not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n\nFor the six months ended June 30, 2026 and 2025, there was no difference\nbetween Reported (GAAP) and Adjusted (Non-GAAP) gross profit.\n Reconciliation of Selling and Administrative Expenses(1) \n   Second Quarter Year-to-Date \n (DOLLARS IN MILLIONS)   2026       2025   \n Reported (GAAP) $ 771     $ 799   \n Divestiture Costs (c)   (15 )     (77 ) \n Strategic Initiatives Costs (f)   (18 )     (14 ) \n Regulatory Costs (g)   (81 )     (64 ) \n Entity Realignment Costs (i)   (2 )     (4 ) \n Other (j)   1       (5 ) \n Adjusted (Non-GAAP) $ 656     $ 635   \n\n\nInternational Flavors & Fragrances Inc.\n\nGAAP to Non-GAAP Reconciliation\n\n(Unaudited)\n\nThe following information and schedules provide reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedules are not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n Reconciliation of Net Income (Loss) and EPS from Continuing Operations(1) \n   Second Quarter Year-to-Date \n   2026   2025 \n (DOLLARS IN MILLIONS EXCEPT PER SHARE AMOUNTS) Income before taxes   Provision (Benefit) for income taxes (k)   Net income attributable to IFF (l)   Diluted EPS   Income before taxes   Provision (Benefit) for income taxes (k)   Net income attributable to IFF (l)   Diluted EPS \n Reported (GAAP) $ 260     $ 72   $ 187     $ 0.73   $ 526     $ (92 )   $ 617     $ 2.40   \n Restructuring and Other Charges (a)   10       3     7       0.03     35       8       27       0.11   \n Impairment of Goodwill (b)   —       —     —       —     34       —       34       0.13   \n Divestiture Costs (c)   15       2     13       0.06     77       34       43       0.17   \n Losses on Business Disposals (d)   1       —     1       —     111       (137 )     248       0.97   \n Losses on Assets Classified as Held for Sale (e)   27       4     23       0.09     —       —       —       —   \n Strategic Initiative Costs (f)   18       4     14       0.05     14       3       11       0.04   \n Regulatory Costs (g)   81       3     78       0.30     64       15       49       0.19   \n Gain on debt extinguishment (h)   —       —     —       —     (488 )     (116 )     (372 )     (1.45 ) \n Entity Realignment Costs (i)   2       1     1       —     5       361       (356 )     (1.40 ) \n Other (j)   (2 )     —     (2 )     —     6       —       6       0.02   \n Adjusted (Non-GAAP) $ 412     $ 89   $ 322     $ 1.26   $ 384     $ 76     $ 307     $ 1.18   \n\n Reconciliation of Adjusted (Non-GAAP) EPS ex. Amortization(1) \n   Second Quarter Year-to-Date \n (DOLLARS AND SHARE AMOUNTS IN MILLIONS) 2026   2025 \n Numerator       \n Adjusted (Non-GAAP) Net Income $ 322   $ 307 \n Amortization of Acquisition related Intangible Assets   166     162 \n Tax impact on Amortization of Acquisition related Intangible Assets (k)   41     40 \n Amortization of Acquisition related Intangible Assets, net of tax (m)   125     122 \n Adjusted (Non-GAAP) Net Income ex. Amortization $ 447   $ 429 \n         \n Denominator       \n Weighted average shares assuming dilution (diluted)   257     257 \n Adjusted (Non-GAAP) EPS ex. Amortization $ 1.74   $ 1.67 \n\n (a) For 2026 and 2025, represents costs related to severance as part of the IFF \n Productivity Program. \n (b) For 2025, represents the impairment of goodwill related to the Food \n Ingredients reporting unit that is not included in the Food Ingredients or SCL \n disposal groups. \n (c) For 2026 and 2025, primarily represents costs related to the Company’s \n completed and anticipated divestitures. These costs primarily consisted of \n external consulting fees, professional and legal fees and salaries of \n individuals who are fully dedicated to such efforts. \n (d) For 2026, primarily represents losses recognized as part of final settlement \n adjustments related to the divestiture of the Nitrocellulose business in 2025. \n For 2025, primarily represents losses recognized as part of the sale of the \n Pharma Solutions disposal group, offset in part by gains recognized as part of \n the sale of the Nitrocellulose business. \n (e) For 2026, represents the losses recognized on assets classified as held for \n sale of the CitraSource business. \n (f) Represents costs related to the Company’s strategic assessment and business \n portfolio optimization efforts and reorganizing the Global Business Services \n (GBS) Centers. In 2026, the GBS reorganization has been expanded to include \n additional functions such as customer service, supply chain and logistics in \n addition to human resources, accounting and finance, as well as additional \n efforts to automate processes and expand the use of artificial intelligence \n (AI) for these functions. These costs primarily consisted of external \n consulting fees and salaries of individuals who are fully dedicated to such \n efforts. Costs to develop software and AI are only included to the extent that \n they do not qualify for capitalization. \n (g) For 2026 and 2025, represents costs primarily related to legal fees incurred \n and provisions recognized for the ongoing investigations of the fragrance \n businesses. \n (h) For 2025, represents the gain recognized on the extinguishment of debt in \n connection with the completion of the tender offers. \n (i) For 2025, the Company implemented a phased restructuring initiative aimed at \n optimizing its legal entity framework. A one-time tax benefit was achieved as \n part of this restructuring which is partially offset by the execution costs to \n implement. \n (j) For 2025, represents the net impact of costs related to severance, including \n accelerated stock compensation expense, for certain executives who have \n separated from the Company. \n (k) The income tax effects of non-GAAP adjustments are calculated based on the \n applicable statutory tax rate for the relevant jurisdiction, except for those \n items which are non-taxable or subject to valuation allowances for which the \n tax expense (benefit) was calculated at 0%. The tax benefit for amortization \n is calculated in a similar manner as the tax effects of the non-GAAP \n adjustments. \n (l) For each of the six months ended June 30, 2026 and June 30, 2025, reported and \n adjusted net income from continuing operations are each decreased by income \n attributable to non-controlling interest from continuing operations of $1 \n million. \n (m) Represents all amortization of intangible assets acquired in connection with \n acquisitions, net of tax. \n\n\nInternational Flavors & Fragrances Inc.\n\nDebt Covenants\n\n(Amounts in millions)\n\n(Unaudited)\n\nThe following information and schedules provide reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedules are not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n Reconciliation of Credit Adjusted EBITDA to Net Income((1)) \n (DOLLARS IN MILLIONS) Twelve Months Ended June 30, 2026 \n Net income $ 254 \n Interest expense   187 \n Income taxes   98 \n Depreciation and amortization   948 \n Specified items((2))   341 \n Non-cash items((3))   228 \n Credit Adjusted EBITDA $ 2,056 \n\n _______________________ \n (1) Credit Adjusted EBITDA presented includes results from continuing and \n discontinued operations. \n (2) Specified items consisted of restructuring and other charges, impairment of \n goodwill, divestiture costs, strategic initiatives costs, regulatory costs, \n and other costs that are not related to recurring operations. \n (3) Non-cash items consisted of losses (gains) on sale of assets, losses (gains) \n on business disposals, loss on assets classified as held for sale, and \n stock-based compensation. \n\n Reconciliation of Net Debt to Total Debt \n (DOLLARS IN MILLIONS) June 30, 2026 \n Total debt((1)) $ 5,735 \n Adjustments:   \n Cash and cash equivalents   569 \n Net debt $ 5,166 \n\n ______________________ \n (1) Total debt used for the calculation of net debt consisted of short-term debt, \n long-term debt, short-term finance lease obligations and long-term finance \n lease obligations. \n\n\nInternational Flavors & Fragrances Inc.\n\nComparable Currency Neutral Segment Performance\n\n(Amounts in millions)\n\n(Unaudited)\n\nThe following information and schedule provides reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedule is not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n   Three Months Ended June 30,   Six Months Ended June 30, \n     2026       2025       2026       2025   \n Net Sales               \n Taste((1)) $ 679     $ 650     $ 1,337     $ 1,294   \n Health & Biosciences   587       559       1,134       1,079   \n Scent   650       603       1,272       1,217   \n Pharma Solutions((2))   —       —       —       —   \n Consolidated $ 1,916     $ 1,812     $ 3,743     $ 3,590   \n Segment Adjusted Operating EBITDA((5))               \n Taste((1)) $ 122     $ 115     $ 268     $ 236   \n Health & Biosciences   146       138       277       256   \n Scent   126       120       258       253   \n Pharma Solutions((2))   —       —       —       —   \n Total   394       373       803       745   \n Depreciation & Amortization   (154 )     (146 )     (306 )     (288 ) \n Interest Expense   (46 )     (61 )     (90 )     (132 ) \n Other Expense, net   (20 )     (20 )     (33 )     (39 ) \n Restructuring and Other Charges   (6 )     (20 )     (10 )     (35 ) \n Impairment of Goodwill   —       —       —       (34 ) \n Losses on Business Disposals   (1 )     (111 )     (1 )     (111 ) \n Loss on Assets Classified as Held for Sale   (27 )     —       (27 )     —   \n Divestiture Costs   (10 )     (26 )     (15 )     (77 ) \n Strategic Initiatives Costs   (9 )     (6 )     (18 )     (14 ) \n Regulatory Costs   (71 )     (53 )     (81 )     (64 ) \n Gain on Debt Extinguishment   —       488       —       488   \n Entity Realignment Costs   (1 )     (4 )     (2 )     (5 ) \n Other   1       (2 )     2       (6 ) \n Impact of Currency Fluctuations((3))   14       —       38       —   \n Impact of Business Divestitures((4))   —       26       —       98   \n Income