EANS-News: Symrise AG / Symrise enters second half 2010 backed by strong earnings and profitability growth

• Group sales up 16.4 %
• 46 % of sales generated in emerging
markets
• EBITDA up 50 % – EBITDA margin rises to 22.3 %
• Net
income for the period more than doubles to € 88.8 million
• FY 2010
forecast specified: on local currency terms sales growth of
at
least 8 % expected

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6-month report

Subtitle: • Group sales up 16.4 %
• 46 % of sales generated in emerging markets
• EBITDA up 50 % – EBITDA margin rises to 22.3 %
• Net income for the period more than doubles to € 88.8 million
• FY 2010 forecast specified: on local currency terms sales growth of
at least 8 % expected

Holzminden August 10, 2010 (euro adhoc) - Symrise AG looks back on a
successful first half with significantly higher sales and
profitability. In the first six months of the Fiscal Year 2010, Group
sales rose 16.4 %, or 13.9 % at local currency. Symrise benefited in
particular from the global economic recovery, an increase in new
orders, the innovative products in the portfolio as well as the
dynamic growth of the business in the emerging markets. Group EBITDA
rose 50 % to EUR 177.7 million. This was matched by a robust EBITDA
margin of 22.3 %, up sharply on the 17.3 % reported in the previous
year. The increased net sales, ongoing cost discipline and the high
capacity utilization of its production facilities significantly
supported the rise in profitability. Based on its development in the
first six months, Symrise specifies its forecast for the full year
and expects 2010 sales growth of at least 8 % at local currency. In
addition, Symrise continues to aim for an EBITDA margin of more than
20 %.

Dr. Heinz-Jürgen Bertram, Chief Executive of Symrise AG, said "We
successfully capitalized on the economic recovery and enjoyed
above-average growth in the first half of 2010. Our customers´ order
patterns have normalized again compared to 2009 and we were in
particular able to expand our business with our key customers. Our
regional diversification and our special focus on emerging markets
are also paying off: we´ve seen considerable growth in all regions
and are meanwhile generating 46 % of sales in emerging markets
alone."

"The encouraging developments of the first six months have given us
cause for optimism for the second half of 2010. At the same time, we
continue to keep an eye on market developments. We aim to grow faster
than the market as a whole and are currently forecasting at least 8 %
sales growth at local currency."

"We will also continue to vigorously implement our core strategic
goals: We will further sharpen our profile, while particularly
focusing on the two application areas Life Essentials and Consumer
Health."

In the second quarter, Symrise took another major strategic step to
realize further growth in the menthol business: its menthol
production capacities will almost double by 2012.

Double digit growth in every region In the first half of 2010,
Symrise increased Group sales by 16.4 % (13.9 % at local currency) to
EUR 797.5 million (EUR 685.1 million). Once again, the benefits of
the company´s emerging market strategy became apparent: over the
reporting period, the region´s contribution to Group sales increased
further to 46 % from 44 % for the same period last year.

On a regional basis, Asia/Pacific was the most dynamic region with 21
% sales growth (14 % at local currency), closely followed by Latin
America which - despite strong reference values - reported a 20 %
rise in sales (15 % at local currency). The EAME region, which was
hardest hit by the economic crisis in 2009, benefited considerably
from the global recovery over the first six months of 2010, reporting
a 15 % rise in sales (14 % at local currency). Sales in North America
also benefited from the improved market environment, achieving 14 %
growth (13 % at local currency).

Sales with key customers up 15 % Symrise has successfully increased
business with strategically important key customers: over the first
six months, sales with its top 10 customers rose by 15 % at local
currency and accounted for 30 % of total sales.

In the Flavor & Nutrition division, sales with the top 10 customers
grew by 16.7 % (at local currency), thereby achieving growth rates
above those of the overall Group. In addition, the business division
was able to secure two further core listings in the second quarter.
Scent & Care also continued to expand its business with its key
customers, increasing sales by 12.8 % at local currency.

EBITDA increases to EUR 177.7 million - EBITDA margin of 22.3 % up
significantly YoY The growth in Group earnings in the first half of
2010 was considerably supported by the disproportionately high
increase in sales as well as the high utilization levels. In
addition, the ongoing cost discipline throughout the Group and the
effects of the restructuring program, which was ratified in 2009 and
implemented successively were also clearly beneficial to Group
earnings. Furthermore, the company was able to benefit from moderate
raw material prices in certain areas as they were negotiated and
secured at an early stage. In the first six months, earnings before
interest, tax, depreciation and amortization (EBITDA) rose 50 % to
EUR 177.7 million (EUR 118.6 million). At 22.3 %, the EBITDA margin
significantly exceeded its previous year´s level of 17.3 %. The net
income for the period more than doubled from EUR 41.0 million in the
first half of 2009 to EUR 88.8 million for the same period 2010.
Earnings per share rose accordingly from EUR 0.35 to EUR 0.75.

Gearing ratio further reduced Operating cash flow in the first half
amounted to EUR 74.7 million (EUR 89.9 million) and reflects the
increase in working capital at the start of the financial year. The
Group reduced its net debt including pension provisions to EBITDA
ratio from 3.1 at the end of 2009 to 2.7 as of June 30, 2010 and is
thus in a financially sound position. With liabilities due in 2011
and in the view of the current, relatively favorable capital market
conditions, Symrise will assess various options for premature
refinancing in the second half of the year.

