Turpaz Industries breaks records with strong double-digit growth and global expansion via six acquisitions since the beginning of the year

Turpaz's sales jumped 57.4% in the third quarter of 2025 and 49% since the beginning of the year. The group's annual sales run rate now exceeds $300 million

Operating profit grew by 73.4% in the quarter and 72.6% since the beginning of the year, while adjusted EBITDA rose by 55.1% in the quarter and 54.7% year-to-date

"Our growth strategy, which combines mergers and acquisitions alongside organic expansion, continues to prove itself time and again," said Karen Cohen Khazon, Chairperson and CEO of Turpaz Industries. "The synergies, innovation, and global presence enable us to continue expanding, improving profitability, and strengthening our position as a leading international company."

CAESAREA, Israel, Nov. 12, 2025 /PRNewswire/ -- Turpaz Industries Ltd. (TASE: TRPZ), a leading global company that develops, manufactures, and markets flavors and fragrances, as well as specialty fine ingredients, announced its financial results for the third quarter and the first nine months of 2025.

The report indicates a quarter of accelerated growth across all parameters, with improved profitability, expanded global operations, and the consistent implementation of the group's integrated growth strategy.

Q3 2025 Results

In the third quarter of the year, Turpaz recorded record revenues of $76.7 million, representing growth of 57.4% compared with the same quarter last year. This growth was driven by strong organic growth of 18.2% and acquisitions completed during 2024 and the first nine months of 2025.

Gross profit increased by 59.0%, reaching $31.7 million (41.4% of sales), compared with $19.9 million (40.9% of sales) in the same quarter last year. Operating profit rose by 73.4%, reaching $13.4 million (17.4% of sales), compared with $7.7 million (15.8% of sales) in the corresponding quarter.

Net profit for the quarter grew by 29.6% to $6 million, while Non-GAAP net profit (excluding one-time expenses and non-cash amortization) grew by 64.1% to $10.9 million. Adjusted EBITDA margin reached 24.4%, up 55.1% to a total of $18.7 million — a new quarterly record for the company. Operating cash flow for the quarter totaled $13.3 million, three times higher than in the same quarter last year.

Q1–Q3 2025

In the first nine months of 2025, the group's sales totaled $200.5 million, representing an increase of 49.0% compared with the same period last year, including double-digit organic growth of 14.0%.

Gross profit grew by 52.5%, reaching $80.0 million (39.9% of sales), compared with $52.4 million (39% of sales) in the same period last year. Operating profit increased by 72.6% to $32.9 million, compared with $19.1 million in the corresponding period, while adjusted EBITDA rose by 54.7% to $46.9 million (23.4% of sales).

Net profit for the period increased by 46.3% to $16.6 million, and Non-GAAP net profit grew by 57.2% to $26.2 million. Operating cash flow for the first nine months of the year totaled $26.5 million, compared with $15.7 million in the same period last year.

Breakdown by Business Segment

Growth was recorded across all of the group's business segments. The Taste segment revenues rose by 46.9% to $53.0 million in the third quarter (69.1% of total sales). This growth was driven by a combination of synergistic acquisitions and organic growth of 12.5%, along with continued improvements in operational efficiency. Operating profit for the segment increased to $10.7 million (20.2% of sales), compared with $5.9 million (16.3%) in the same quarter last year. For the first nine months of the year, Taste segment revenues totaled $142.7 million, up 50.5%, while operating profit reached $28.5 million (20% of sales), compared with $16.2 million (17.1%) in the corresponding period last year.

The Fragrancessegment recorded a 70.7% increase in sales in the third quarter, reaching $15.0 million (19.6% of total sales). Growth was driven by 8.4% organic growth and completed acquisitions, notably the acquisition of Attractive Scent in France. Operating profit for the segment was $4.0 million (26.3% of sales), compared with $2.4 million (27.4%) in the same quarter last year. For the first nine months of the year, Fragrances segment sales totaled $33.7 million, up 26.9%, while operating profit reached $8.9 million (26.5% of sales), compared with $7.3 million (27.4%) in the corresponding period last year.

The Specialty Fine Ingredientssegment continued its rapid growth, with a 125.3% increase in third-quarter revenues, reaching $8.7 million (11.3% of total sales). The growth was mainly driven by the launch of new aroma chemicals and citrus products, product portfolio optimization, and realization of synergies. Operating profit for the segment amounted to $1.8 million (20.8% of sales). For the first nine months of the year, the segment recorded 83.2% growth, with revenues totaling $24.1 million and operating profit of $3.0 million, compared with $1.5 million (11.7%) in the same period last year.

With the release of the results, Karen Cohen Khazon, Chairperson and CEO of Turpaz Industries, stated:

"We are pleased to report another quarter of strong double-digit growth, with record results across all parameters. Our growth strategy, based on mergers and acquisitions alongside organic expansion, continues to prove itself time and again. The combination of strong organic growth, high-quality acquisitions, leveraging synergies between group companies and acquired businesses, and significant cross-selling are what make Turpaz a leading and growing international company. We continue to expand our global operations, deepen collaborations with customers worldwide, and strengthen our position as a key player in flavors, fragrances, and specialty fine ingredients. Turpaz's solid financial structure and strong operating cash flow enable us to continue pursuing our accelerated and profitable growth strategy."

Acquisitions

Since the beginning of the year, Turpaz has completed five mergers and acquisitions in the UK, Belgium, Poland, France, and India, as well as an additional acquisition in South Africa, the completion of which is subject to certain conditions precedent. These transactions have expanded the company's geographic footprint and strengthened its presence in new markets. By the end of the quarter, Turpaz's annual sales run rate exceeded $300 million, reflecting the company's business strength and its ability to continue achieving its goal of doubling its activities every four years.

About Turpaz:

The Turpaz group operates in over 90 countries, with 25 manufacturing sites and R&D centers globally and employs 970 people. The company is listed on the Tel Aviv Stock Exchange with a market capitalization of NIS 5.6 billion and continues to strengthen its position as one of the fastest growing and most prominent companies in the global flavors and fragrances industry.

Company website: www.turpaz.co.il

Contact:
Yoni Adini, General Counsel
[email protected]

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SOURCE Turpaz Industries