from continuing operations before taxes $ 64     $ 438     $ 260     $ 526   \n Segment Adjusted Operating EBITDA Margin((4))               \n Taste   18.0 %     17.7 %     20.0 %     18.2 % \n Health & Biosciences   24.9 %     24.7 %     24.4 %     23.7 % \n Scent   19.4 %     19.9 %     20.3 %     20.8 % \n Consolidated   20.6 %     20.6 %     21.5 %     20.8 % \n\n ______________________ \n (1) Taste sales and segment adjusted operating EBITDA information exclude the \n results of the Rene Laurent business that was divested on December 1, 2025, to \n present fully comparable scenarios. \n (2) Pharma sales and segment adjusted operating EBITDA information exclude the \n results of the Pharma Solutions disposal group and Nitrocellulose business \n that were divested on May 1, 2025 and May 9, 2025, respectively, to present \n fully comparable scenarios. \n (3) Currency neutral sales are calculated by translating current year invoiced \n sale amounts at the exchange rates for the corresponding prior year period. \n (4) Amounts exclude the results of the Rene Laurent business that was divested on \n December 1, 2025 and the Pharma Solutions disposal group and Nitrocellulose \n business that were divested on May 1, 2025 and May 9, 2025, respectively, to \n present fully comparable scenarios. \n (5) Following the completed divestitures of the Pharma Solutions disposal group on \n May 1, 2025 and the Nitrocellulose business on May 9, 2025, the Company \n reallocated certain corporate costs previously attributed to the Pharma \n Solutions segment. These costs have been redistributed across the Taste, \n Health & Biosciences, and Scent segments to align with the updated 2025 \n operating model. \n\n     Three Months Ended June 30, 2025 \n     Selling & Administrative Expenses   Total EBITDA Impact \n Taste   $ 1   $ (1 ) \n Health & Biosciences     1     (1 ) \n Scent     1     (1 ) \n Total   $ 3   $ (3 ) \n\n     Six Months Ended June 30, 2025 \n     Selling & Administrative Expenses   Total EBITDA Impact \n Taste   $ 6   $ (6 ) \n Health & Biosciences     6     (6 ) \n Scent     6     (6 ) \n Total   $ 18   $ (18 ) \n\n International Flavors & Fragrances Inc. \n GAAP to Non-GAAP Reconciliation \n Comparable Foreign Exchange Impact \n (Unaudited) \n   \n Q2 Taste   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   5%   6%   0.1% \n Portfolio Impact   1%   2%   0.2% \n % Change - Comparable   6%   8%   0.3% \n Currency Impact   (2)%   (2)%   0.0% \n % Change - Currency Neutral   4%   6%   0.3% \n               \n Q2 Health & Biosciences   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   8%   8%   0.1% \n Portfolio Impact   0%   1%   0.2% \n % Change - Comparable   8%   9%   0.3% \n Currency Impact   (3)%   (3)%   (0.1)% \n % Change - Currency Neutral   5%   6%   0.2% \n               \n Q2 Scent   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   10%   11%   0.1% \n Portfolio Impact   0%   1%   0.1% \n % Change - Comparable   10%   12%   0.2% \n Currency Impact   (2)%   (7)%   (0.7)% \n % Change - Currency Neutral   8%   5%   (0.5)% \n               \n Q2 Consolidated   Sales   Adjusted Operating EBITDA   Adjusted Operating EBITDA Margin \n % Change - Reported   2%   2%   0.1% \n Portfolio Impact   6%   7%   0.2% \n % Change - Comparable   8%   9%   0.3% \n Currency Impact   (2)%   (3)%   (0.3)% \n % Change - Currency Neutral   6%   6%   0.0% \n\n _______________________ \n Note: The sum of these items may not foot due to rounding. \n\n International Flavors & Fragrances Inc. \n GAAP to Non-GAAP Reconciliation \n Comparable Foreign Exchange Impact \n (Unaudited) \n   \n YTD Taste   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   5%   12%   1.3% \n Portfolio Impact   1%   5%   0.6% \n % Change - Comparable   6%   17%   1.9% \n Currency Impact   (3)%   (3)%   (0.1)% \n % Change - Currency Neutral   3%   14%   1.8% \n               \n YTD Health & Biosciences   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   9%   11%   0.4% \n Portfolio Impact   0%   2%   0.4% \n % Change - Comparable   9%   13%   0.8% \n Currency Impact   (4)%   (5)%   (0.2)% \n % Change - Currency Neutral   5%   8%   0.6% \n               \n YTD Scent   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   8%   6%   (0.4)% \n Portfolio Impact   0%   3%   0.6% \n % Change - Comparable   8%   9%   0.2% \n Currency Impact   (3)%   (7)%   (0.7)% \n % Change - Currency Neutral   5%   2%   (0.5)% \n               \n YTD Consolidated   Sales   Adjusted Operating EBITDA   Adjusted Operating EBITDA Margin \n % Change - Reported   (3)%   0%   0.6% \n Portfolio Impact   11%   13%   0.4% \n % Change - Comparable   8%   13%   1.0% \n Currency Impact   (4)%   (5)%   (0.3)% \n % Change - Currency Neutral   4%   8%   0.7% \n\n _______________________ \n Note: The sum of these items may not foot due to rounding. \n\n\n \n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20260804962836/en/\n(https://www.businesswire.com/news/home/20260804962836/en/)\n\nMedia Relations:\n\nJennifer McGowan\n\n848.358.1680\n\nMedia.request@iff.com (mailto:Media.request@iff.com)\n\nInvestor Relations:\n\nMichael Bender\n\n212.708.7263\n\nInvestor.Relations@iff.com (mailto:Investor.Relations@iff.com)\n\n\nCopyright Business Wire 2026","article_body_html":"","raw_payload":{"data":{"id":"nBw6l9vWfa","title":"IFF Reports Second Quarter 2026 Results; Announces Use of Proceeds Plan for Food Ingredients Divestiture","author":"Business Wire","ticker":"IFF","created":"2026-08-04T20:15:00.755Z","tickers":["IFF"],"exchange":"NYSE","article_body":"IFF Reports Second Quarter 2026 Results; Announces Use of Proceeds Plan for\nFood Ingredients Divestiture\n\nDelivered Strong Sales, Profit and Cash Flow Performance in Second Quarter\n2026\n\nProvides Full Year 2026 Financial Guidance on a Continuing Operations Basis\n\nAnnounces Enhanced $2.5B Share Repurchase Authorization; Including $500M\nAccelerated Share Repurchase in the second half of 2026\n\nIFF (NYSE: IFF) reported financial results for the second quarter ended June\n30, 2026. Results are presented on a continuing operations basis, excluding\nthe Food Ingredients business and other minor perimeter adjustments (the\n“Food Ingredients disposal group”), and the Soy Crush, Concentrates, and\nLecithin businesses (the “SCL disposal group”). The Food Ingredients\ndisposal group and the SCL disposal group are reported as discontinued\noperations.\n\nSecond Quarter 2026 Consolidated Summary of Results, on a continuing\noperations basis(1):\n Reported   Adjusted \n \n(GAAP) \n(Non-GAAP)(2) \n Sales   Income Before Taxes   EPS   Operating EBITDA   Operating EBITDA Margin   EPS ex Amortization \n $2.0 B   $64 M   $0.13   $408 M   20.9%   $0.82 \n\n\nFirst Six Months 2026 Consolidated Summary of Results, on a continuing\noperations basis(1):\n Reported   Adjusted \n \n(GAAP) \n(Non-GAAP)(2) \n Sales   Income Before Taxes   EPS   Operating EBITDA   Operating EBITDA Margin   EPS ex Amortization \n $3.9 B   $260 M   $0.73   $841 M   21.8%   $1.74 \n\n\nManagement Commentary\n\n“IFF delivered a strong first half of 2026 on a continuing operations\nbasis,” said Erik Fyrwald, CEO of IFF. “Performance was driven by volume\ngrowth, disciplined margin execution and robust free cash flow generation.\nThese results reflect the strength of our commercial and innovation pipelines\nand the actions underway to improve efficiency and cash flow across the\ncompany.”\n\n“This quarter marked a defining step in our portfolio transformation with\nthe announced agreement to divest Food Ingredients. The transaction sharpens\nIFF's focus on Taste, Scent, and Health & Biosciences, creating a simpler,\nhigher-growth, higher-margin company with enhanced cash generation. As part of\nthis transformation, we are taking decisive action to eliminate related\nstranded costs and will execute with urgency.”\n\n“We are also providing greater clarity on our intended use of proceeds from\nthe divestiture of the Food Ingredients business through a sequenced capital\nallocation framework. Our objective is to maintain a strong balance sheet and\nfinancial flexibility to deliver our growth ambitions with leverage in the\nrange of 2.0x to 2.5x net debt to EBITDA. Therefore we will apply net proceeds\nto reduce outstanding debt by over $1 billion. The Board has also authorized\nan enhanced $2.5 billion share repurchase program, beginning with $500 million\nto be executed in the second half of 2026, reflecting our confidence in\nIFF’s long-term value creation opportunity and the compelling return profile\nof repurchases at current valuation levels. We expect to execute the remaining\n$2.0 billion of the authorization following the anticipated transaction close,\nwith completion of this repurchase program targeted by the end of 2027.”\n\n“With Food Ingredients now reported as discontinued operations, we are\nintroducing full-year 2026 guidance on a continuing operations basis. The\nunderlying performance in the three business units is consistent with previous\nguidance given. The new presentation provides greater visibility into the\ngrowth and margin profile of our go-forward portfolio, reinforcing the outlook\nfor IFF’s continuing operations and our ability to create long-term\nshareholder value.”\n\nSecond Quarter 2026 Consolidated Financial Results(1)\n\n\n * Reported net sales for the second quarter were $1.95 billion, an increase of\n2% versus the prior-year period. On a comparable basis(3), currency neutral\nsales(2) increased 6% versus the prior-year period led by broad-based growth\nincluding high-single digit performance in Scent and mid-single digit growth\nin Taste and Health & Biosciences. Inclusive of discontinued operations\nnet sales of $827 million, net sales for the second quarter were $2.78\nbillion.