WISCONSIN
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1-7626
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39-0561070
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(State or other jurisdiction of incorporation)
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(Commission File Number)
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(IRS Employer Identification No.)
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☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
ITEM 2.02 | RESULTS OF OPERATIONS AND FINANCIAL CONDITION. |
ITEM 9.01 | FINANCIAL STATEMENTS AND EXHIBITS. |
Exhibit 99.1: | Sensient Technologies Corporation Earnings Press Release for the Quarter Ended March 31, 2016. |
SENSIENT TECHNOLOGIES CORPORATION
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(Registrant)
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By:
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/s/ John L. Hammond
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Name:
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John L. Hammond
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Title:
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Senior Vice President, General Counsel and Secretary
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Date:
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April 19, 2016
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Exhibit 99.1 | Sensient Technologies Corporation Earnings Press Release for the Quarter Ended March 31, 2016. |
Contact:
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John Collopy
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Sensient Technologies Corporation
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Page 2
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Earnings Release – Quarter Ended March 31, 2016
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April 19, 2016
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Sensient Technologies Corporation
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Page 3
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Earnings Release – Quarter Ended March 31, 2016
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April 19, 2016
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Sensient Technologies Corporation
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Page 4
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Earnings Release – Quarter Ended March 31, 2016
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April 19, 2016
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Sensient Technologies Corporation
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Page 5
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Earnings Release – Quarter Ended March 31, 2016
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April 19, 2016
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Sensient Technologies Corporation
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Page 6
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(In thousands, except percentages and per share amounts)
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Consolidated Statements of Earnings
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Three Months Ended March 31,
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|||||||||||
2016
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2015
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% Change
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||||||||||
Revenue
|
$
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342,468
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$
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346,226
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-1.1
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%
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||||||
Cost of products sold
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226,625
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228,793
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-0.9
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%
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||||||||
Selling and administrative expenses
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68,324
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70,987
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-3.8
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%
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||||||||
Operating income
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47,519
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46,446
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2.3
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%
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||||||||
Interest expense
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4,800
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3,915
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||||||||||
Earnings before income taxes
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42,719
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42,531
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||||||||||
Income taxes
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11,526
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11,796
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||||||||||
Earnings from continuing operations
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31,193
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30,735
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||||||||||
Loss from discontinued operations, net of tax
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(22
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)
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(209
|
)
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||||||||
Net earnings
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$
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31,171
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$
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30,526
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2.1
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%
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||||||
Earnings per share of common stock:
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||||||||||||
Basic:
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||||||||||||
Continuing operations
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$
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0.70
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$
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0.65
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||||||||
Discontinued operations
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-
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-
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||||||||||
Earnings per share of common stock
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$
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0.70
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$
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0.65
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||||||||
Diluted:
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||||||||||||
Continuing operations
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$
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0.69
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$
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0.65
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||||||||
Discontinued operations
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-
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-
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||||||||||
Earnings per share of common stock
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$
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0.69
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$
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0.64
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||||||||
Average common shares outstanding:
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||||||||||||
Basic
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44,718
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47,178
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||||||||||
Diluted
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44,981
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47,502
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Three Months Ended March 31,
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||||||||||||
2016
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2015
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% Change
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||||||||||
Operating income from continuing operations (GAAP)
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$
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47,519
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$
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46,446
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2.3
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%
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||||||
Restructuring - Cost of products sold
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644
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141
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||||||||||
Restructuring - Selling and administrative
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2,698
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6,974
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||||||||||
Adjusted operating income
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$
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50,861
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$
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53,561
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-5.0
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%
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||||||
Net earnings from continuing operations (GAAP)
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$
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31,193
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$
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30,735
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1.5
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%
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||||||
Restructuring, before tax
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3,342
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7,115
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||||||||||
Tax impact of restructuring
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(862
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)
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(1,597
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)
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||||||||
Adjusted net earnings
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$
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33,673
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$
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36,253
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-7.1
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%
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||||||
Diluted EPS from continuing operations (GAAP)
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$
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0.69
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$
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0.65
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6.2
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%
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||||||
Restructuring, net of tax
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0.06
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0.12
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||||||||||
Adjusted diluted EPS
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$
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0.75
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$
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0.76
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-1.3
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%
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Sensient Technologies Corporation
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Page 7
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(In thousands, except per share amounts)
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Results by Segment
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Three Months Ended March 31,
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|||||||||||
Revenue
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2016
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2015
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% Change
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|||||||||
Flavors & Fragrances
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$
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198,339
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$
