Debt information

Givaudan’s financial position remained solid at the end of 2023. Net debt at December 2023 was CHF 4,305 million and net debt to EBITDA ratio was 2.9.

The weighted average effective interest rate for the Group was 1.69% as at 31 December 2023 compared to 1.74% in December 2022.

Balanced debt profile

Debt maturity in CHF million and average interested rates in percentages

Balanced debt profile

  
Credit ratings

In 2018 we received our first credit ratings, and the strong investment confirms the Company’s market leadership position and strong financial profile:
 

  • S&P global ratings: A- credit rating, with a stable outlook
  • Moody’s investors Service: Baa1 rating, with stable outlook

Credit rating as per December 2023:

CompanyGivaudan SA
S&P short-term ratingA-2
S&P long-term ratingA-
S&P outlooknegative
Moody's ratingBaa1
Moody's outlooknegative

 

Debt  

Details of the Group’s various debt transactions are as follows:

IssuerIssue dateType of debtCurrency of
principal
Principal
amount
in millions
RedeemableInterest rateType of
interest
20232022
Total 
in millions
of Swiss francs
Total
in millions
of Swiss francs
Givaudan United States, Inc.2012Private
placements a
USD15006-02-20233.300%fixed reimbursed139
6006-02-20253.450%5055
Givaudan SA2014Public bondsCHF15019-03-20241.750%fixed150150
201620005-12-20310.625%200200
2017Private
placements
EUR20020-12-20241.331%fixed186197
2018Public bondsCHF20009-04-20250.375%fixed200200
EUR50017-09-20251.125%464492
80017-09-20302.000%741788
2020CHF15010-11-20280.150%150150
202115007-06-20270.125%150150
15007-06-20300.375%150150
202215015-06-20261.125%150150
15015-06-20291.625%150150
202325023-05-20312.375%250 
2022Revolving credit facilityUSD42015-06-2028 fixedreimbursed391
Givaudan Finance Europe BV2020Public bondsEUR50022-04-20271.000%fixed463492
50022-04-20321.625%462492
202350028-11-20334.125%463 
2022Other local borrowingsEUR150Various maturities1.577%463148
20234026-04-20244.200%   
Other entities2022Other local
Borrowings
EUR2Various maturities1.180%fixed 12
20231
2022CNY752 floating79101
2023663  
2022INR67017
2023160  
2023USD18.380%fixed1 
Total short-term and long-term debt as at 31 December b4,4984,604
 
  1. There are various covenants contained in these transactions covering conditions on net worth, indebtedness and EBITDA ratio to net interest expense of Givaudan United States, Inc. The Company is and has been in full compliance with the covenants set.

  2. The fair value of the short-term and long-term debt exceeds its carrying value by approximately 2% as at 31 December 2023 (2022: 7%).

  

Debt issuance documents  

Givaudan SA

Debt issuance documents:

Issuing Company’s financial:

Back to debt transactions

Givaudan Finance Europe BV

Debt issuance documents:

Issuing Company’s financial:

Back to debt transactions

Capital management

The Company’s goal is to sustain its status as a viable business while maximising shareholder value by striking the right balance between debt and equity.
 

Net debt to EBITDA ratio
The net debt to EBITDA ratio is calculated as follows:

In millions of Swiss francs31 December 
2023
31 December
2022
Short-term debt442356
Long-term debt4,4634,649
Less: cash and cash equivalents(600)(475)
Net debt4,3054,530
EBITDA1,4731,476
Net debt to EBITDA ratio2.923.07
   
Comparable EBITDA1,5471,486
Net debt to Comparable EBITDA ratio2.783.05
 
 

Leverage ratio
Leverage ratio is defined as net debt divided by the sum of net debt and equity corresponding to 51% for 2023 and 51% 2022.