Sensient(US:SXT)2024-11-05 16:47Revenue and Income - Revenue for the three months ended September 30, 2024, was $392.6 million, up from $363.8 million in the same period of 2023, representing an increase of 7.6%[45] - Operating income for the three months ended September 30, 2024, was $50.5 million, an increase of 13.4% from $44.5 million in 2023[49] - The company reported a 1.8% increase in operating income for the nine months ended September 30, 2024, totaling $149.6 million compared to $147.0 million in 2023[50] - Total revenue increased by 7.9% for the nine months ended September 30, 2024, reaching $1.2 billion[66] - Total operating income increased by 13.4% for Q3 2024, with a total of $XX million[68] Margins and Expenses - Gross margin improved to 33.2% for the three months ended September 30, 2024, compared to 31.2% for the same period in 2023, driven by higher volumes and selling prices[46] - Selling and administrative expenses as a percentage of revenue increased to 20.3% for the three months ended September 30, 2024, from 19.0% in 2023, influenced by Portfolio Optimization Plan costs[47] - Corporate & Other operating expenses increased to $14.5 million for Q3 2024, primarily due to Portfolio Optimization Plan costs[79] Earnings and Share Performance - Diluted earnings per share (GAAP) for the three months ended September 30, 2024, was $0.77, compared to $0.75 in 2023, marking a 2.7% increase[60] - Diluted earnings per share increased by 2.7% to $XX for Q3 2024[68] Tax and Interest - The effective income tax rate for the three months ended September 30, 2024, was 23.7%, up from 17.5% in 2023, affected by changes in estimates related to foreign tax items[52] - Interest expense rose to $7.7 million for the three months ended September 30, 2024, compared to $6.3 million in 2023, primarily due to higher average interest rates[51] Cash Flow and Capital Expenditures - Net cash provided by operating activities was $135.8 million for the nine months ended September 30, 2024, up from $106.8 million in 2023[84] - Capital expenditures decreased to $36.1 million for the nine months ended September 30, 2024, from $67.7 million in 2023[85] Segment Performance - Flavors & Extracts segment revenue increased by approximately 6% to $203.3 million for Q3 2024 compared to $191.0 million in Q3 2023[66] - Color segment revenue rose by approximately 12% to $162.1 million for Q3 2024 from $144.9 million in Q3 2023[70] - Asia Pacific segment revenue grew by approximately 14% to $41.8 million for Q3 2024 compared to $36.8 million in Q3 2023[75] Strategic Initiatives - The Portfolio Optimization Plan incurred costs of $1.2 million for the three months ended September 30, 2024, primarily for employee separation and professional services[55] - The Company expects to manage inflationary impacts through pricing and other actions, with no material impact on financial position for Q3 2024[83]