Dsm-firmenich sees boost as weight-loss drugs spur healthier choices
Weight-loss drugs seen boosting demand for dietary supplements
Preventive healthcare could raise interest in new ingredients
Updates paragraph 12 to make it clear company is reviewing options including sale or IPO for Animal Nutrition division
By Dimitri Rhodes and Matteo Allievi
June 10 (Reuters) -The soaring popularity of weight-loss drugs are likely to spur demand for dietary supplements and healthier food formulations, creating growth opportunities for dsm-firmenich, the CEO of the flavours to nutrition company told Reuters.
Drugs such as Novo Nordisk's NOVOb.CO Wegovy and Ozempic have taken the health industry by storm, offering the prospect of significant weight loss for obese people when combined with lifestyle changes such as healthier eating and exercise.
"Everybody is super happy about Ozempic and the likes," Dimitri de Vreeze said in an interview, noting a shift towards preventative healthcare impacting not just consumers but also insurers and governments.
Dsm-firmenich, whose Health, Nutrition and Care unit makes dietary supplements and medical nutrition products, is well placed to help the switch to healthier lifestyles, he said.
"People who lose weight very quickly find it very difficult to build up muscle and therefore protein intake is absolutely key, as well as absorption of nutrients," he said.
Berenberg analyst Sebastian Bray notes that any boost for flavours and ingredients makers from products linked to weight-loss drugs would need to outweigh the potential hit to business with makers of high-calorie foods and beverages, such as snacks, takeaway meals and fizzy drinks.
However, de Vreeze said he expected innovation in new ingredients, such as sugar substitutes, to support growth in an environment of decreasing calorie consumption.
Dsm-firmenich last week set a target for underlying sales to increase at a compound annual rate of 5-7% by 2028, similar to peers such as Symrise SY1G.DE and Givaudan GIVN.S. The upper end implies a "faster growth rate than for both the ingredients sector and consumer staple sectors as a whole," Bray noted.
The company, whose fragrances are used in the perfumes of French luxury giants LVMH LVMH.PA and Kering PRTP.PA, also sees a boost from a renewed interest in scents among the young.
"The world is in a pace of change where the younger generation finds their identity and their wellbeing through fragrances and beauty," de Vreeze said.
To focus on perfumes and flavours, the group is planning to carve-out its Animal Health and Nutrition division by the end of 2025, following a 76% plunge in that business's core earnings last year.
De Vreeze said the company was exploring strategic options for the division including an IPO, a sale, or a joint venture in which it would have a minority stake, which it would then gradually unwind.
Reporting by Dimitri Rhodes and Matteo Allievi; Editing by Mark Potter and Susan Fenton
면책조항: XM Group 회사는 체결 전용 서비스와 온라인 거래 플랫폼에 대한 접근을 제공하여, 개인이 웹사이트에서 또는 웹사이트를 통해 이용 가능한 콘텐츠를 보거나 사용할 수 있도록 허용합니다. 이에 대해 변경하거나 확장할 의도는 없습니다. 이러한 접근 및 사용에는 다음 사항이 항상 적용됩니다: (i) 이용 약관, (ii) 위험 경고, (iii) 완전 면책조항. 따라서, 이러한 콘텐츠는 일반적인 정보에 불과합니다. 특히, 온라인 거래 플랫폼의 콘텐츠는 금융 시장에서의 거래에 대한 권유나 제안이 아닙니다. 금융 시장에서의 거래는 자본에 상당한 위험을 수반합니다.
온라인 거래 플랫폼에 공개된 모든 자료는 교육/정보 목적으로만 제공되며, 금융, 투자세 또는 거래 조언 및 권고, 거래 가격 기록, 금융 상품 또는 원치 않는 금융 프로모션의 거래 제안 또는 권유를 포함하지 않으며, 포함해서도 안됩니다.
이 웹사이트에 포함된 모든 의견, 뉴스, 리서치, 분석, 가격, 기타 정보 또는 제3자 사이트에 대한 링크와 같이 XM이 준비하는 콘텐츠 뿐만 아니라, 제3자 콘텐츠는 일반 시장 논평으로서 "현재" 기준으로 제공되며, 투자 조언으로 여겨지지 않습니다. 모든 콘텐츠가 투자 리서치로 해석되는 경우, 투자 리서치의 독립성을 촉진하기 위해 고안된 법적 요건에 따라 콘텐츠가 의도되지 않았으며, 준비되지 않았다는 점을 인지하고 동의해야 합니다. 따라서, 관련 법률 및 규정에 따른 마케팅 커뮤니케이션이라고 간주됩니다. 여기에서 접근할 수 있는 앞서 언급한 정보에 대한 비독립 투자 리서치 및 위험 경고 알림을 읽고, 이해하시기 바랍니다.