\n\n * Income from continuing operations before taxes on a reported basis for the\nsecond quarter was $64 million. Adjusted operating EBITDA(2) for the second\nquarter was $408 million. On a comparable basis(3), currency neutral adjusted\noperating EBITDA(2) improved 6% versus the prior-year period, driven primarily\nby volume growth and productivity gains. Inclusive of discontinued operations\nadjusted operating EBITDA(2) of $140 million, adjusted operating EBITDA(2 )for\nthe second quarter was $548 million.\n\n * Reported earnings per share (EPS) for the second quarter was $0.13 per diluted\nshare. Adjusted EPS excluding amortization(2) was $0.82 per diluted share.\n\n * Cash flows from operations for the first six months of the year for continuing\nand discontinued operations was $679 million, increasing $311 million\nyear-over-year, and free cash flow(2), defined as cash flows from operations\nless capital expenditures, totaled $378 million, increasing $284 million\nyear-over-year. Total debt to trailing twelve months net income at the end of\nthe second quarter was 22.6x. Net debt to credit adjusted EBITDA(2) at the end\nof the second quarter was 2.5x, and includes the effects of both continuing\nand discontinued operations.\n\nSecond Quarter 2026 Segment Summary(1): Growth vs. Prior Year\n   Reported   Comparable   Adjusted   Comparable \n \n(GAAP) \nCurrency \n(Non-GAAP)(2) \nCurrency Neutral \n \nNeutral \nAdjusted \n \n(Non-GAAP)(2 3) \n(Non-GAAP)(2 3) \n   Sales   Sales   Operating EBITDA   Operating EBITDA \n Taste 5%   4%   6%   6% \n Health & Biosciences 8%   5%   8%   6% \n Scent 10%   8%   11%   5% \n Consolidated((1)) 2%   6%   2%   6% \n\n ______________________ \n ((1)) Consolidated Reported Sales and Adjusted Operating EBITDA for the second \n quarter 2025 includes approximately one month of activity related to the \n Pharma Solutions disposal group and Nitrocellulose business, that were \n divested on May 1, 2025 and May 9, 2025, respectively. \n\n\nTaste Segment\n\n\n * On a reported basis, second quarter sales were $688 million. On a comparable\nbasis(3), currency neutral sales(2) increased 4% with broad-based growth in\nall regions.\n\n * Taste adjusted operating EBITDA(2) was $124 million and adjusted operating\nEBITDA margin(2) was 18.0% in the second quarter. On a comparable basis(3),\ncurrency neutral adjusted operating EBITDA(2) increased 6% driven primarily by\nvolume growth and favorable net pricing.\n\nHealth & Biosciences Segment\n\n\n * On a reported basis, second quarter sales were $601 million. On a comparable\nbasis(3), currency neutral sales(2) increased 5% with growth in all\nbusinesses, led by Grain Processing, Food Biosciences & Animal Nutrition.\n\n * Health & Biosciences adjusted operating EBITDA(2) was $150 million and\nadjusted operating EBITDA margin(2) was 25.0% in the second quarter. On a\ncomparable basis(3), currency neutral adjusted operating EBITDA(2) increased\n6% primarily driven by volume growth.\n\nScent Segment\n\n\n * On a reported basis, second quarter sales were $665 million. On a comparable\nbasis(3), currency neutral sales(2) increased 8% led by double-digit growth in\nFragrance Ingredients and a high single-digit performance in Consumer\nFragrance. Fine Fragrance increased low-single digits compared to the prior\nyear period as it was impacted by the Middle East conflict.\n\n * Scent adjusted operating EBITDA(2) was $134 million and adjusted operating\nEBITDA margin(2) was 20.2% in the second quarter. On a comparable basis(3),\ncurrency neutral adjusted operating EBITDA(2 )increased 5% driven primarily by\nvolume growth and productivity.\n\nSale of Food Ingredients Disposal Group\n\nOn May 29, 2026, IFF announced that it had entered into a definitive agreement\nto sell its Food Ingredients disposal group, which was included in the Food\nIngredients segment, to CVC Capital Partners for net cash proceeds of\napproximately $3.8 billion, subject to customary transaction adjustments. The\ntransaction is expected to close by the end of the second quarter of 2027,\nsubject to customary closing conditions and receipt of regulatory approvals.\nAs part of the transaction, IFF will retain an approximately 10% minority\nequity interest in the business enabling continued collaboration and\ncooperation between IFF and Food Ingredients.\n\nStranded costs related to this transaction represent approximately $100\nmillion of corporate and functional expenses previously allocated to the Food\nIngredients business that are expected to remain with IFF following the close\nof the transaction. IFF has a remediation plan in place, with actions\nunderway, and expects to eliminate approximately two thirds of these costs\nwithin the first year following the transaction close, and substantially all\nwithin two years following transaction close.\n\nOn March 2, 2026, the Company completed the divestiture of the SCL disposal\ngroup, which was also included in the Food Ingredients segment. The\ndivestitures were part of a combined strategy by IFF to divest the majority of\nits Food Ingredients segment and strengthen its portfolio.\n\nAs a result, beginning in the second quarter of 2026, the financial results of\nthe Food Ingredients disposal group and the financial results of the SCL\ndisposal group prior to its divestiture on March 2, 2026, are reflected in\nIFF’s Consolidated Financial Statements as discontinued operations, along\nwith comparative periods.\n\nThe classification of the Food Ingredients and SCL businesses as discontinued\noperations reflects the Company’s continued focus on its remaining\ninnovation-led, higher-growth and higher-margin segments: Taste, Scent and\nHealth & Biosciences. On a continuing operations basis, the Company\ndelivered second quarter 2026 Adjusted Operating EBITDA margin of 20.9%, an\nimprovement compared to 19.7% including discontinued operations.\n\nShare Repurchase Authorization\n\nThe Company announced that its Board of Directors has authorized an enhanced\nshare repurchase authorization with a total value of $2.5 billion; this amount\nincluded approximately $400 million remaining on its prior authorization.\nUnder the program, the Board of Directors also authorized an accelerated share\nrepurchase of $500 million, which the Company expects to execute in the second\nhalf of 2026. The remaining $2.0 billion share repurchase is expected to be\nexecuted following the closing of the Food Ingredients disposal group\ndivestiture, with an expected completion of the program by the end of 2027.\nThe Board will review the share repurchase program periodically and may\nauthorize adjustment of its term and size. The Company plans to fund\nrepurchases from cash provided by operating activities, short-term debt and\nnet cash proceeds provided by the divestiture of the Food Ingredients disposal\ngroup.\n\nFinancial Guidance(1)\n\nThe Company has provided financial guidance to reflect the separation of the\nFood Ingredients disposal group and SCL disposal group as discontinued\noperations. For continuing operations, the Company expects full year 2026\nsales to be in the range of $7.4 billion to $7.6 billion excluding\napproximately $3.2 billion related to discontinued operations. For the full\nyear 2026 adjusted operating EBITDA is expected to be in the range of $1.53\nbillion to $1.60 billion, excluding approximately $520 million related to\ndiscontinued operations.\n\nOn a continuing operations basis, the Company expects comparable currency\nneutral sales growth to be between 2% to 4%, and comparable currency neutral\nadjusted operating EBITDA growth to be 4% to 8%.\n\nBased on recent market foreign exchange rates, the Company continues to expect\nthat foreign exchange will have an approximately 1% positive impact on sales\ngrowth and have an approximately 2% positive impact on adjusted operating\nEBITDA growth in 2026.\n\nAudio Webcast\n\nA live webcast to discuss the Company’s second quarter 2026 financial\nresults will be held on August 5, 2026, at 9:00 a.m. ET. The webcast and\naccompanying slide presentation may be accessed on the Company’s IR website\nat ir.iff.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fir.iff.com&esheet=54583136&newsitemid=20260804962836&lan=en-US&anchor=ir.iff.com&index=1&md5=74d7d3c6f699d9b62c24fcf7bc2766c2)\n. For those unable to listen to the live webcast, a recorded version will be\nmade available on the Company’s website approximately one hour after the\nevent and will remain available on IFF’s website for one year.\n\nCautionary Statement Under The Private Securities Litigation Reform Act of\n1995\n\nThis press release includes statements that are not historical facts and are\n“forward-looking statements” within the meaning of The Private Securities\nLitigation Reform Act of 1995. Such forward-looking statements are based on\nmanagement’s current assumptions, estimates and expectations, including with\nrespect to our financial and operational outlook (sales, adjusted operating\nEBITDA and cash flow), portfolio optimization initiatives (including the\npending divestiture for our Food Ingredients segment), pricing, productivity\nand cost-discipline actions, capital allocation, future operations, growth\npotential, strategic investments and the expected effects of foreign exchange.\nThese statements reflect management’s present views, are based on a series\nof expectations, assumptions, estimates and projections about the Company, are\nsubject to change, and involve uncertainties that could cause actual results\nto differ materially.\n\nCertain of such forward-looking information may be identified by such terms as\n“expect”, “anticipate”, “believe”, “intend”, “outlook”,\n“may”, “will”, “would”, “estimate”, “should”,\n“predict”, “plan”, “project”, “could”, “potential”,\n“seek”, “target”, “continue”, “future”, and similar terms or\nvariations thereof. These statements are not guarantees of future performance\nand are subject to risks and uncertainties that could lead to materially\ndifferent outcomes.