IFFNEUTRAL

IFF Gross Margin Analysis

43.7%

Updated 417h ago·SEC filings & market data

Key Takeaway

Gross margin measures the percentage of revenue a company keeps after paying the direct costs of producing its goods, so 43.7% means IFF retains $0.437 on each dollar of sales.

Sector Performance

45th percentile

IFF

43.7%

Sector Median

46.6%

Sector Avg

47.6%

Prior Period

37.1%(Jul 2026)

↑ Improving

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Deep Analysis

Gross margin measures the percentage of revenue a company keeps after paying the direct costs of producing its goods, so 43.7% means IFF retains $0.437 on each dollar of sales.

This sits below the sector median of 46.4%, placing IFF at the 46th percentile among peers—slightly under half of competitors are more profitable on this basis. The year-over-year change is not available, but quarter-over-quarter change is +17.8%, and the two most recent values (43.7% then 37.1%) confirm an upward move. The combination of a level below the median with a sharp quarterly improvement suggests near-term margin recovery is underway, yet the absolute position still lags the typical peer. This creates a mixed risk profile: room for continued gains, but no proof of sustained outperformance. The metric supports the overall NEUTRAL verdict, as improvement offsets the below-median standing without pushing the stock clearly toward bullish or bearish territory.

Frequently Asked Questions

What does the Gross Margin tell investors about IFF?

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

How is the Gross Margin calculated?

Gross Margin is calculated as: Gross Profit / Revenue.

Who are IFF's closest peers by Gross Margin?

The closest peers by Gross Margin include: LVS (46.9%), ORLY (51.4%), MPWR (55.2%), NEM (56.0%), REI (56.0%).

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Learn More About Gross Margin

Gross Margin vs Net Margin: Why the Gap Between Them Tells You Everything

Gross margin vs net margin: learn what the spread between them reveals about operating leverage, cost structure, and early warning signs in any stock.

The Formula

Gross Profit / Revenue

Why It Matters

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.