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Segment Information (Tables) | 9 Months Ended
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Sep. 30, 2023
Segment Reporting [Abstract] |
Reportable Segment Information | Reportable segment information was as follows:
| Three Months Ended |  | Nine Months Ended
| September 30, |  | September 30,
(DOLLARS IN MILLIONS) | 2023 |  | 2022 |  | 2023 |  | 2022
Net sales: |  |  |  |  |  |  |
Nourish | $ | 1,449 |  |  | $ | 1,703 |  |  | $ | 4,666 |  |  | $ | 5,252 |
Health & Biosciences | 518 |  |  | 512 |  |  | 1,553 |  |  | 1,838 |
Scent | 615 |  |  | 591 |  |  | 1,815 |  |  | 1,756 |
Pharma Solutions | 238 |  |  | 257 |  |  | 742 |  |  | 750 |
Consolidated | $ | 2,820 |  |  | $ | 3,063 |  |  | $ | 8,776 |  |  | $ | 9,596 |
Segment Adjusted Operating EBITDA: |  |  |  |  |  |  |
Nourish | $ | 178 |  |  | $ | 287 |  |  | $ | 567 |  |  | $ | 981 |
Health & Biosciences | 150 |  |  | 137 |  |  | 426 |  |  | 513 |
Scent | 131 |  |  | 119 |  |  | 353 |  |  | 328 |
Pharma Solutions | 47 |  |  | 69 |  |  | 173 |  |  | 192 |
Total | 506 |  |  | 612 |  |  | 1,519 |  |  | 2,014 |
Depreciation & Amortization | (292) |  |  | (293) |  |  | (855) |  |  | (897) |
Interest Expense | (110) |  |  | (83) |  |  | (337) |  |  | (232) |
Other Income, net | 19 |  |  | 33 |  |  | 34 |  |  | 43 |
Restructuring and Other Charges (a) | (2) |  |  | 4 |  |  | (61) |  |  | (5) |
Impairment of Goodwill (b) | — |  |  | (2,250) |  |  | — |  |  | (2,250) |
Impairment of Long-Lived Assets (c) | — |  |  | — |  |  | — |  |  | (120) |
Acquisition, Divestiture and Integration Related Costs (d) | (42) |  |  | (57) |  |  | (118) |  |  | (167) |
Strategic Initiatives Costs (e) | (6) |  |  | (1) |  |  | (28) |  |  | (1) |
Regulatory Costs (f) | (13) |  |  | — |  |  | (32) |  |  | — |
Other (g) | (1) |  |  | — |  |  | 1 |  |  | (5) |
Income (Loss) Before Taxes | $ | 59 |  |  | $ | (2,035) |  |  | $ | 123 |  |  | $ | (1,620) |
_______________________
(a) | For 2023 and 2022, represents costs primarily related to severance as part of the Company's restructuring efforts. |
(b) | Represents costs related to the impairment of goodwill in the Health & Biosciences reporting unit. |
(c) | Represents costs related to the impairment of intangible and fixed assets of an asset group that operated primarily in Russia. |
(d) | For 2023 and 2022, primarily represents costs related to the Company's actual and planned acquisitions and divestitures and integration related activities primarily for N&B. These costs primarily consisted of external consulting fees, professional and legal fees and salaries of individuals who are fully dedicated to such efforts. For 2023, acquisition costs primarily relate to earn-out adjustments. For the three months ended September 30, 2023, business divestiture, integration and acquisition related costs were approximately $29 million, $12 million and $1 million, respectively. For the three months ended September 30, 2022, business divestiture, integration and acquisition related costs were approximately $31 million, $25 million and $1 million, respectively. For the nine months ended September 30, 2023, business divestiture, integration and acquisition related costs were approximately $70 million, $42 million and $6 million, respectively. For the nine months ended September 30, 2022, business divestiture, integration and acquisition related costs were approximately $91 million, $73 million and $3 million, respectively. |
(e) | Represents costs related to the Company's strategic assessment and business portfolio optimization efforts and reorganizing the Global Shared Services Centers, primarily consulting fees. |
(f) | Represents costs primarily related to legal fees incurred for the ongoing investigations of the fragrance businesses. |
(g) | For 2023, represents (losses) gains from sale of assets. For 2022, represents shareholder activist related costs, primarily professional fees, severance costs, including accelerated stock compensation expense, for certain executives who have been separated from the Company, and gains from sale of assets. |
Net Sales by Destination of Product Delivery | Net sales, which are attributed to individual regions based upon the destination of product delivery, were as follows:
| Three Months Ended September 30, |  | Nine Months Ended September 30,
(DOLLARS IN MILLIONS) | 2023 |  | 2022 |  | 2023 |  | 2022
Europe, Africa and Middle East | $ | 918 |  |  | $ | 1,030 |  |  | $ | 2,958 |  |  | $ | 3,258 |
Greater Asia | 670 |  |  | 701 |  |  | 2,031 |  |  | 2,200 |
North America | 853 |  |  | 939 |  |  | 2,668 |  |  | 3,006 |
Latin America | 379 |  |  | 393 |  |  | 1,119 |  |  | 1,132 |
Consolidated | $ | 2,820 |  |  | $ | 3,063 |  |  | $ | 8,776 |  |  | $ | 9,596 |
| Three Months Ended September 30, |  | Nine Months Ended September 30,
(DOLLARS IN MILLIONS) | 2023 |  | 2022 |  | 2023 |  | 2022
Net sales related to the U.S. | $ | 782 |  |  | $ | 920 |  |  | $ | 2,430 |  |  | $ | 2,799 |
Net sales attributed to all foreign countries | 2,038 |  |  | 2,143 |  |  | 6,346 |  |  | 6,797 |

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- Definition Tabular disclosure of information concerning material long-lived assets (excluding financial instruments, customer relationships with financial institutions, mortgage and other servicing rights, deferred policy acquisition costs, and deferred taxes assets) located in identified geographic areas and/or the amount of revenue from external customers attributed to that country from which revenue is material. An entity may also provide subtotals of geographic information about groups of countries. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-41 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 220 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.1) -Publisher FASB -URI https://asc.fasb.org//1943274/2147483621/220-10-S99-2 + Details
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- Definition Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482573/350-20-50-1 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 25 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-25 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-22 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-30 + Details
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