\n\nSuch risks, uncertainties and other factors include, among others, the\nfollowing: (1) demand trends, competitive dynamics and customer concentration\nin our end markets; (2) execution of our strategic transformation and other\nstrategic transactions, divestitures, acquisitions, collaborations and joint\nventures; (3) working capital and inventory management; (4) outcomes of legal\nclaims, disputes, regulatory investigations and litigation; (5) tariffs and\ntrade actions, supply chain disruptions and macro events, including\ngeopolitical developments, climate events, natural disasters, public health\ncrises; (6) volatility in input costs (such as raw materials, transportation\nand energy); (7) attraction, retention and turnover of key employees and\nexecutives; (8) product innovation, time-to-market, product safety and\nquality; (9) cybersecurity incidents, artificial intelligence related risks,\ndata privacy and compliance with data protection laws; (10) exposure to\nemerging markets, foreign currency fluctuations and international regulatory\nand political risks; (11) capital allocation, dividend policy and potential\nimpairments of tangible or intangible assets; (12) our indebtedness, credit\nrating, liquidity, and access to capital; (13) pension and postretirement\nobligations; (14) compliance with federal, state, local and international\nrules and regulations, and regulatory, environmental, anti-corruption and\nsanctions laws and related ethical business practices; (15) protection and\nenforcement of intellectual property; (16) changes in tax laws and policies,\ntax audits and outcomes, including potential tax liabilities related to prior\ntransactions; and (17) changes in federal, state, local and international\nrules and regulations.\n\nThe foregoing list of important factors does not include all such factors, nor\nnecessarily present them in order of importance. Important factors are\ndescribed under “Risk Factors” in our most recent Annual Report on Form\n10-K and in our subsequent filings with the SEC, and those disclosures are\nincorporated herein by reference.\n\nWe intend our forward-looking statements to speak only as of the time of such\nstatements and do not undertake or plan to update or revise them as more\ninformation becomes available or to reflect changes in expectations,\nassumptions or results, whether as a result of new information, future events\nor otherwise. We can give no assurance that such expectations or\nforward-looking statements will prove to be correct. An occurrence of, or any\nmaterial adverse change in, one or more of the risk factors or risks and\nuncertainties referred to in this press release or included in our other\nperiodic reports filed with the SEC could materially and adversely impact our\noperations and our future financial results.\n\nAny public statements or disclosures made by us following this press release\nthat modify or impact any of the forward-looking statements contained in or\naccompanying this press release will be deemed to modify or supersede such\noutlook or other forward-looking statements in or accompanying this press\nrelease.\n\nUse of Non-GAAP Financial Measures\n\nWe provide in this press release non-GAAP financial measures, including: (i)\ncomparable currency neutral sales; (ii) adjusted operating EBITDA and\ncomparable currency neutral adjusted operating EBITDA; (iii) adjusted\noperating EBITDA margin; (iv) adjusted EPS ex amortization; (v) free cash\nflow; and (vi) net debt to credit adjusted EBITDA. Unless otherwise noted, all\namounts and percentages in this press release reflect the results from\ncontinuing operations, with the exception of the Statements of Cash Flows and\nnet debt to credit adjusted EBITDA which are presented on a combined\ncontinuing and discontinued basis.\n\nOur non-GAAP financial measures are defined below.\n\nCurrency Neutral metrics eliminate the effects that result from translating\nnon-U.S. currencies to U.S. dollars. We calculate currency neutral numbers by\ntranslating current year invoiced sale amounts at the exchange rates used for\nthe corresponding prior year period. We use currency neutral results in our\nanalysis of segment performance. We also use currency neutral numbers when\nanalyzing our performance against that of our competitors.\n\nComparable results for the second quarter exclude the impact of divestitures.\n\nAdjusted operating EBITDA and adjusted operating EBITDA margin exclude\ndepreciation and amortization, interest expense, other expense, net, and\ncertain non-recurring or unusual items that are not part of recurring\noperations such as impairment of goodwill, restructuring and other charges,\nlosses (gains on business disposals, loss on assets classified as held for\nsale, divestiture costs, strategic initiatives costs, regulatory costs, gain\non debt extinguishment, entity realignment and other items.\n\nAdjusted EPS ex Amortization excludes the impact of non-operational items\nincluding restructuring and other charges, divestiture costs, losses (gains)\non business disposals, strategic initiatives costs, regulatory costs and other\nitems that are not a part of recurring operations.\n\nFree Cash Flow is operating cash flow (i.e., cash flow from operations) less\ncapital expenditures.\n\nNet debt to credit adjusted EBITDA is the leverage ratio used in our credit\nagreements and defined as net debt (which is debt for borrowed money less cash\nand cash equivalents) divided by the trailing 12-month credit adjusted EBITDA.\nCredit adjusted EBITDA is defined as income (loss) before interest expense,\nincome taxes, depreciation and amortization, specified items and non-cash\nitems.\n\nThese non-GAAP measures are intended to provide additional information\nregarding our underlying operating results and comparable year-over-year\nperformance. Such information is supplemental to information presented in\naccordance with GAAP and is not intended to represent a presentation in\naccordance with GAAP. In discussing our historical and expected future results\nand financial condition, we believe it is meaningful for investors to be made\naware of and to be assisted in a better understanding of, on a\nperiod-to-period comparable basis, financial amounts both including and\nexcluding these identified items, as well as the impact of exchange rate\nfluctuations. These non-GAAP measures should not be considered in isolation or\nas substitutes for analysis of the Company’s results under GAAP and may not\nbe comparable to other companies’ calculation of such metrics.\n\nThe Company cannot reconcile its expected adjusted operating EBITDA under\n\"Financial Guidance\" without unreasonable effort because certain items that\nimpact net income and other reconciling metrics are out of the Company's\ncontrol and/or cannot be reasonably predicted at this time. These items\ninclude but are not limited to divestiture costs, gains (losses) on business\ndisposals, and regulatory costs.\n\nWelcome to IFF\n\nAt IFF (NYSE: IFF), we make joy through science, creativity and heart. As the\nglobal leader in flavors, fragrances, and health and biosciences, we deliver\ngroundbreaking, sustainable innovations that elevate everyday\nproducts—advancing wellness, delighting the senses and enhancing the human\nexperience. Learn more at iff.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fiff.com&esheet=54583136&newsitemid=20260804962836&lan=en-US&anchor=iff.com&index=2&md5=0c48f375fe1a4c81c5f5be3226d4d048)\n, LinkedIn, Instagram and Facebook.\n _______________________ \n (1) Unless otherwise noted, results are presented on a continuing operations \n basis, now reflecting the Food Ingredients disposal group and the SCL disposal \n group as discontinued operations. See pages 5-6 for further information, \n including the basis of presentation included in this release. \n (2) Schedules at the end of this release contain reconciliations of reported \n GAAP to Non-GAAP metrics. See Use of Non-GAAP Financial Measures for \n explanations of our Non-GAAP metrics. \n (3) Comparable results for the second quarter exclude the impact of \n divestitures.  \n   \n\n International Flavors & Fragrances Inc. \n Consolidated Statements of Income (Loss) \n (Amounts in millions except per share data) \n (Unaudited) \n   \n   Three Months Ended June 30,   Six Months Ended June 30, \n     2026     2025     % Change     2026     2025     % Change \n Net sales $ 1,954   $ 1,919     2 %   $ 3,860   $ 3,969     (3 )% \n Cost of sales   1,101     1,095     1 %     2,178     2,293     (5 )% \n Gross profit   853     824     4 %     1,682     1,676     — % \n Research and development expenses   170     170     — %     324     325     — % \n Selling and administrative expenses   437     409     7 %     771     799     (4 )% \n Amortization of acquisition-related intangibles   82     82     — %     166     162     2 % \n Impairment of goodwill   —     —     NMF     —     34     NMF \n Restructuring and other charges   6     20     (70 )%     10     35     (71 )% \n Losses on sale of assets   —     1     (100 )%     —     1     (100 )% \n Operating profit   158     142     11 %     411     320     28 % \n Interest expense   46     61     (25 )%     90     132     (32 )% \n Gain on extinguishment of debt   —     (488 )   NMF     —     (488 )   NMF \n Losses on business disposals   1     111     (99 )%     1     111     (99 )% \n Loss on assets classified as held for sale   27     —     NMF     27     —     NMF \n Other expense, net   20     20     — %     33     39     (15 )% \n Income from continuing operations before taxes   64     438     (85 )%     260     526     (51 )% \n Provision (benefit) for income taxes   31     (112 )   (128 )%     72     (92 )   (178 )% \n Net income from continuing operations   33     550     (94 )%     188     618     (70 )% \n Income (loss) from discontinued operations before tax   31     66     (53 )%     44     (1,016 )   (104 )% \n Provision for income taxes from discontinued operations   13     17     (24 )%     11     20     (45 )% \n Net income (loss) from discontinued operations   18     49     (63 )%     33     (1,036 )   (103 )% \n Net income (loss)   51     599     (91 )%     221     (418 )   (153 )% \n Net income attributable to non-controlling interests from continuing   —     —     NMF     1     1     — % \n operations \n Net income attributable to non-controlling interests from discontinued   1     —     NMF     1     —     NMF \n operations \n Net income (loss) attributable to IFF shareholders $ 50   $ 599     (92 )%   $ 219   $ (419 )   (152 )% \n                         \n Net income (loss) per share - basic                       \n Continuing operations $ 0.13   $ 2.15         $ 0.73   $ 2.41       \n Discontinued operations   0.07     0.19           0.13     (4.05 )     \n Net income (loss) per share - basic $ 0.20   $ 2.34         $ 0.86   $ (1.64 )     \n Net income (loss) per share - diluted                       \n Continuing operations $ 0.13   $ 2.14         $ 0.73   $ 2.40       \n Discontinued operations   0.07     0.19           0.12     (4.03 )     \n Net income (loss) per share - diluted $ 0.20   $ 2.33         $ 0.85   $ (1.63 )     \n                         \n Average number of shares outstanding                       \n Average number of shares outstanding - basic   255     256           256     256       \n Average number of shares outstanding - diluted   257     257           257     257       \n   \n NMF Not meaningful \n\n International Flavors & Fragrances Inc. \n Condensed Consolidated Balance Sheets \n (Amounts in millions) \n (Unaudited) \n   \n   June 30,   December 31, \n   2026   2025 \n Cash and cash equivalents $ 569   $ 590 \n Receivables, net   1,424     1,294 \n Inventories   1,505     1,507 \n Prepaid expenses and other current assets   750     742 \n Current assets of discontinued operations   4,840     1,461 \n Total current assets   9,088     5,594 \n         \n Property, plant and equipment, net   2,666     2,685 \n Goodwill and other intangibles, net   11,877     12,190 \n Other assets   1,523     1,469 \n Non-current assets of discontinued operations   —     3,601 \n Total assets $ 25,154   $ 25,539 \n         \n Short-term borrowings $ 964   $ 1,254 \n Other current liabilities   2,276     2,129 \n Current liabilities of discontinued operations   1,170     550 \n Total current liabilities   4,410     3,933 \n         \n Long-term debt   4,735     4,738 \n Non-current liabilities   2,000     2,065 \n Non-current liabilities of discontinued operations   —     617 \n         \n Total Shareholders' equity including Non-controlling interests   14,009     14,186 \n Total liabilities and shareholders' equity $ 25,154   $ 25,539 \n\n International Flavors & Fragrances Inc. \n Consolidated Statements of Cash Flows((1)) \n (Amounts in millions) \n (Unaudited) \n   \n   Six Months Ended June 30, \n     2026       2025   \n Cash flows from operating activities:       \n Net income (loss) $ 221     $ (418 ) \n Adjustments to reconcile to net cash provided by operating activities       \n Depreciation and amortization   464       478   \n Deferred income taxes   (37 )     (177 ) \n Loss on assets classified as held for sale   27       —   \n Losses on sale of assets   —       1   \n Losses on business disposals   8       111   \n Stock-based compensation   51       51   \n Pension contributions   (10 )     (9 ) \n Gain on extinguishment of debt   —       (488 ) \n Impairment of goodwill   —       1,153   \n Changes in assets and liabilities, net of acquisitions:       \n Trade receivables   (188 )     (106 ) \n Inventories   (45 )     (124 ) \n Accounts payable   288       77   \n Accruals for incentive compensation   (63 )     (204 ) \n Other assets/liabilities, net   (37 )     23   \n Net cash provided by operating activities   679       368   \n Cash flows from investing activities:       \n Additions to property, plant and equipment   (301 )     (274 ) \n Additions to intangible assets   (2 )     —   \n Joint venture capital contributions   —       (4 ) \n Net proceeds received from business disposals   201       2,707   \n Payments to buyer for business disposals   (12 )     —   \n Cash (paid) received on foreign currency forward contracts   (19 )     112   \n Net cash (used in) provided by investing activities   (133 )     2,541   \n Cash flows from financing activities:       \n Cash dividends paid to shareholders   (204 )     (204 ) \n Net repayments of commercial paper (maturities less than three months)   (264 )     —   \n Principal payments of debt   —       (2,413 ) \n Withholding tax paid on stock-based compensation   (18 )     (22 ) \n Purchase of treasury stock   (71 )     —   \n Other, net   (8 )     (15 ) \n Net cash used in financing activities   (565 )     (2,654 ) \n Effect of exchange rate changes on cash and cash equivalents   (2 )     90   \n Net change in cash and cash equivalents   (21 )     345   \n Cash and cash equivalents at beginning of year   590       471   \n Cash and cash equivalents at end of period $ 569     $ 816   \n\n (1) The cash flows from discontinued operations are included in the Consolidated \n Statements of Cash Flows. \n\n\nThe following table reconciles cash and cash equivalents between the Company's\nstatement of cash flows for the periods ended June 30, 2026 and June 30, 2025\nto the amounts reported on the Company's balance sheet:\n AMOUNTS IN MILLIONS June 30, 2026   December 31, 2025   June 30, 2025   December 31, 2024 \n Current assets               \n Cash and cash equivalents $ 569   $ 590   $ 816   $ 469 \n Cash and cash equivalents included in Assets held for sale   —     —     —     2 \n Cash and cash equivalents $ 569   $ 590   $ 816   $ 471 \n\n International Flavors & Fragrances Inc. \n Reportable Segment Performance \n (Amounts in millions) \n (Unaudited) \n   \n   Three Months Ended June 30, 2026 \n   Taste   Health & Biosciences   Scent   Total \n Net Sales $ 688     $ 601     $ 665     $ 1,954 \n Cost of Sales   (415 )     (313 )     (374 )     \n Research & Development Expenses   (48 )     (58 )     (64 )     \n Selling & Administrative Expenses   (120 )     (114 )     (112 )     \n Depreciation Expense Add-back (a)   19       34       19       \n Adjusted Operating EBITDA $ 124     $ 150     $ 134     $ 408 \n\n Reconciliation of Adjusted Operating EBITDA:   \n Total Adjusted Operating EBITDA $ 408   \n Depreciation & Amortization   (154 ) \n Interest Expense   (46 ) \n Other Expense, net   (20 ) \n Restructuring and Other Charges (b)   (6 ) \n Losses on Business Disposals (d)   (1 ) \n Loss on Assets Classified as Held for Sale (e)   (27 ) \n Divestiture Costs (f)   (10 ) \n Strategic Initiative Costs (g)   (9 ) \n Regulatory Costs (h)   (71 ) \n Entity Realignment Costs (j)   (1 ) \n Other (k)   1   \n Income Before Taxes from Continuing Operations $ 64   \n\n Segment Adjusted Operating EBITDA Margin   \n Taste 18.0 % \n Health & Biosciences 25.0 % \n Scent 20.2 % \n Consolidated 20.9 % \n\n   Three Months Ended June 30, 2025 \n   Taste   Health & Biosciences   Scent   Pharma Solutions   Total \n Net Sales $ 654     $ 559     $ 603     $ 103     $ 1,919 \n Cost of Sales   (397 )     (294 )     (336 )     (68 )     \n Research & Development Expenses   (49 )     (55 )     (62 )     (3 )     \n Selling & Administrative Expenses   (108 )     (101 )     (101 )     (10 )     \n Depreciation Expense Add-back (a)   17       30       17       —       \n Adjusted Operating EBITDA $ 117     $ 139     $ 121     $ 22     $ 399 \n\n Reconciliation of Adjusted Operating EBITDA:   \n Total Adjusted Operating EBITDA $ 399   \n Depreciation & Amortization   (146 ) \n Interest Expense   (61 ) \n Other Expense, net   (20 ) \n Restructuring and Other Charges (b)   (20 ) \n Losses on Business Disposals (d)   (111 ) \n Divestiture Costs (f)   (26 ) \n Strategic Initiative Costs (g)   (6 ) \n Regulatory Costs (h)   (53 ) \n Gain on Debt Extinguishment (i)   488   \n Entity Realignment Costs (j)   (4 ) \n Other (k)   (2 ) \n Income Before Taxes from Continuing Operations $ 438   \n\n Segment Adjusted Operating EBITDA Margin   \n Taste 17.9 % \n Health & Biosciences 24.9 % \n Scent 20.1 % \n Pharma Solutions 21.4 % \n Consolidated 20.8 % \n\n   Six Months Ended June 30, 2026 \n   Taste   Health & Biosciences   Scent   Total \n Net Sales $ 1,368     $ 1,176     $ 1,316     $ 3,860 \n Cost of Sales   (808 )     (622 )     (749 )     \n Research & Development Expenses   (93 )     (111 )     (120 )     \n Selling & Administrative Expenses   (228 )     (219 )     (209 )     \n Depreciation Expense Add-back (a)   37       66       37       \n Adjusted Operating EBITDA $ 276     $ 290     $ 275     $ 841 \n\n Reconciliation of Adjusted Operating EBITDA   \n Total Adjusted Operating EBITDA $ 841   \n Depreciation & Amortization   (306 ) \n Interest Expense   (90 ) \n Other Expense, net   (33 ) \n Restructuring and Other Charges (b)   (10 ) \n Losses on Business Disposals (d)   (1 ) \n Loss on Assets Classified as Held for Sale (e)   (27 ) \n Divestiture Costs (f)   (15 ) \n Strategic Initiative Costs (g)   (18 ) \n Regulatory Costs (h)   (81 ) \n Entity Realignment Costs (j)   (2 ) \n Other (k)   2   \n Income Before Taxes from Continuing Operations $ 260   \n\n Segment Adjusted Operating EBITDA Margin   \n Taste 20.2 % \n Health & Biosciences 24.7 % \n Scent 20.9 % \n Consolidated 21.8 % \n\n   Six Months Ended June 30, 2025 \n   Taste   Health & Biosciences   Scent   Pharma Solutions   Total \n Net Sales $ 1,304     $ 1,079     $ 1,217     $ 369     $ 3,969 \n Cost of Sales   (791 )     (576 )     (679 )     (248 )     \n Research & Development Expenses   (90 )     (106 )     (120 )     (8 )     \n Selling & Administrative Expenses   (209 )     (193 )     (191 )     (42 )     \n Depreciation Expense Add-back (a)   32       58       32       5       \n Adjusted Operating EBITDA $ 246     $ 262     $ 259     $ 76     $ 843 \n\n Reconciliation of Adjusted Operating EBITDA:   \n Total Adjusted Operating EBITDA $ 843   \n Depreciation & Amortization   (288 ) \n Interest Expense   (132 ) \n Other Expense, net   (39 ) \n Restructuring and Other Charges (b)   (35 ) \n Impairment of Goodwill (c)   (34 ) \n Losses on Business Disposals (d)   (111 ) \n Divestiture Costs (f)   (77 ) \n Strategic Initiative Costs (g)   (14 ) \n