Danone Reports 2.1% Global Volume Increase and 4% LFL Sales Growth in H1 2024

Geographic Performance and Financial Metrics

LFL sales increased across all five geographic zones where Danone operates, including a 1.7% growth in Europe. On a reported basis, sales values in Europe rose by 2.3%, although volumes only increased by 0.1% during the period. The group's recurring operating income grew by 0.7% to €1.746 million, and recurring earnings per share increased by 2.6% year-on-year.

For its 2024 guidance, Danone projects LFL sales growth between 3% and 5%, with a moderate improvement in recurring operating margin.

Strategic Investments and Portfolio Expansion

During H1 2024, Danone strengthened its medical nutrition portfolio by acquiring Functional Formularies, a US-based whole foods tube feeding business. Additionally, the company announced plans to invest €70 million into a facility in Steenvoorde, France, focused on creating products to help patients suffering from disease-related malnutrition.

CEO Comments on H1 Performance

Commenting on the results, Danone CEO Antoine de Saint-Affrique highlighted the strong performance of the group in H1. “[We demonstrated] consistency in delivering quality growth: net sales increased by 4% on a like-for-like basis, driven by volume/mix up 2.1%, with all categories contributing,” he said.

De Saint-Affrique emphasized Danone's focus on driving category growth through its High Protein, Medical Nutrition, Coffee Creations, and Away-from-home platforms. He noted that the company is continuously enhancing its core portfolio, reflecting a progressive strengthening of competitiveness across categories.

“We continue rebuilding our fundamentals, doubling down on Renew Danone, and have established solid foundations for the ‘next chapter’ of our consumer-centric and science-based strategy,” he concluded.