v3.26.1
Segment Information
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Information SEGMENT INFORMATION
The Company’s reportable segments are: Taste, Health & Biosciences, and Scent. Beginning in the second quarter of 2026, the Company determined that the held for sale and discontinued operations criteria were met for the entirety of the Food Ingredients segment, after certain perimeter adjustments, and classified its results as discontinued operations for the periods presented. Accordingly, the Food Ingredients segment results have been excluded from the segment information herein. Prior to the sale of the Pharma Solutions disposal group in the second quarter of 2025, Pharma Solutions was also a reportable segment.
The Company’s CODM evaluates the performance of these reportable segments based on its Adjusted Operating EBITDA, which is defined as Income from continuing operations before taxes, depreciation and amortization expense, interest expense, restructuring and other charges and certain items that are not related to recurring operations. Certain corporate costs previously allocated to the Food Ingredients business for segment reporting purposes did not qualify for classification within discontinued operations and have been reallocated to the Company’s three remaining segments.
The Company’s CODM uses Adjusted Operating EBITDA to evaluate segment performance in deciding whether to reinvest resources into the segment or into other parts of the entity. Budget versus actual results of Adjusted Operating EBITDA are used in assessing performance of the segment and in establishing certain compensation payouts. The Company’s CODM also uses Adjusted Operating EBITDA in competitive analysis by benchmarking to the Company’s competitors. Adjusted Operating EBITDA excludes results reported as discontinued operations.
The Company’s CODM does not use assets by segment to evaluate segment performance or allocate resources and thus, total assets by segment are not disclosed.
Reportable segment information was as follows:
Three Months Ended June 30, 2026
TasteHealth & BiosciencesScentTotal
Net sales $688 $601 $665 $1,954 
Cost of sales (415)(313)(374)
Research & development expenses (48)(58)(64)
Selling & administrative expenses (120)(114)(112)
Depreciation expense add-back (a) 19 34 19 
Adjusted Operating EBITDA from Continuing Operations$124 $150 $134 $408 
Reconciliation of Adjusted Operating EBITDA from Continuing Operations:
Total Adjusted Operating EBITDA from Continuing Operations$408 
Depreciation & Amortization(154)
Interest Expense(46)
Other Expense, net (b)(20)
Restructuring and Other Charges (c)(6)
Losses on Business Disposals (e) (1)
Loss on Assets Classified as Held for Sale (f)(27)
Divestiture Costs (g)(10)
Strategic Initiative Costs (h)(9)
Regulatory Costs (i)(71)
Entity Realignment Costs (k)(1)
Other (l)1 
Income from continuing operations before taxes$64 

Six Months Ended June 30, 2026
TasteHealth & BiosciencesScentTotal
Net sales $1,368 $1,176 $1,316 $3,860 
Cost of sales (808)(622)(749)
Research & development expenses (93)(111)(120)
Selling & administrative expenses (228)(219)(209)
Depreciation expense add-back (a) 37 66 37 
Adjusted Operating EBITDA from Continuing Operations$276 $290 $275 $841 
Reconciliation of Adjusted Operating EBITDA from Continuing Operations:
Total Adjusted Operating EBITDA from Continuing Operations$841 
Depreciation & Amortization(306)
Interest Expense(90)
Other Expense, net (b)(33)
Restructuring and Other Charges (c)(10)
Losses on Business Disposals (e)(1)
Loss on Assets Classified as Held for Sale (f)(27)
Divestiture Costs (g)(15)
Strategic Initiative Costs (h)(18)
Regulatory Costs (i)(81)
Entity Realignment Costs (k)(2)
Other (l)2 
Income from continuing operations before taxes$260 
Three Months Ended June 30, 2025
TasteHealth & BiosciencesScentPharma SolutionsTotal
Net sales $654 $559 $603 $103 $1,919 
Cost of sales (397)(294)(336)(68)
Research & development expenses (49)(55)(62)(3)
Selling & administrative expenses (108)(101)(101)(10)
Depreciation expense add-back (a) 17 30 17 — 
Adjusted Operating EBITDA from Continuing Operations$117 $139 $121 $22 $399 
Reconciliation of Adjusted Operating EBITDA from Continuing Operations:
Total Adjusted Operating EBITDA from Continuing Operations$399 
Depreciation & Amortization(146)
Interest Expense(61)
Other Expense, net (b)(20)
Restructuring and Other Charges (c)(20)
Losses on Business Disposals (e)(111)
Gain on Extinguishment of Debt (j)488 
Divestiture Costs (g)(26)
Strategic Initiative Costs (h)(6)
Regulatory Costs (i)(53)
Entity Realignment Costs (k)(4)
Other (l)(2)
Income from continuing operations before taxes$438 

