Financial Results Q4 2012

FORWARD-LOOKING STATEMENTS

This presentation includes statements data, forecasts, goals and Company plans that are "forward-looking

statements“, as defined in the Securities Law - 1968, whose occurrence is not certain and which are not solely in the

Company's control. These forward-looking statements are included, inter alia, in discussions of strategy, objectives,

goals, plans, events, future intentions or other information relating to future events or issues whose occurrence is

not certain.

By their nature, forward-looking statements involve risk and uncertainty. Whether the forward looking information

occurs or not is affected, inter alia, by risk factors characteristic to the Company's operations and developments in

the general environment and external factors which impact the Frutarom Group and its area of activities.

This forward looking information could include facts and data based on the Company's subjective assessment,

including with regards to the current status of the Company and its business, the current situation in the industry in

which the Frutarom Group operates, macro-financial facts and information, all as are known to the Company on the

date on which this presentation was prepared, some of which were given to the Company by external sources, the

content of which was not independently examined by the Company, and therefore the Company is not responsible

for their verity.

This presentation must be read together with the Company's periodic and immediate reports, and was not meant to

replace the need for study of reports the Company has published, including, inter alia, the Company's periodic

report for 2012, published on March 2013, and the Company's periodic reports subsequently published. These

reports could include, inter alia, updates to the information regarding the Company's activities or of the forward

looking statements appearing in this presentation.

Subject to the requirements of applicable law, the Company does not intend to update any industry information or

forward-looking statements appearing in this presentation, and is not required to publish any additional

presentations for its shareholders in future.

Frutarom’s Foundations

Founded in 1933, Frutarom combined the cultivation of aromatic plants

and flowers with the extraction and distillation of flavors, fine ingredients

and essential oils.

A Leading Global Flavor and Fine Ingredient House

• Sales in 140+ countries

• 14,000+ customers Global

Company

• 30,000+ products

• 4,000+ raw materials

Broad Product Portfolio

• Listed on London and Tel Aviv Stock Exchanges (FRUT)

Public Company

• Since 2000

• 7.6x growth in sales

• 11.1x growth in EBITDA

• 13x growth in net profit

Financial

Success

4

Who We Are

0

100

200

300

400

500

600

Revenues, $M

Frutarom - A Global Company

5

Accelerated growth - organic and through strategic acquisitions

Sales office acquisition

1996 Tel Aviv stock

exchange

IFF FS

Gewurzmuller

Adumim

Raychan

Rieber

EAFI

Savoury Flavours

Oxford

Balmey

Jupiter

FSI Corona

Nesse

CH Hansen

DE

CH Hansen

IT

Etol

Mylner

Aromco

FSI OH

Acatris

Flachsmann

Abaco

Tohar

Meer

Rayner

HK F&F

CPL Aroma Flavour key

Baltimore

Botanicare Kunshan

AM Todd

Rad London stock

exchange

Russia

Canada

Turkey

France Mexico

Ukraine

Poland

Kazakhstan

Hong Kong

Costa Rica

Czech Rep.

S. Africa

India

Brazil

2006 2007 2009 2012 1990-2000 2003 2004 2011 2001-2002 2005

Sales and Marketing – 50 Offices

Production – 28 Sites R&D – 31 Labs

A Global Company We provide our customers with global and local support

Belgium

Brazil

China

Denmark

France

Germany

India

Indonesia

Israel

Italy

Kazakhstan

Mexico

Netherlands

Norway

Poland

Serbia

Singapore

Slovakia

Slovenia

South Africa

Turkey

Ukraine

UK South

UK North

Corona, CA NB, New Jersey

Cincinnati, OH Switzerland

Moscow Saint Petersburg

Perm Saratov

Hong Kong

Costa Rica

Georgia

-

500

1,000

1,500

2,000

2,500

Estimated Flavor Sales

US$ M*

A Top-Ten Flavor House

Source: Companies’ Publications, Leffingwell & Associates, Reuters, Company’s estimations

* Based on 2012 results and Company’s estimations 7

500+ smaller

companies

Asia

• Expanding R&D and sales force in China, Indonesia, Philippines, Thailand, Vietnam

• Building a state-of-the art, high-capacity plant in China with both traditional and savory flavor capabilities

