By Robb M. Stewart
Sensient Technologies Corp. warned that foreign-currency headwinds will weigh on its earnings this year, after currency translation dented revenue in the final quarter of 2021.
The manufacturer of colors, flavors and other specialty ingredients on Friday forecast per-share earnings growth for the full year at a mid-teen pace, from $2.81 a share in 2021. The guidance doesn't include any asset-sale costs, operational improvement plan costs or the results of sold businesses, and is expected to be impacted by about 10 cents of foreign currency headwinds, Sensient said.
Local-currency revenue is expected to grow at a mid-single-digit rate, while local currency-adjusted per-share earnings are expected to grow at a high single-digit rate, the company said.
For the final quarter of 2021, Sensient recorded a rise in earnings to 65 cents a share from 59 cents a year earlier, while revenue increased to $340.4 million from $334.7 million the year before. Foreign currency translation decreased revenue by about 1% and per-share earnings by roughly 2% in the quarter, it said.
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(END) Dow Jones Newswires
February 11, 2022 10:45 ET (15:45 GMT)Copyright (c) 2022 Dow Jones & Company, Inc.