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205,978
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-3.7
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%
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||||||
Color
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126,034
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122,198
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3.1
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%
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||||||||
Asia Pacific
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29,707
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28,803
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3.1
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%
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||||||||
Intersegment elimination
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(11,612
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)
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(10,753
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)
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||||||||
Consolidated
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$
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342,468
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$
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346,226
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-1.1
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%
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Operating Income
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||||||||||||
Flavors & Fragrances
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$
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27,510
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$
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30,459
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-9.7
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%
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||||||
Color
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27,844
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26,263
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6.0
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%
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||||||||
Asia Pacific
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6,005
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5,651
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6.3
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%
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||||||||
Corporate & Other
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(13,840
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)
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(15,927
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)
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||||||||
Consolidated
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$
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47,519
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$
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46,446
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2.3
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%
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Consolidated Condensed Balance Sheets
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||||||||
March 31,
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2016
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2015
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||||||
Cash and cash equivalents
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$
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24,703
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$
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18,083
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||||
Trade accounts receivable, net
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252,328
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245,458
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||||||
Inventories
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403,849
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410,346
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||||||
Other current assets
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72,983
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38,730
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||||||
Total Current Assets
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753,863
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712,617
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||||||
Goodwill & intangible assets (net)
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415,330
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407,769
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||||||
Property, plant, and equipment (net)
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477,975
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463,583
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||||||
Other assets
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95,809
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96,436
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||||||
Total Assets
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$
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1,742,977
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$
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1,680,405
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||||
Trade accounts payable
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$
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94,339
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$
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84,990
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||||
Short term debt
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21,035
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19,467
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||||||
Other current liabilities
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98,458
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104,641
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||||||
Total Current Liabilities
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213,832
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209,098
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||||||
Long-term debt
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629,891
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483,856
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||||||
Accrued employee and retiree benefits
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19,903
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24,832
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||||||
Other liabilities
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11,884
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17,870
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||||||
Shareholders' Equity
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867,467
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944,749
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||||||
Total Liabilities and Shareholders' Equity
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$
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1,742,977
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$
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1,680,405
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Sensient Technologies Corporation
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Page 8
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(In thousands, except per share amounts)
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Consolidated Statements of Cash Flows
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||||||||
Three Months Ended March 31,
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2016
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2015
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||||||
Cash flows from operating activities:
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||||||||
Net earnings
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$
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31,171
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$
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30,526
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||||
Adjustments to arrive at net cash provided by operating activities:
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||||||||
Depreciation and amortization
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11,612
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12,384
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||||||
Stock-based compensation
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2,018
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337
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||||||
Loss on assets
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458
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2,488
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||||||
Deferred income taxes
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(1,349
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)
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4,382
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|||||
Changes in operating assets and liabilities
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2,263
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(19,528
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)
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|||||
Net cash provided by operating activities
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46,173
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30,589
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||||||
Cash flows from investing activities:
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||||||||
Acquisition of property, plant and equipment
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(14,120
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)
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(13,431
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)
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Proceeds from sale of assets
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37
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12,593
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||||||
Other investing activity
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(18
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)
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(24
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)
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||||
Net cash used in investing activities
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(14,101
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)
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(862
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)
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||||
Cash flows from financing activities:
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||||||||
Proceeds from additional borrowings
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95,562
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51,112
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||||||
Debt payments
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(87,284
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)
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(7,037
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)
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||||
Purchase of treasury stock
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(17,920
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)
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(58,017
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)
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||||
Dividends paid
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(12,163
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)
|
(11,932
|
)
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||||
Proceeds from options exercised and other
|
161
|
184
|
||||||
Net cash used in financing activities
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(21,644
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)
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(25,690
|
)
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||||
Effect of exchange rate changes on cash and cash equivalents
|
2,278
|
(6,283
|
)
|
|||||
Net increase (decrease) in cash and cash equivalents
|
12,706
|
(2,246
|
)
|
|||||
Cash and cash equivalents at beginning of period
|
11,997
|
20,329
|
||||||
Cash and cash equivalents at end of period
|
$
|
24,703
|
$
|
18,083
|
Supplemental Information
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||||||||
Three Months Ended March 31,
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2016
|
2015
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||||||
Depreciation and amortization
|
$
|
11,612
|
$
|
12,384
|
||||
Dividends paid per share
|
$
|
0.27
|
$
|
0.25
|