Scent & Care sales rise 20 % The developments in the Scent & Care
division were particularly impacted by the economic recovery, which
was most evident in the application areas of Fine Fragrances and
Personal Care. In addition, similar trends were noticeable in Special
Fragrance & Flavor Ingredients, Household and Cosmetic Ingredients.
Scent & Care also benefited from new product launches in Cosmetics
including e.g. the clinically tested revitalizer SymMollient® and the
aroma molecule Ambrocenide®.

Scent & Care reported double digit sales growth in EAME, North
America and Asia/Pacific. The largest increase in sales was achieved
by the EAME region with 21 % at local currency. Last year´s
particularly strong reference values resulted in a somewhat more
moderate 9 % improvement in sales in Latinamerica.

The business division´s year on year sales rose by almost a fifth to
EUR 411.9 million (EUR 343.6 million) and an increase of 16.5 % at
local currency. EBITDA rose by 69 % to EUR 85.5 million (H12009: EUR
50.6 million). The EBITDA margin went up from 14.7 % in the previous
year to 20.7 % in the reporting period.

Flavor & Nutrition - impressive EBITDA margin of 23.9 % The Flavor &
Nutrition division also benefited significantly from improvements in
the global economy and reported above-average growth particularly in
the application areas Beverages and Sweet. The division additionally
launched new products and expanded existing ranges such as the citrus
oil line NATURALLY CITRUS!® used primarily in soft drink
manufacturing.

On a regional basis, Flavor & Nutrition achieved strongest growth
rates in Latin America: The 21 % rise in sales at local currency was
mainly driven by the robust demand from local and global customers in
the application areas Beverages and Sweet. The second strongest
region of this segment, Asia/Pacific, reported a 14 % rise in sales
and mainly profited from the advantageous developments in the
Beverages application area. The region North America also reported
strong sales growth of 13 %, benefiting especially from its focus on
key customers. EAME reported an 8 % rise in sales which was supported
by both, the established markets in Western Europe as well as the
emerging markets in Eastern Europe and Africa.

In the first half of 2010, sales rose by 12.9 % (11.4 % at local
currency) to EUR 385.6 million (EUR 341.5 million). EBITDA increased
by over one third, from EUR 68.0 million to EUR 92.2 million, while
the EBITDA margin rose to an impressive 23.9 % (from 19.9 % the
previous year).

Outlook for Full Year 2010 specified Based on the strong growth in
the first six months Symrise enters the second half of the year with
optimism: the Group is expecting further growth, albeit somewhat less
dynamic than in the first half due to the higher reference values and
the generally more moderate economic development. For 2010, Symrise
aims to grow faster than the market again and expects sales growth at
local currency of at least 8 %. Under the assumption that raw
material prices for 2010 will remain at last year´s levels, the
Management Board also emphasizes its goal of attaining an EBITDA
margin of over 20.0 %.

In addition, the Management Board confirms its objective of further
reducing the net debt (including pension provisions) to EBITDA ratio
to a level of between 2.0 and 2.5 over the medium-term.

EUR million HY 2009 HY 2010 Change in % Change in % at lc
Sales 685.1 797.5 16.4 13.9
EBITDA 118.6 177.7 50 49
EBITDA margin in % 17.3 22.3
EBIT 77.1 133.7 73 73
EBIT margin in % 11.2 16.8 - -
Net income for
the period 41.0 88.8 117 -
EPS in EUR 0.35 0.75 117 -
Operating cash flow 89.9 74.7

Divisions
Scent & Care
Sales 343.6 411.9 19.9 16.5
EBITDA 50.6 85.5 69 67
EBITDA margin in % 14.7 20.7 - -

Flavor & Nutrition
Sales 341.5 385.6 12.9 11.4
EBITDA 68.0 92.2 36 36
EBITDA margin in % 19.9 23.9 - -

31.12.09 30.06.10
Balance sheet total 1,895.2 2,087.1
Capital ratio in % 36.4 38.3
Net debt (incl. pension
provisions)/EBITDA 3.1 2.7
Employees/FTE¹ 4,954 5,219

¹ Not including apprentices and trainees, FTE = full time equivalent

lc= at local currency

About Symrise

Symrise is a global supplier of fragrances and flavorings while also
manufacturing raw materials and active ingredients for the perfume,
cosmetics and food industries.

Its sales of EUR 1.36 billion in 2009 place the company among the top
four in the international flavors and fragrances market.
Headquartered in Holzminden, Germany, Symrise is represented in over
35 countries in Europe, Asia, the United States and South America.

Used by manufacturers of perfumes, cosmetics and foods, our products
are an inseparable part of daily life. At Symrise we combine an
awareness of consumer trends with cutting-edge technologies, focusing
on innovative fashion and lifestyle products that have additional
practical value for the consumer. Symrise - always inspiring more…
www.symrise.com

end of announcement euro adhoc
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ots Originaltext: Symrise AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

Press Contact:

Bernhard Kott

phone +49 (0)5531 90-1721

bernhard.kott@symrise.com

Investor's contact:

Dr. Andrea Rolvering

phone +49 (0)5531 90-1879

andrea.rolvering@symrise.com

Branche: Chemicals
ISIN: DE000SYM9999
WKN: SYM999
Index: MDAX
Börsen: Frankfurt / regulated dealing/prime standard
Berlin / free trade
Hamburg / free trade
Stuttgart / free trade
Düsseldorf / free trade
Hannover / free trade
München / free trade