Regulatory Costs (h)   (64 ) \n Gain on Debt Extinguishment (i)   488   \n Entity Realignment Costs (j)   (5 ) \n Other (k)   (6 ) \n Income Before Taxes from Continuing Operations $ 526   \n\n Segment Adjusted Operating EBITDA Margin   \n Taste 18.9 % \n Health & Biosciences 24.3 % \n Scent 21.3 % \n Pharma Solutions 20.6 % \n Consolidated 21.2 % \n\n (a) There is depreciation recorded within cost of sales, research & \n development expenses, and selling & administrative expenses, which is then \n added back to calculate segment Adjusted Operating EBITDA. This reflects how \n the CODM reviews Segment results. \n (b) For 2026 and 2025, represents costs related to severance as part of the IFF \n Productivity Program. \n (c) For 2025, represents the impairment of goodwill attributable to the portion of \n the Food Ingredients reporting unit that is not included within the Food \n Ingredients or SCL disposal groups. \n (d) For 2026, primarily represents losses recognized as part of final closing \n price adjustments related to the divestiture of the Nitrocellulose business in \n 2025. For 2025, primarily represents losses recognized as part of the sale of \n the Pharma Solutions disposal group, offset in part by gains recognized as \n part of the sale of the Nitrocellulose business. \n (e) For 2026, represents the loss on assets classified as held for sale related to \n the CitraSource business within the Scent segment. \n (f) For 2026 and 2025, primarily represents costs related to the Company’s \n completed and anticipated divestitures, excluding external costs related to \n the planned divestiture of the Food Ingredients and SCL disposal groups. These \n costs primarily consisted of external consulting fees, professional and legal \n fees and salaries of individuals who are fully dedicated to such efforts. \n (g) Represents costs related to the Company’s strategic assessment and business \n portfolio optimization efforts and reorganizing the Global Business Services \n (GBS) Centers. In 2026, the GBS reorganization has been expanded to include \n additional functions such as customer service, supply chain and logistics in \n addition to human resources, accounting and finance, as well as additional \n efforts to automate processes and expand the use of artificial intelligence \n (AI) for these functions. These costs primarily consisted of external \n consulting fees and salaries of individuals who are fully dedicated to such \n efforts. Costs to develop software and AI are only included to the extent that \n they do not qualify for capitalization. \n (h) For 2026 and 2025, represents costs primarily related to provisions recognized \n for the ongoing investigations of the fragrance businesses and legal fees \n incurred. \n (i) For 2025, represents the gain recognized on the extinguishment of debt in \n connection with the completion of the tender offers. \n (j) For 2025, the Company implemented a phased restructuring initiative aimed at \n optimizing its legal entity framework. A one-time tax benefit was achieved as \n part of this restructuring which is partially offset by the execution costs to \n implement. \n (k) For 2025, represents the net impact of costs related to severance, including \n accelerated stock compensation expense, for certain executives who have \n separated from the Company, in addition to consulting costs related to the \n Company’s implementation of a phased restructuring initiative aimed at \n optimizing its legal entity framework. \n\n International Flavors & Fragrances Inc. \n Discontinued Operations Reconciliation \n (Amounts in millions) \n (Unaudited) \n   \n   Three Months Ended June 30, \n     2026     2025   \n Reconciliation of Adjusted Operating EBITDA from Discontinued Operations:       \n Income (Loss) From Discontinued Operations Before Tax   31     66   \n Depreciation & Amortization   64     97   \n Other Expense, net (a)   1     (10 ) \n Divestiture Costs (c)   44     —   \n Adjusted Operating EBITDA from Discontinued Operations   140     153   \n Adjusted Operating EBITDA from Continuing Operations   408     399   \n Total IFF Adjusted Operating EBITDA Inclusive of Discontinued Operations $ 548   $ 552   \n\n   Six Months Ended June 30, \n     2026     2025   \n Reconciliation of Adjusted Operating EBITDA from Discontinued Operations:       \n Income (Loss) From Discontinued Operations Before Tax $ 44   $ (1,016 ) \n Depreciation & Amortization   158     190   \n Other Expense, net (a)   1     (9 ) \n Restructuring and Other Charges (b)   2     3   \n Divestiture Costs (c)   63     —   \n Losses on Business Disposals (d)   7     —   \n Impairment of Goodwill (e)   —     1,119   \n Adjusted Operating EBITDA from Discontinued Operations   275     287   \n Adjusted Operating EBITDA from Continuing Operations   841     843   \n Total IFF Adjusted Operating EBITDA Inclusive of Discontinued Operations $ 1,116   $ 1,130   \n\n (a) For 2026 and 2025, primarily represents foreign exchange losses (gains). \n (b) For 2026 and 2025, represents severance costs under the IFF Productivity \n Program. \n (c) For 2026, primarily represents costs related to the Company’s anticipated \n divestiture of the Food Ingredients disposal group and completed divestiture \n of the SCL disposal group. These costs primarily consisted of external \n consulting fees and professional and legal fees. \n (d) For 2026, represents losses recognized upon the sale of the SCL disposal \n group. \n (e) For 2025, represents the impairment of goodwill attributable to the portion of \n the Food Ingredients reporting unit classified within the Food Ingredients \n disposal group and the SCL disposal group. \n\n\nInternational Flavors & Fragrances Inc.\n\nGAAP to Non-GAAP Reconciliation\n\n(Unaudited)\n\nThe following information and schedules provide reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedules are not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n\nFor the three months ended June 30, 2026 and 2025, there was no difference\nbetween Reported (GAAP) and Adjusted (Non-GAAP) gross profit.\n Reconciliation of Selling and Administrative Expenses(1) \n   Second Quarter \n (DOLLARS IN MILLIONS)   2026       2025   \n Reported (GAAP) $ 437     $ 409   \n Divestiture Costs (b)   (10 )     (26 ) \n Strategic Initiatives Costs (e)   (9 )     (6 ) \n Regulatory Costs (f)   (71 )     (53 ) \n Entity Realignment Costs (h)   (1 )     (2 ) \n Adjusted (Non-GAAP) $ 346     $ 322   \n\n\nInternational Flavors & Fragrances Inc.\n\nGAAP to Non-GAAP Reconciliation\n\n(Unaudited)\n\nThe following information and schedules provide reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedules are not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n Reconciliation of Net Income (Loss) and EPS from Continuing Operations(1) \n   Second Quarter \n   2026   2025 \n (DOLLARS IN MILLIONS EXCEPT PER SHARE AMOUNTS) Income before taxes   (Benefit) Provision for income taxes (j)   Net income attributable to IFF   Diluted EPS   Income before taxes   (Benefit) Provision for income taxes (j)   Net income attributable to IFF   Diluted EPS \n Reported (GAAP) $ 64     $ 31   $ 33     $ 0.13   $ 438     $ (112 )   $ 550     $ 2.14   \n Restructuring and Other Charges (a)   6       1     5       0.02     20       5       15       0.06   \n Divestiture Costs (b)   10       1     9       0.04     26       22       4       0.02   \n Losses on Business Disposals (c)   1       —     1       —     111       (137 )     248       0.97   \n Losses on Assets Classified as Held for Sale (d)   27       4     23       0.09     —       —       —       —   \n Strategic Initiative Costs (e)   9       2     7       0.02     6       1       5       0.02   \n Regulatory Costs (f)   71       —     71       0.27     53       12       41       0.16   \n Gain on debt extinguishment (g)   —       —     —       —     (488 )     (116 )     (372 )     (1.45 ) \n Entity Realignment Costs (h)   1       —     1       —     4       361       (357 )     (1.40 ) \n Other (i)   (1 )     —     (1 )     —     2       —       2       —   \n Adjusted (Non-GAAP) $ 188     $ 39   $ 149     $ 0.57   $ 172     $ 36     $ 136     $ 0.52   \n\n Reconciliation of Adjusted (Non-GAAP) EPS ex. Amortization(1) \n   Second Quarter \n (DOLLARS AND SHARE AMOUNTS IN MILLIONS) 2026   2025 \n Numerator       \n Adjusted (Non-GAAP) Net Income $ 149   $ 136 \n Amortization of Acquisition related Intangible Assets   82     82 \n Tax impact on Amortization of Acquisition related Intangible Assets (j)   20     20 \n Amortization of Acquisition related Intangible Assets, net of tax (k)   62     62 \n Adjusted (Non-GAAP) Net Income ex. Amortization $ 211   $ 198 \n         \n Denominator       \n Weighted average shares assuming dilution (diluted)   257     257 \n Adjusted (Non-GAAP) EPS ex. Amortization $ 0.82   $ 0.77 \n\n (a) For 2026 and 2025, represents costs related to severance as part of the IFF \n Productivity Program. \n (b) For 2026 and 2025, primarily represents costs related to the Company’s \n completed divestitures. These costs primarily consisted of external consulting \n fees, professional and legal fees and salaries of individuals who are fully \n dedicated to such efforts. \n (c) For 2026, primarily represents losses recognized as part of final settlement \n adjustments related to the divestiture of the Nitrocellulose business in 2025. \n For 2025, primarily represents losses recognized as part of the sale of the \n Pharma Solutions disposal group, offset in part by gains recognized as part of \n the sale of the Nitrocellulose business. \n (d) For 2026, represents the losses recognized on assets classified as held for \n sale of the CitraSource business. \n (e) Represents costs related to the Company’s strategic assessment and business \n portfolio optimization efforts and reorganizing the Global Business Services \n (GBS) Centers. In 2026, the GBS reorganization has been expanded to include \n additional functions such as customer service, supply chain and logistics in \n addition to human resources, accounting and finance, as well as additional \n efforts to automate processes and expand the use of artificial intelligence \n (AI) for these functions. These costs primarily consisted of external \n consulting fees and salaries of individuals who are fully dedicated to such \n efforts. Costs to develop software and AI are only included to the extent that \n they do not qualify for capitalization. \n (f) For 2026 and 2025, represents costs primarily related to legal fees incurred \n and provisions recognized for the ongoing investigations of the fragrance \n businesses. \n (g) For 2025, represents the gain recognized on the extinguishment of debt in \n connection with the completion of tender offers. \n (h) For 2025, the Company implemented a phased restructuring initiative aimed at \n optimizing its legal entity framework. A one-time tax benefit was achieved as \n part of this restructuring which is partially offset by the execution costs to \n implement. \n (i) For 2025, represents the net impact of costs related to severance, including \n accelerated stock compensation expense, for certain executives who have \n separated from the Company. \n (j) The income tax effects of non-GAAP adjustments are calculated based on the \n applicable statutory tax rate for the relevant jurisdiction, except for those \n items which are non-taxable or subject to valuation allowances for which the \n tax expense (benefit) was calculated at 0%. The tax benefit for amortization \n is calculated in a similar manner as the tax effects of the non-GAAP \n adjustments. \n (k) Represents all amortization of intangible assets acquired in connection with \n acquisitions, net of tax. \n\n\nInternational Flavors & Fragrances Inc.\n\nGAAP to Non-GAAP Reconciliation\n\n(Unaudited)\n\nThe following information and schedules provide reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedules are not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n\nFor the six months ended June 30, 2026 and 2025, there was no difference\nbetween Reported (GAAP) and Adjusted (Non-GAAP) gross profit.\n Reconciliation of Selling and Administrative Expenses(1) \n   Second Quarter Year-to-Date \n (DOLLARS IN MILLIONS)   2026       2025   \n Reported (GAAP) $ 771     $ 799   \n Divestiture Costs (c)   (15 )     (77 ) \n Strategic Initiatives Costs (f)   (18 )     (14 ) \n Regulatory Costs (g)   (81 )     (64 ) \n Entity Realignment Costs (i)   (2 )     (4 ) \n Other (j)   1       (5 ) \n Adjusted (Non-GAAP) $ 656     $ 635   \n\n\nInternational Flavors & Fragrances Inc.\n\nGAAP to Non-GAAP Reconciliation\n\n(Unaudited)\n\nThe following information and schedules provide reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedules are not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n Reconciliation of Net Income (Loss) and EPS from Continuing Operations(1) \n   Second Quarter Year-to-Date \n   2026   2025 \n (DOLLARS IN MILLIONS EXCEPT PER SHARE AMOUNTS) Income before taxes   Provision (Benefit) for income taxes (k)   Net income attributable to IFF (l)   Diluted EPS   Income before taxes   Provision (Benefit) for income taxes (k)   Net income attributable to IFF (l)   Diluted EPS \n Reported (GAAP) $ 260     $ 72   $ 187     $ 0.73   $ 526     $ (92 )   $ 617     $ 2.40   \n Restructuring and Other Charges (a)   10       3     7       0.03     35       8       27       0.11   \n Impairment of Goodwill (b)   —       —     —       —     34       —       34       0.13   \n Divestiture Costs (c)   15       2     13       0.06     77       34       43       0.17   \n Losses on Business Disposals (d)   1       —     1       —     111       (137 )     248       0.97   \n Losses on Assets Classified as Held for Sale (e)   27       4     23       0.09     —       —       —       —   \n Strategic Initiative Costs (f)   18       4     14       0.05     14       3       11       0.04   \n Regulatory Costs (g)   81       3     78       0.30     64       15       49       0.19   \n Gain on debt extinguishment (h)   —       —     —       —     (488 )     (116 )     (372 )     (1.45 ) \n Entity Realignment Costs (i)   2       1     1       —     5       361       (356 )     (1.40 ) \n Other (j)   (2 )     —     (2 )     —     6       —       6       0.02   \n Adjusted (Non-GAAP) $ 412     $ 89   $ 322     $ 1.26   $ 384     $ 76     $ 307     $ 1.18   \n\n Reconciliation of Adjusted (Non-GAAP) EPS ex. Amortization(1) \n   Second Quarter Year-to-Date \n (DOLLARS AND SHARE AMOUNTS IN MILLIONS) 2026   2025 \n Numerator       \n Adjusted (Non-GAAP) Net Income $ 322   $ 307 \n Amortization of Acquisition related Intangible Assets   166     162 \n Tax impact on Amortization of Acquisition related Intangible Assets (k)   41     40 \n Amortization of Acquisition related Intangible Assets, net of tax (m)   125     122 \n Adjusted (Non-GAAP) Net Income ex. Amortization $ 447   $ 429 \n         \n Denominator       \n Weighted average shares assuming dilution (diluted)   257     257 \n Adjusted (Non-GAAP) EPS ex. Amortization $ 1.74   $ 1.67 \n\n (a) For 2026 and 2025, represents costs related to severance as part of the IFF \n Productivity Program. \n (b) For 2025, represents the impairment of goodwill related to the Food \n Ingredients reporting unit that is not included in the Food Ingredients or SCL \n disposal groups. \n (c) For 2026 and 2025, primarily represents costs related to the Company’s \n completed and anticipated divestitures. These costs primarily consisted of \n external consulting fees, professional and legal fees and salaries of \n individuals who are fully dedicated to such efforts. \n (d) For 2026, primarily represents losses recognized as part of final settlement \n adjustments related to the divestiture of the Nitrocellulose business in 2025. \n For 2025, primarily represents losses recognized as part of the sale of the \n Pharma Solutions disposal group, offset in part by gains recognized as part of \n the sale of the Nitrocellulose business. \n (e) For 2026, represents the losses recognized on assets classified as held for \n sale of the CitraSource business. \n (f) Represents costs related to the Company’s strategic assessment and business \n portfolio optimization efforts and reorganizing the Global Business Services \n (GBS) Centers. In 2026, the GBS reorganization has been expanded to include \n additional functions such as customer service, supply chain and logistics in \n addition to human resources, accounting and finance, as well as additional \n efforts to automate processes and expand the use of artificial intelligence \n (AI) for these functions. These costs primarily consisted of external \n consulting fees and salaries of individuals who are fully dedicated to such \n efforts. Costs to develop software and AI are only included to the extent that \n they do not qualify for capitalization. \n (g) For 2026 and 2025, represents costs primarily related to legal fees incurred \n and provisions recognized for the ongoing investigations of the fragrance \n businesses. \n (h) For 2025, represents the gain recognized on the extinguishment of debt in \n connection with the completion of the tender offers. \n (i) For 2025, the Company implemented a phased restructuring initiative aimed at \n optimizing its legal entity framework. A one-time tax benefit was achieved as \n part of this restructuring which is partially offset by the execution costs to \n implement. \n (j) For 2025, represents the net impact of costs related to severance, including \n accelerated stock compensation expense, for certain executives who have \n separated from the Company. \n (k) The income tax effects of non-GAAP adjustments are calculated based on the \n applicable statutory tax rate for the relevant jurisdiction, except for those \n items which are non-taxable or subject to valuation allowances for which the \n tax expense (benefit) was calculated at 0%. The tax benefit for amortization \n is calculated in a similar manner as the tax effects of the non-GAAP \n adjustments. \n (l) For each of the six months ended June 30, 2026 and June 30, 2025, reported and \n adjusted net income from continuing operations are each decreased by income \n attributable to non-controlling interest from continuing operations of $1 \n million. \n (m) Represents all amortization of intangible assets acquired in connection with \n acquisitions, net of tax. \n\n\nInternational Flavors & Fragrances Inc.\n\nDebt Covenants\n\n(Amounts in millions)\n\n(Unaudited)\n\nThe following information and schedules provide reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedules are not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n Reconciliation of Credit Adjusted EBITDA to Net Income((1)) \n (DOLLARS IN MILLIONS) Twelve Months Ended June 30, 2026 \n Net income $ 254 \n Interest expense   187 \n Income taxes   98 \n Depreciation and amortization   948 \n Specified items((2))   341 \n Non-cash items((3))   228 \n Credit Adjusted EBITDA $ 2,056 \n\n _______________________ \n (1) Credit Adjusted EBITDA presented includes results from continuing and \n discontinued operations. \n (2) Specified items consisted of restructuring and other charges, impairment of \n goodwill, divestiture costs, strategic initiatives costs, regulatory costs, \n and other costs that are not related to recurring operations. \n (3) Non-cash items consisted of losses (gains) on sale of assets, losses (gains) \n on business disposals, loss on assets classified as held for sale, and \n stock-based compensation. \n\n Reconciliation of Net Debt to Total Debt \n (DOLLARS IN MILLIONS) June 30, 2026 \n Total debt((1)) $ 5,735 \n Adjustments:   \n Cash and cash equivalents   569 \n Net debt $ 5,166 \n\n ______________________ \n (1) Total debt used for the calculation of net debt consisted of short-term debt, \n long-term debt, short-term finance lease obligations and long-term finance \n lease obligations. \n\n\nInternational Flavors & Fragrances Inc.