Danone reports 'strong' Q1 2025 with sales increase
The French food and drink company, Danone has today (Wednesday, April 23) reported a "strong" performance in the first quarter (Q1) of 2025 with sales of over €6.8 billion, up 4.3% on a like-for-like basis.
The financial results were driven by a 1.9% increase in volume/mix and a 2.4% rise in pricing.
The global consumer goods group, whose brands include Activia yoghurt and Evian water, highlighted very strong demand in China, North Asia and Oceania, in all of its product categories.
The region reported a 9.9% increase in like-for-like sales, with strong volume/mix at 10.4% and price at -0.5%.
Danone said that infant milk formula "continued to consistently gain market shares", while medical nutrition saw continued strong demand.
In Q1 2025, Europe like-for-like sales were up 2.0%, due to volume/mix at 1.9%, while price was flat.
Danone said that the zone improved its growth momentum sequentially while achieving positive volume/mix for the sixth consecutive quarter.
Specialised nutrition registered resilient growth in Europe, driven by medical nutrition, while waters posted strong growth ahead of the summer season.
In North America, like-for-like sales were up 3.7%, with volume/mix at 0.9% and price at 2.8%.
This solid growth was led by the consistent winning momentum in high protein products, according to the company.
Medical nutrition also posted strong growth across the portfolio, while there was double-digit growth in waters.In Latin America, like-for-like sales were up 9%, with volume/mix down 2.1% and price up 11.1%.
In the rest of the world, like-for-like sales increased by 3.3%, with volume/mix down 1% and price up 4.3%.
Commenting on the results, Antoine de Saint-Affrique, Danone chief executive, said:
"With a 4.3% like-for-like sales growth in Q1, we have delivered a strong start to the year, across all categories, demonstrating the strength of our execution and the relevance of our health-focused portfolio.
"In the current uncertain environment, our science-based innovations, our consumer and patient-centric approach, and our increasingly diversified channel footprint further contribute to the resilience of our business.
"We are confident that 2025 will be another year where we deliver on our value creation model, aligned with our mid-term ambitions."
The company confirmed its 2025 guidance, with like-for-like sales growth expected between 3% and 5%, with recurring operating income growing faster than sales.
