Si Ku's questions to International Flavors & Fragrances Inc (IFF) leadership • Q4 2024
Question
Si Ku asked for a detailed breakdown of the implied growth rates within the Nourish and Health & Biosciences segments, questioning the necessary growth in Taste to offset slower growth in Functional Ingredients, and the dynamic between enzymes and probiotics.
Answer
CFO Michael DeVeau confirmed the relative sizes of Taste ($2.5B) and Food Ingredients ($3.5B). He noted that while Taste's strong double-digit growth will normalize in 2025, it will still need to grow disproportionately faster than the more muted Food Ingredients business. For Health & Biosciences, he stated that all sub-businesses are targeting modest growth, but highlighted that the Health business (probiotics), which has been a 'pain point,' is expected to recover in 2025, providing a boost to both top-line growth and margins.