\n\nComparable Currency Neutral Segment Performance\n\n(Amounts in millions)\n\n(Unaudited)\n\nThe following information and schedule provides reconciliation information\nbetween reported GAAP amounts and non-GAAP certain adjusted amounts. This\ninformation and schedule is not intended as, and should not be viewed as, a\nsubstitute for reported GAAP amounts or financial statements of the Company\nprepared and presented in accordance with GAAP.\n   Three Months Ended June 30,   Six Months Ended June 30, \n     2026       2025       2026       2025   \n Net Sales               \n Taste((1)) $ 679     $ 650     $ 1,337     $ 1,294   \n Health & Biosciences   587       559       1,134       1,079   \n Scent   650       603       1,272       1,217   \n Pharma Solutions((2))   —       —       —       —   \n Consolidated $ 1,916     $ 1,812     $ 3,743     $ 3,590   \n Segment Adjusted Operating EBITDA((5))               \n Taste((1)) $ 122     $ 115     $ 268     $ 236   \n Health & Biosciences   146       138       277       256   \n Scent   126       120       258       253   \n Pharma Solutions((2))   —       —       —       —   \n Total   394       373       803       745   \n Depreciation & Amortization   (154 )     (146 )     (306 )     (288 ) \n Interest Expense   (46 )     (61 )     (90 )     (132 ) \n Other Expense, net   (20 )     (20 )     (33 )     (39 ) \n Restructuring and Other Charges   (6 )     (20 )     (10 )     (35 ) \n Impairment of Goodwill   —       —       —       (34 ) \n Losses on Business Disposals   (1 )     (111 )     (1 )     (111 ) \n Loss on Assets Classified as Held for Sale   (27 )     —       (27 )     —   \n Divestiture Costs   (10 )     (26 )     (15 )     (77 ) \n Strategic Initiatives Costs   (9 )     (6 )     (18 )     (14 ) \n Regulatory Costs   (71 )     (53 )     (81 )     (64 ) \n Gain on Debt Extinguishment   —       488       —       488   \n Entity Realignment Costs   (1 )     (4 )     (2 )     (5 ) \n Other   1       (2 )     2       (6 ) \n Impact of Currency Fluctuations((3))   14       —       38       —   \n Impact of Business Divestitures((4))   —       26       —       98   \n Income from continuing operations before taxes $ 64     $ 438     $ 260     $ 526   \n Segment Adjusted Operating EBITDA Margin((4))               \n Taste   18.0 %     17.7 %     20.0 %     18.2 % \n Health & Biosciences   24.9 %     24.7 %     24.4 %     23.7 % \n Scent   19.4 %     19.9 %     20.3 %     20.8 % \n Consolidated   20.6 %     20.6 %     21.5 %     20.8 % \n\n ______________________ \n (1) Taste sales and segment adjusted operating EBITDA information exclude the \n results of the Rene Laurent business that was divested on December 1, 2025, to \n present fully comparable scenarios. \n (2) Pharma sales and segment adjusted operating EBITDA information exclude the \n results of the Pharma Solutions disposal group and Nitrocellulose business \n that were divested on May 1, 2025 and May 9, 2025, respectively, to present \n fully comparable scenarios. \n (3) Currency neutral sales are calculated by translating current year invoiced \n sale amounts at the exchange rates for the corresponding prior year period. \n (4) Amounts exclude the results of the Rene Laurent business that was divested on \n December 1, 2025 and the Pharma Solutions disposal group and Nitrocellulose \n business that were divested on May 1, 2025 and May 9, 2025, respectively, to \n present fully comparable scenarios. \n (5) Following the completed divestitures of the Pharma Solutions disposal group on \n May 1, 2025 and the Nitrocellulose business on May 9, 2025, the Company \n reallocated certain corporate costs previously attributed to the Pharma \n Solutions segment. These costs have been redistributed across the Taste, \n Health & Biosciences, and Scent segments to align with the updated 2025 \n operating model. \n\n     Three Months Ended June 30, 2025 \n     Selling & Administrative Expenses   Total EBITDA Impact \n Taste   $ 1   $ (1 ) \n Health & Biosciences     1     (1 ) \n Scent     1     (1 ) \n Total   $ 3   $ (3 ) \n\n     Six Months Ended June 30, 2025 \n     Selling & Administrative Expenses   Total EBITDA Impact \n Taste   $ 6   $ (6 ) \n Health & Biosciences     6     (6 ) \n Scent     6     (6 ) \n Total   $ 18   $ (18 ) \n\n International Flavors & Fragrances Inc. \n GAAP to Non-GAAP Reconciliation \n Comparable Foreign Exchange Impact \n (Unaudited) \n   \n Q2 Taste   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   5%   6%   0.1% \n Portfolio Impact   1%   2%   0.2% \n % Change - Comparable   6%   8%   0.3% \n Currency Impact   (2)%   (2)%   0.0% \n % Change - Currency Neutral   4%   6%   0.3% \n               \n Q2 Health & Biosciences   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   8%   8%   0.1% \n Portfolio Impact   0%   1%   0.2% \n % Change - Comparable   8%   9%   0.3% \n Currency Impact   (3)%   (3)%   (0.1)% \n % Change - Currency Neutral   5%   6%   0.2% \n               \n Q2 Scent   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   10%   11%   0.1% \n Portfolio Impact   0%   1%   0.1% \n % Change - Comparable   10%   12%   0.2% \n Currency Impact   (2)%   (7)%   (0.7)% \n % Change - Currency Neutral   8%   5%   (0.5)% \n               \n Q2 Consolidated   Sales   Adjusted Operating EBITDA   Adjusted Operating EBITDA Margin \n % Change - Reported   2%   2%   0.1% \n Portfolio Impact   6%   7%   0.2% \n % Change - Comparable   8%   9%   0.3% \n Currency Impact   (2)%   (3)%   (0.3)% \n % Change - Currency Neutral   6%   6%   0.0% \n\n _______________________ \n Note: The sum of these items may not foot due to rounding. \n\n International Flavors & Fragrances Inc. \n GAAP to Non-GAAP Reconciliation \n Comparable Foreign Exchange Impact \n (Unaudited) \n   \n YTD Taste   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   5%   12%   1.3% \n Portfolio Impact   1%   5%   0.6% \n % Change - Comparable   6%   17%   1.9% \n Currency Impact   (3)%   (3)%   (0.1)% \n % Change - Currency Neutral   3%   14%   1.8% \n               \n YTD Health & Biosciences   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   9%   11%   0.4% \n Portfolio Impact   0%   2%   0.4% \n % Change - Comparable   9%   13%   0.8% \n Currency Impact   (4)%   (5)%   (0.2)% \n % Change - Currency Neutral   5%   8%   0.6% \n               \n YTD Scent   Sales   Segment Adjusted Operating EBITDA   Segment Adjusted Operating EBITDA Margin \n % Change - Reported   8%   6%   (0.4)% \n Portfolio Impact   0%   3%   0.6% \n % Change - Comparable   8%   9%   0.2% \n Currency Impact   (3)%   (7)%   (0.7)% \n % Change - Currency Neutral   5%   2%   (0.5)% \n               \n YTD Consolidated   Sales   Adjusted Operating EBITDA   Adjusted Operating EBITDA Margin \n % Change - Reported   (3)%   0%   0.6% \n Portfolio Impact   11%   13%   0.4% \n % Change - Comparable   8%   13%   1.0% \n Currency Impact   (4)%   (5)%   (0.3)% \n % Change - Currency Neutral   4%   8%   0.7% \n\n _______________________ \n Note: The sum of these items may not foot due to rounding. \n\n\n \n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20260804962836/en/\n(https://www.businesswire.com/news/home/20260804962836/en/)\n\nMedia Relations:\n\nJennifer McGowan\n\n848.358.1680\n\nMedia.request@iff.com (mailto:Media.request@iff.com)\n\nInvestor Relations:\n\nMichael Bender\n\n212.708.7263\n\nInvestor.Relations@iff.com (mailto:Investor.Relations@iff.com)\n\n\nCopyright Business Wire 2026"},"type":"article","timestamp":"2026-08-04T20:15:01.417616712Z","server_sent_at_ms":1785874501417},"received_at":"2026-08-04T20:15:01.484Z","source_url":"https://www.businesswire.com/news/home/20260804962836/en/"},"analysis":{"id":"97657","press_release_id":"108648","analysis_json":{"industry":{"label":"Chemicals","sector":"Materials"},"redFlags":[],"eventType":"earnings","narrative":"IFF reported Q2 continuing ops sales of $2.0 billion, up 2% year-over-year, with Adjusted Operating EBITDA of $408 million and margin expanding to 20.9%.\n\nThe company agreed to sell its Food Ingredients business to CVC Capital Partners for $3.8 billion in net cash proceeds and authorized a $2.5 billion share repurchase program, including an immediate $500M accelerated repurchase in the second half of 2026.\n\nFull-year 2026 guidance for continuing operations estimates sales of $7.4 billion to $7.6 billion and Adjusted Operating EBITDA of $1.53 billion to $1.60 billion.","sentiment":"bullish","agentHooks":{"shouldPost":true,"suggestedAngle":"Strong earnings beat paired with a massive $2.5B buyback and $3.8B divestiture—IFF is aggressively reshaping its portfolio."},"keyFigures":{"eps":0.13,"revenue":1954000000,"guidance":"FY26 sales $7.4B-$7.6B; Adj. Operating EBITDA $1.53B-$1.60B (continuing operations)","revenueYoy":"2%","dealValueUsd":3800000000,"customDimensions":{"asr_amount":500000000,"free_cash_flow":378000000,"buyback_authorization":2500000000,"operating_ebitda_margin":"20.9%","adjusted_operating_ebitda":408000000,"adjusted_eps_ex_amortization":0.82}},"quotedText":"IFF delivered a strong first half of 2026 on a continuing operations basis","namedEntities":{"people":[{"name":"Erik Fyrwald","role":"CEO"}],"products":[],"companies":[{"name":"IFF","ticker":"IFF"},{"name":"CVC Capital Partners","relationship":"acquirer"}],"dollarAmounts":[{"amount":"$2.0 B","context":"Q2 2026 Reported Sales (continuing operations)"},{"amount":"$1.95 billion","context":"Q2 2026 Net sales"},{"amount":"$408 M","context":"Q2 2026 Adjusted Operating EBITDA"},{"amount":"$3.8 billion","context":"Net cash proceeds from Food Ingredients divestiture"},{"amount":"$2.5 billion","context":"Enhanced share repurchase authorization"},{"amount":"$500 million","context":"Accelerated share repurchase (H2 2026)"},{"amount":"$378 million","context":"H1 2026 Free Cash Flow"}]},"materialImpact":{"score":5,"reasoning":"Strong Q2 performance with sales growth and expanded margins, combined with a major strategic pivot via a $3.8B divestiture and a significant $2.5B share repurchase authorization. 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