Kaiseraugst (Switzerland) / Maastricht (Netherlands), April 30, 2025 – Global nutrition and health giant DSM-Firmenich reported a strong start to 2025, posting a 40% increase in adjusted EBITDA and 8% organic sales growth for Q1. The company is advancing its strategic transformation by finalising the sale of its Feed Enzymes business for €1.5 billion and progressing with its planned exit from the broader Animal Nutrition & Health (ANH) division.
This decisive pivot comes amid a €1 billion share buyback program, an enhanced focus on innovation, and continued execution of synergy programs aimed at cost efficiency and sales acceleration.
Strong Financial Momentum and Outlook Maintained
In Q1 2025, dsm-firmenich reported €3.27 billion in sales (up 7% YoY), with organic growth across all divisions. Adjusted EBITDA climbed to €650 million, a 40% surge compared to the same period last year, supported by operational efficiencies and a €200 million contribution from self-help initiatives.
The company reaffirmed its full-year guidance, forecasting at least €2.4 billion in adjusted EBITDA, which includes temporary benefits from a global vitamin supply disruption.
Animal Nutrition: Strategic Exit Amid Surging Profitability
The Animal Nutrition & Health (ANH) unit recorded standout results, with sales up 17% and EBITDA skyrocketing by 675% to €186 million. Organic growth reached 19%, driven by a 17% price hike and improved volume in performance solutions. This surge was further fueled by temporary price effects in the vitamin segment, contributing €85 million to Q1 EBITDA.
Despite these gains, dsm-firmenich remains committed to divesting from ANH, aligning with its 2025 strategy to sharpen its focus on human nutrition, health, and beauty.
Expert Insight:
"The significant jump in ANH profitability is a short-term gain, but the long-term strategic focus lies in human-centric innovation," said a dsm-firmenich representative. "This realignment allows us to better serve high-growth markets with science-based, sustainable solutions."
Segment Performance Highlights
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Taste, Texture & Health (TTH): Delivered 7% organic sales growth, with strong momentum in dairy, beverages, and pet food sectors.
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Health, Nutrition & Care (HNC): Achieved 7% organic growth, driven by recovery in dietary supplements and early life nutrition.
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Perfumery & Beauty (P&B): Posted 2% growth, with strong demand in fine fragrances but softness in sun care products.
Strategic Vision: Innovation, Sustainability, and Portfolio Focus
The company’s 2025 strategy emphasizes:
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Accelerated innovation-led growth
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€100 million in cost and sales synergies
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Completion of its vitamin transformation program
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Exit from ANH to streamline its business
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Continued leadership in sustainability for people and the planet
Relevance to India’s Dairy Sector
With dsm-firmenich exiting the animal nutrition space, this development signals a shift for Indian dairy producers and integrators reliant on imported vitamin and feed solutions. The focus on precision farming and sustainable performance solutions may spark demand for new partnerships or localised production models.