Central and Eastern Europe

• Strengthening R&D and Application Centers in Russia, Ukraine, and Kazakhstan

• Strong base in central Europe

• Evaluating additional acquisitions and local production opportunities

Central & South America

• Strong base in Brazil

• Expanding penetration

• Investment in R&D and Applications Centers in Mexico & Costa Rica

• Evaluating acquisition opportunities

Africa

• Production, R&D and Application Center

• Evaluating acquisition opportunities

Towards Accelerated Penetration of Emerging Markets

8

Growing Share of Emerging Markets

9 *2012 vs. 2011

60% growth in the

emerging markets

of China & South

East Asia, Central

& South America,

Central & Eastern

Europe and Africa*

31% growth in

the BRIC

countries*

Growing share of emerging markets Sales by Geography

(Rest of the world)

(M US$, % Of Total Sales)

122

222

230

260

99

136

Emerging Markets Western Europe ROW

451

618

22%

51%

27%

42%

36%

22%

1996 Tel Aviv stock

exchange

IFF FS

Gewurzmuller

Adumim

Raychan

Rieber

EAFI

Savoury Flavours

Oxford

Balmey

Jupiter

FSI Corona

Nesse

CH Hansen

DE

CH Hansen

IT

Etol

Mylner

Aromco

FSI OH

Acatris

Flachsmann

Abaco

Tohar

Meer

Rayner HK F&F

CPL Aroma Flavour key

Baltimore

Botanicare Kunshan

AM Todd

Rad London stock

exchange

Russia

Canada

Turkey

France Mexico

Ukraine

Poland

Kazakhstan

Hong Kong

Costa Rica

Czech Rep.

S. Africa

India

Brazil

4 6

18

30 3342

52

914

32

49

66

80

100

10

Frutarom - A Global Company (Sales, EBITDA, Net Profit, USD M)

Net Profit 2000-2012

X13

EBITDA Profit 2000-2012

X11.1

Sales 2000-2012

X7.6 108

81

10

197

287

425

518

618

In 12 months* Frutarom Accomplished 8 acquisition

*Jan 2011- Jan 2012

Enhancing savory activity

and presence in the UK

and emerging markets,

synergistic to UK savory

activity

Reinforcing Savory

position in Europe and

emerging markets

Strategic move to

strengthen Central- and

Eastern European

leadership; Diversified

natural product portfolio

Strengthening US activity

include. Savory &

innovative products,

penetration to the

food service sector

Supporting growth in

emerging markets,

synergistic to UK activity,

diversified technology base

First significant entry to

the flavors market in Brazil.

Important base for

expansion in LA

Enhancing savory activity in

UK market; synergistic to

UK savory activity

Reinforcing European

savory activity with focus

on Scandinavian market

The Acquisitions’ Contribution

• The integration of the 8 acquisitions is progressing successfully as

planned:

- Merging Sales and R&D activities

- Optimizing production, supply chain and logistics infrastructures

• The acquisitions created opportunities for further improvement in profit

and profitability:

- Merging production sites/activities

- Transfer activities to lower cost countries

- Improvement in service and supply chain efficiencies

- Global logistics

Expected savings of ~ US$ 10 M annually starting H2 2013 but mainly in 2014

- Global purchasing reinforcement including procurement at countries of origin

Acquisitions are already contributing to sales & profit -

higher contribution to profit and profitability is expected in H2 of 2013, and in 2014

20.1

40.8

72.6

108.5

131.6144.9

Q4/00 Q4/03 Q4/06 Q4/09 Q4/11 Q4/12

80.5 139.3

287.2

425.2

518.4

618.0

Fast Growth in Sales

Revenues Q4

(US$ M)

13 * Growth in local currency terms; in dollar term sales grew by 10.1%

** Growth in local currency terms; in dollar term sales grew by 19.2%

Revenues Full year

Record high in sales despite challenging market conditions & Currency effect

(US$ M)

26.5 45.3

187.0

297.1

369.9

457.3

Flavors - Most Profitable Activity Growing Fast

14

Revenues Full year

(US$ M)

Share of total sales • Internal growth above

average market growth

rates

• USA, Latin America,

Asia, Central and

eastern Europe, Africa

• North America flavor sales

grow by 43% in 2012

74%

33%

Operating Profit Full year

14.7%

14.5%

* Growth in local currency terms; in dollar term sales grew at 23.6%

Growth was driven by

(US$ M)

71%

29.837.7

46.8

59.5

Q4/11 Q4/12

Record in Gross Profit

15

Gross Profit Q4 Improvement is driven by:

Adjusting selling prices

Stabilization and some decrease in raw

material prices

Strengthening global purchasing

Substantial increase in purchasing power

35.5%

36.4%

Gross

Margin

Further actions to improve profitability

Operational synergies, including from

recent acquisitions

Gross Profit Full year

(US$ M)

36.4%

37.4%

Gross

Margin

(36.6%

including

Etol’s trade

& marketing

activity and re-

organization

expenses)

Harmonization of raw materials

(US$ M)

(35.5%

including

Etol’s trade

& marketing

activity and re-

organization

expenses)

Merging production sites/activities and

transfer of activities to lower cost countries

* Growth based on gross profit in millions, including Etol’s trade & marketing activity and re-organization expenses

9.0 19.1

48.6

66.2

80.4

100.4

1.6

4.0

11.4

16.018.1

20.7

Q4/00 Q4/03 Q4/06 Q4/09 Q4/11 Q4/12

Record in EBITDA (US$ M)

14.3%

13.8%

16

16.2%

15.5%

EBITDA Q4 EBITDA Full year

7.9

10.5

Q4/11 Q4/12

42.0

52.0

Record in Net Profit and EPS

17

Net Profit Q4 Net Profit Full year

(US$ M)

0.14 0.73 0.90 0.18 EPS ($) EPS ($)

(US$ M)

6%

7.3%

8.1%

8.4%

Profitable Growth Generates Strong

Balance Sheet & Cash Flow from Operations

(USD M)

Cash flow

• $ 274 M – Cumulative cash flow

since 2009.

• Q4: $28.6M vs. $3.1M

• 2012: $91.2M vs. $35.6M

Balance Sheet

• Net debt (31.12.2012): USD 136.1M

• Equity (31.12.2012) USD 453.6 M

Cumulative Cash Flow

18

85

147

183

274

Above-Industry

Organic Growth

Frutarom’s Strategy

Proven

Acquisition

Track Record

Margin

Expansion

19

Again doubling our revenue to reach $1 billion within 4 years

Continue successful strategy of combining rapid profitable organic growth with strategic acquisitions

Flavor and Fragrance Specialty Ingredients

• Specialty botanical extracts, distillates, essential oils and aroma chemicals

Fine Ingredients ~25% of sales

Taste Solutions ~75% of sales

Flavors • Unique, high quality creation of sweet and

savory flavors for food and beverage products • Expertise in local and global tastes • Operational flexibility and local global

supply chain

Food Systems • Comprehensive sweet and savory food

systems • Unique technologies for fruit, spice,

vegetable, meat and fish preparations

Savory Solutions • Value-added functional savory solutions for the

food industry (snacks, meat, fish, organic, and culinary segments)

Health • Innovative, science-based health ingredients

for phyto-pharmaceuticals, nutraceuticals, dietary supplements, functional foods, cosmetics, and personal care

• Supporting the growing demand for health, wellness and beauty

Flavor and Fragrance Specialties

• Natural botanical extracts, distillates and essential oils

• Specialty aroma chemicals • Hydrocolloids • Citrus specialties • Global supply chain

20

We share the…

Passion for Taste & Health

Flavors Fine Ingredients

We develop tailored solutions combining excellent

taste with health and functionality all under one roof 21

Frutarom’s Strategy: Clear Focus Going Forward Profitable Internal Growth

Customer

Focus

Mid-sized and local

Private label

Multinational

Market

Focus

Developed markets (Europe and USA)

Emerging markets (e.g. Asia, Central & South America,

Central and Eastern Europe, Africa)

Product

Portfolio

Natural (extracts, fruit bases specialty essential oils)

Natural functional food ingredients

Comprehensive, integrated solutions

Cost reduction solutions

Core

Competencies

R&D and innovation – internal and external

Efficiencies, scale and synergies – cross selling

Experienced global management

Sales-driven organization 22

32 successful acquisitions

Strict acquisition criteria: Highly valuable and experienced

employees

Major synergies and cross-selling

potential

Additional unique products and

technology

Positive impact on EPS

Focus on integration execution Optimization of cross selling

opportunities

Optimization and harmonization

of resources

Proven Acquisition

Track Record

Positive Outlook for 2013

Profitable internal growth

Successful integration of the 8 acquisitions

Additional projects to improve efficiency and

merge activities and operations

Strengthening & leveraging global purchasing

Strong acquisitions’ pipeline

Frutarom’s Vision

To Be The Preferred Partner For

Tasty And Healthy Success

25