DAVY VIEW

Following a particularly strong FY25, we expect organic sales growth to moderate to 3.9% in H1-26 (H1-25: +9.2%) with trends differentiated across divisions. We forecast a rebound in Fragrance, while Flavors and Raw Materials see softer growth as both lap more challenging comparatives. We expect margin pressure to be a key feature of the H1-26 print and forecast group EBITDA to decline 13% year-on-year (yoy) (group margin -320bps yoy), reflecting tougher comparatives following the prior year’s favourable product mix, alongside FX translation headwinds. Over the medium term, with the group’s natural and premium positioning intact, we see the investment case as unchanged. Robertet will release its interim trading update on July 23rd.