Six Months Ended June 30, 2025
TasteHealth & BiosciencesScentPharma SolutionsTotal
Net sales $1,304 $1,079 $1,217 $369 $3,969 
Cost of sales (791)(576)(679)(248)
Research & development expenses (90)(106)(120)(8)
Selling & administrative expenses (209)(193)(191)(42)
Depreciation expense add-back (a) 32 58 32 5 
Adjusted Operating EBITDA from Continuing Operations$246 $262 $259 $76 $843 
Reconciliation of Adjusted Operating EBITDA from Continuing Operations:
Total Adjusted Operating EBITDA from Continuing Operations$843 
Depreciation & Amortization(288)
Interest Expense(132)
Other Expense, net (b)(39)
Restructuring and Other Charges (c)(35)
Impairment of Goodwill (d)(34)
Losses on Business Disposals (e)(111)
Gain on Extinguishment of Debt (j)488 
Divestiture Costs (g)(77)
Strategic Initiative Costs (h)(14)
Regulatory Costs (i)(64)
Entity Realignment Costs (k)(5)
Other (l)(6)
Income from continuing operations before taxes$526 
_______________________
a)There is depreciation recorded within cost of sales, research & development expenses, and selling & administrative expenses, which is then added back to calculate segment Adjusted Operating EBITDA from continuing operations. This reflects how the CODM reviews Segment results.
b)Please refer to Note 9 for additional information.
c)Represents costs related to severance as part of the IFF Productivity Program.
d)For 2025, represents the impairment of goodwill attributable to the portion of the Food Ingredients reporting unit that is not included within the Food Ingredients or SCL disposal groups.
e)
For 2026, primarily represents losses recognized as part of final settlement adjustments related to the divestiture of the Nitrocellulose business in 2025. For 2025, primarily represents losses recognized as part of the sale of the Pharma Solutions disposal group, offset in part by gains recognized as part of the sale of the Nitrocellulose business. Please refer to Note 4 for additional information.
f)For 2026, represents the loss on assets classified as held for sale related to the CitraSource business within the Scent segment.
g)For 2026 and 2025, primarily represents costs related to the Company’s completed and anticipated divestitures, excluding costs related to the planned divestiture of the Food Ingredients disposal group. These costs primarily consisted of external consulting fees, professional and legal fees and salaries of individuals who are fully dedicated to such efforts.
h)Represents costs related to the Company’s strategic assessment and business portfolio optimization efforts and reorganizing the Global Business Services (GBS) Centers. In 2026, the GBS reorganization has been expanded to include additional functions such as customer service, supply chain and logistics in addition to human resources, accounting and finance, as well as additional efforts to automate processes and expand the use of artificial intelligence (AI) for these functions. These costs primarily consisted of external consulting fees and salaries of individuals who are fully dedicated to such efforts. Costs to develop software and AI are only included to the extent that they do not qualify for capitalization.
i)For 2026 and 2025, represents costs primarily related to provisions recognized for the ongoing investigations of the fragrance businesses and legal fees incurred.
j)
For 2025, represents the gain recognized on the extinguishment of debt in connection with the completion of tender offers. Please refer to Note 14 for additional information.
k)Represents primarily consulting costs related to the Company’s implementation of a phased restructuring initiative aimed at optimizing its legal entity framework.
l)For 2025, represents the net impact of costs related to severance, including accelerated stock compensation expense, for certain executives who have separated from the Company, in addition to consulting costs related to the Company’s implementation of a phased restructuring initiative aimed at optimizing its legal entity framework.

Reportable segment capital expenditures consisted as follows:
Three Months Ended June 30,
(DOLLARS IN MILLIONS)20262025
Taste$33 $15 
Health and Biosciences45 26 
Scent 20 12 
Pharma Solutions— 10 
Consolidated $98 $63 

Six Months Ended June 30,
(DOLLARS IN MILLIONS)20262025
Taste$67 $56 
Health and Biosciences97 61 
Scent 69 53 
Pharma Solutions— 38 
Consolidated $233 $208 
Net sales, which are attributed to individual regions based upon the destination of product delivery, were as follows:
Three Months Ended June 30,Six Months Ended June 30,
(DOLLARS IN MILLIONS)2026202520262025
Europe, Africa and Middle East$715 $689 $1,411 $1,401 
Greater Asia501 464 978 955 
North America481 516 979 1,113 
Latin America257 250 492 500 
Consolidated$1,954 $1,919 $3,860 $3,969 
Three Months Ended June 30,Six Months Ended June 30,
(DOLLARS IN MILLIONS)2026202520262025
Net sales related to the U.S.$454 $493 $942 $1,042 
Net sales attributed to all foreign countries1,500 1,426 2,918 2,927 
No country other than the U.S. had net sales greater than 10% of total consolidated net sales for each of the three and six months ended June 30, 2026 and 2025.