Specialist
Former executive at Symrise AG
Agenda
- Symrise's (ETR: SY1) global market growth outlook, product releases and their impact on growth expectations
- APAC growth contributors to total growth drivers – runway and challenges
- Reliance on F&F (flavours and fragrances) and expansion into probiotics through Diana
- Leadership changes and long-run challenges
Questions
1.
What is the growth rate for the APAC flavours and fragrances market compared to developed markets and the global average?
2.
Is there additional penetration growth from natural and functional ingredients?
3.
How do you expect the growth of naturals and functionals to change globally and within the APAC region? It seems that the developed countries are going from naturals to functionals and then the growth might slow down, but in APAC natural penetration is still occurring and now you have functional penetration on top as well, so that seems incremental in terms of growth.
4.
Do you expect the growth rate to be higher or lower than it has been historically?
5.
Do you think the 6-9% growth rate in APAC will increase to 7-10%?
6.
For Symrise, APAC has remained around 21% of sales since 2015. Is Symrise struggling to keep up with the market growth rate organically or is the difference accounted for by inorganic growth in other regions that level out the growth rates for Symrise?
7.
Do you think Symrise has been growing organically at around the market growth rate in APAC or has it been gaining or losing share?
8.
Who are the major B2B customers in the APAC region? How do the customers behave and what are their typical buying behaviours? Are there any significant differences between western players operating in APAC and domestic APAC players?
9.
Could you outline the competencies of Symrise within the APAC region and how it has managed to cater for the different businesses’ buying behaviours?
10.
How would you compare the competencies and infrastructure of Symrise in APAC to Givaudan, IFF [International Flavors & Fragrances] and Firmenich?
11.
How do local players and speciality chemicals businesses fit into the industry landscape? In many chemical categories China-based players are taking an increasingly important market position. Are similar things happening in flavours and fragrances? How is the domestic competition advancing? Are they at an advantage with customers who want domestic suppliers?
12.
Do you think smaller players could ever account for a significant share of the market and take meaningful share from Symrise or Givaudan?
13.
Why are margins so low in APAC? Do you expect them to increase over time?
14.
How do you think the product release cycle was impacted by coronavirus? Do you expect any knock-on effects over time?
15.
What risks do you think are associated with the leadership changes at Symrise? Do you think the changes have been a net positive?
