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Haifa-based flavor and fine ingredient producer Frutarom reported a 70.4% rise in 2005 profits as acquisitions and growth in its core activities accelerated the implementation of its growth strategy for the year.
Net profits were $26.9m., up from $15.8m. in 2004, while earnings per share grew 44% to 49 cents per share. Revenue rose 24% to $243.8m. from $196.8m.
Fourth-quarter net income grew to $4.9m. from $3m., while sales slid 7.6% on currency fluctuations and a weak market for processed foods manufacturers in Europe.
Frutarom CEO and President Ori Yehudai said that during 2005 the company's acquisitions of Swiss company Flachsmann and the European food systems activity from IFF during the previous two years were successfully integrated.
"These acquisitions provide Frutarom with many new cross-selling opportunities between the new customers and products added by the acquisition and Frutarom's existing customers and products," Yehudai said.
In January this year, Frutarom agreed to acquire 70% of the Nesse Group with an option to acquire the remaining 30%.