Question · Q3 2025
Robert James Labick asked about the drivers behind the accelerated growth in Balchem's food ingredients and solutions business, particularly in the context of 'better-for-you' trends, and the outlook for its subsegments in 2026. He also inquired about the current stage of market penetration for key nutrient minerals like choline, K2, MSM, and magnesium, and the remaining runway for growth and awareness.
Answer
Chairman, President, and CEO Ted Harris explained that the Human Nutrition and Health segment performed strongly, with the nutrient portfolio growing 30% and food ingredients up almost 7%. He attributed the food business's growth to 'better-for-you' trends, citing examples like high-protein snacks (meat sticks, ZCRISPs), high-fiber nutritional beverages addressing GLP-1 drug side effects, and less processed foods. He expects these trends to continue driving higher growth. Regarding nutrient minerals, Mr. Harris stated there's a significant runway for growth, as most of their portfolio is not well-known, with market opportunities estimated at 3-4x current size. He sees strong double-digit growth continuing through two vectors: replacing less bioavailable minerals and driving new users.