Sensient Technologies Corporation (NYSE:SXT) reported second-quarter financial results on Friday that aligned with Wall Street forecasts, as modest revenue gains and a jump in profitability underscored a solid performance across several business units.
Following the earnings report, the company’s shares ticked up 0.20% in pre-market trading.
For the quarter, Sensient posted earnings per share of $0.88, meeting consensus estimates. Revenue grew by 2.7% year-over-year to $414.2 million, just under the projected $416.51 million. On a local currency basis, the top line rose 2.1%.
Operating income rose sharply to $57.7 million, a 16.2% increase from $49.7 million in the same quarter of 2024. Local currency adjusted operating income climbed 16.9%, while adjusted EBITDA improved 14.1%.
“Sensient continued to build on a strong first quarter. Our results are a testament to our relentless focus on customer service and innovation,” said Paul Manning, Chairman, President, and CEO of Sensient. “I remain very confident about our performance in 2025 and beyond.”
The Color Group led the company’s segments in growth, with revenue up 6.9% to $179.3 million, supported by strength in the food and pharmaceutical categories. Operating income in the segment surged 23.6% to $38.9 million.
Strong momentum was also seen in the Asia Pacific Group, where revenue advanced 10.8% to $42.7 million and operating income increased by 13.5% to $8.9 million.
However, the Flavors & Extracts Group experienced a 2.8% drop in revenue to $203.3 million, attributed to reduced demand for natural ingredients. Despite the dip, operating income for the segment rose 8.8% to $28.5 million.
Looking ahead, Sensient reaffirmed its full-year 2025 outlook, targeting mid-single-digit local currency revenue growth and high single-digit to low double-digit increases in local currency adjusted diluted EPS. The company also raised its forecast for local currency adjusted EBITDA growth to the high-single-digit range, up from its prior mid-to-high single-digit guidance.
Sensient Technologies Corporation stock price
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