Highlights 2017 Audited


Lonza's Consumer Health division, the former Consumer Care business unit until October 2017, was re-organized after the Capsugel acquisition in order to strengthen Lonza's position in the fast-moving healthcare and nutrition consumer goods market and to drive our growth along the healthcare continuum. Consumer Health now consists of Consumer Health and Nutrition and of Consumer Product Ingredients.

The strategic business unit experienced another successful year and contributed to Lonza’s (standalone) full-year 2017 guidance. Growth drivers were the Hygiene and Preservation business and the Nutrition business.

Our Consumer Health and Nutrition business grew strongly in 2017. The continued success of our flagship ingredients Carnipure® L-Carnitine and UC-II® undenatured collagen helped drive this growth.

Following the acquisition of Capsugel in 2017, Consumer Health and Nutrition now further enhances our ability to combine expertise in high-quality, science-backed ingredients with formulation know-how and industry-leading capsule and encapsulation technologies to create innovative solutions for consumer health and nutrition companies.

Lonza expects to continue to benefit from high market demand and innovative product offerings in the fast-growing consumer products markets with Capsugel further strengthening Lonza's offerings. One recent example is the launch of several new dietary supplement formulas addressing sports, mood, sleep, weight management and immunity powered by Capsugel’s formulation and finished dosage forms expertise.

Lonza benefited from growth momentum in disinfection solutions in several markets throughout 2017, and we see ongoing high demand in this non-cyclical business based on changing regulatory requirements. Our Hygiene and Preservation businesses performed strongly in 2017 with our extensive portfolio of products. These products include global solutions registered by the U.S. Environmental Protection Agency (EPA), the Canadian Therapeutic Products Directorate (TPD), the relevant authorities of many EU member states, the Ministries of Health in China and in Japan, as well as other regulatory agencies around the world.

Prominent existing product lines include our well-established Preservation portfolio under Lonza’s Proxel® range of benzisothiazolinone (BIT)-based systems, Dantogard® and Glydant® series of preservatives built around dimethyl dimethylol hydantoin (DMDMH) range, our anti-fungal Glycacil® and Omacide® ranges based on Iodopropynyl butylcarbamate (IPBC), Vantocil® and Cosmocil® offers centered on polyaminopropyl biguanide (PHMB), and our expanding range of next-generation non-traditionals and protection systems under the Geogard®, Mikrokill® and Biovert® brands.

In disinfection Lonza’s globally recognized platforms and solutions are sold as Barquat® and Bardac® for the first-generation quat-based active ingredients and Carboquat®, Carboshield® and Bardap® for the chlorine-free new-generation ones. Lonza's flexible Lonzabac® active amine biocidal products are also available, as well as our leading Lonzagard® and new NUGEN™ state-of-the-art-disinfection solutions.

Today’s personal-care consumer has an increased expectation in personalized products that meet their individual beauty and wellness rituals. Consumers desire products that go beyond basic claims and seek for new experiences that either maintain or restore their skin and hair in a healthy state. The pursuit of healthy, cleaner and greener lifestyles, along with the need for personalization, is driving premium positioning at all channels in the market where quality, efficacy and consumer engagement help deliver targeted solutions.

Although 2017 saw a softer overall performance, we remain one of the world’s largest supplier of anti-dandruff actives with our Zinc Omadine® product portfolio. New product launches in the anti-dandruff markets with anti-microbial technology including geographical expansions are expected to further add to this momentum.

In addition, the Personal Care team is committed to creating customized formulation design based on our broad range of functional ingredients and helping to design modern, premium personal care products. Furthermore, continuous investments in innovation in the areas of skin and scalp health will help to create new solutions that defend and restore skin structure and scalp conditions to their most-healthy state.