CPL AROMAS REPORTS RECORD GROWTH
Financial results for the year ending 31 March 2017
Financial Highlights
• Record sales and profits growth
• Sales up 19% in 2016/2017 compared with 2015/16
• Sales stood at £85.0 million compared with £71.6 million in 2015/16.
• Far East – the Group’s largest market – grew by 8% y.o.y.
• South American sales growth up 17% y.o.y.
Operational Highlights
• Significant investment (£2million in recent years) in its R&D centres across the world.
• Launch of a £1 million R&D facility adjacent to its existing Northamptonshire site in the UK.
• New corporate branding unveiled.
• Formation of dedicated Fine Fragrance Unit.
• Environmental and Social sustainability programmes have been strengthened and charity CAFOD received a £240,000 donation.
London, November 2017 — CPL Aromas, the world’s leading ‘fragrance-only’ fragrance house has reported record sales and profits for the business in the twelve months ending 31 March 2017, with sales growth of 19% y.o.y. The Group, which is privately-owned, achieved sales of £85.0 million in 2016/2017.
REGIONAL PERFORMANCE
Impressive sales growth was achieved in several markets around the world as CPL Aromas continued to increase its presence in key regions.
South America produced sales growth of 17% in local currency terms, whilst the Group’s largest market, the Far East, grew by 8%.
Growth in established European markets was more modest in comparison but included some notable successes with major clients despite a highly competitive market place.
Whilst the business climate in the Middle East remained challenging, CPL Aromas has maintained its position as the leading fragrance manufacturer in the region where it is the only international fragrance house with production facilities in the UAE.
MAJOR PROJECTS
During the year, the Group made several capital investments in the business. Commenting on these, CEO Mr Chris Pickthall said: “The business continues to invest for the future and the last year has seen the implementation of important new capital projects across the Group. Our continued focus on new product development relies on having access to world-class facilities and last year we opened an important global R&D facility adjacent to our Brixworth site in the UK. This new centre incorporates state-of-the-art testing and product performance equipment facilitating research for our fragrance technologies”.
The UK R&D facility includes a dedicated encapsulation research laboratory to further develop the company’s innovative Aromacore technology that provides clients with longer lasting fragrances for household and personal care products.
In India, the group purchased new premises to create a 10,000-sq. ft. facility in the Lower Parel district of Mumbai. It will feature a creative perfumery centre, product performance and evaluation facilities together with a sales and marketing unit.
Chris Pickthall added: “During the year, we unveiled new corporate branding across the Group. This was officially launched at the start of the new financial year, in April 2017. This significant investment has been introduced to more accurately represent the goals and ambitions of the company. The new corporate identity brings with it a more stylish and prestigious image, drawing inspiration from our links to the world of fashion which is itself closely linked to the world of fine fragrance. Recent investment in our dedicated fine fragrance unit, together with our new brand identity, have helped deliver new wins with prestigious fine fragrance brands across the world”.
CORPORATE, SOCIAL RESPONSIBILITY
CPL Aromas is committed in its efforts to purchase more of its products from sustainable sources and to work with companies that seek to minimize the impact on the environment. The company works with suppliers in Sri Lanka that are able to guarantee a fair price to the farmers for their products whilst delivering an environmentally responsible and sustainable product. “These products will be used in our fragrance creations around the world and we are actively looking to agree other similar partnerships elsewhere,” said Mr Pickthall.
The group remains committed in its support for CAFOD, a charitable organisation, whose work continues to have a transformational effect on the lives of those who are needy, vulnerable and excluded, often due to poverty, in deprived areas of the world. CPL Aromas is privileged to have had the opportunity of working closely with this inspirational organisation that delivers real change to some of the world’s most vulnerable and excluded people. An increased donation to CAFOD of £240,000 was made.
In addition, CPL Aromas is a supporter of The College of Fragrance for the Visually Impaired (COFVI). Chris Pickthall said: “I am glad that we have been able to work more closely with COFVI during the year helping to train visually impaired students in the technical aspects of Perfumery. Scientific research commissioned by CPL Aromas shows that those who are visually impaired have a heightened sense of smell. We are working on programmes in India and the UK to establish employment opportunities in the fragrance industry for people who are blind and partially sighted and I am delighted to report that we have been able to persuade some of our competitors to help place some of the graduates of the college into full time work in our industry”.