International Flavors & Fragrances Inc. (IFF) introduced Tonka Bean CO₂ Absolute, a natural ingredient that captures the authentic scent of freshly harvested tonka beans while delivering a richer, velvety aroma profile that includes brown‑sugar, buckwheat, and subtle cocoa notes. The extract is produced using renewable, recycled supercritical CO₂ at IFF’s extraction site in Aubrac, France, and is positioned as a high‑quality, low‑carbon alternative to traditional solvent‑extracted tonka absolutes. The CO₂ extraction process reduces energy consumption and eliminates petrochemical residues, achieving a 34% lower cradle‑to‑gate carbon footprint compared with conventional methods.
The launch is part of IFF’s broader Conscious Collection of sustainable, traceable natural ingredients. It follows a €10 million investment in the company’s Grasse facility, inaugurated in September 2025, which expands capacity for natural ingredient innovation. The new product underscores IFF’s commitment to sustainability and premium quality, reinforcing its leadership in the fragrance and flavor markets.
In the context of IFF’s recent financial performance, the company reported Q4 2025 results on February 11, 2026, with net sales of $2.59 billion—a 7% decline year‑over‑year. Revenue beat analyst expectations by $0.08 billion, driven by a 1% increase in comparable currency‑neutral sales and a 7% rise in adjusted operating EBITDA. However, earnings per share of $0.80 missed consensus estimates of $0.83, reflecting margin compression amid higher raw‑material costs and a shift toward lower‑margin food‑ingredient sales. The company’s balance sheet improved, with the net debt to credit‑adjusted EBITDA ratio falling to 2.6×, signaling stronger financial flexibility.
Market reaction to the earnings release was positive, with IFF’s stock rising 1.08% in pre‑market trading. Investors highlighted the revenue beat and balance‑sheet improvement as key drivers of the favorable response, while the EPS miss was tempered by the company’s emphasis on cost control and strategic investments.
Management emphasized the strategic significance of the new product. CEO Erik Fyrwald said, "IFF delivered a solid 2025 performance, meeting the full‑year financial commitments we set at the start of the year, despite a challenging operating environment. It was also a year of continued strategic progress. We invested in R&D, commercial capabilities, and capacity expansion to better serve customers, advance our innovation pipeline, and support future profitable growth." LMR Naturals general manager Bertrand de Préville added, "Our CO₂ extraction unit in Aubrac has enabled LMR to develop a collection of extracts that seamlessly blends sustainability with high hedonic profiles for perfumers. With the launch of Tonka Bean CO₂ Absolute, we're reaffirming our commitment to planet‑conscious supercritical CO₂ extraction and perfumery innovation—underscoring our leadership in premium natural ingredients for fine perfumery."
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