Nov 6 (Reuters) – International Flavors & Fragrances (IFF) topped market expectations for third-quarter profit and sales, buoyed by higher pricing for its food ingredients and fragrance solutions as well as easing input costs.

IFF had bumped up product prices in some of its segments to help protect margins, as it battled higher input costs at the start of the year and a slowdown in demand for its food ingredients business.

Sustained demand for its scent and health solutions segments has helped offset the pressure on its food ingredients business, as consumers continued to prioritize health and wellness even in a difficult macroeconomic environment.

The company’s net sales fell 8% to $2.82 billion for the quarter ended Sept. 30, but topped market expectations of $2.77 billion, sending the company’s shares up about 3% in extended trade.

IFF has been looking to divest parts of its portfolio in a bid to focus on higher margin businesses.

In October, IFF sold its cosmetic ingredients unit, which includes the Lucas Meyers Cosmetics brand, to Switzerland-based chemical company Clariant AG for $810 million.

In the reported quarter, the company also completed the divestiture of its Savory Solutions unit, which produced ingredients to add flavor, seasoning and color to faux meat.

In October, Bloomberg News reported IFF was working with an adviser to explore a potential sale of its pharma solutions business Excluding items, IFF reported third-quarter earnings per share of 89 cents. Analysts on an average expected a profit of 75 cents per share, as per LSEG data. IFF reiterated its full-year sales forecast in the range of $11.3 billion to $11.6 billion. Benefits from its inventory reduction efforts also resulted in the company now expecting to be at the mid to high-end of its full-year 2023 adjusted operating EBITDA guidance range of $1.85 billion to $2.0 billion. (Reporting by Juveria Tabassum; Editing by Krishna Chandra Eluri)