The following is a summary of the Danone S.A. (DANOY) Q1 2024 Earnings Call Transcript:
Financial Performance:
Danone S.A. experienced a Q1 net sales growth of 4.1% on a like-for-like basis across all geographical regions and product categories.
Positive volume/mix increased by 1.2% compared to the previous year, leading to a second consecutive quarter of positive growth.
EDP, Specialized Nutrition, and Waters categories were the main drivers of growth, with respective growth figures of 3%, 3.8%, and 8.1%.
Despite negative contributions of 1.6% due to currency, hyperinflation and related impacts, like-for-like sales still grew by 4.1%, with a pricing contribution of 2.9%.
Business Progress:
In Europe, Danone improved its competitive ranking despite a challenging environment and executed the disposal of two underperforming noncore assets.
North America showed solid performance due to Coffee Creations and high-protein yogurt businesses, while the plant-based segment showed signs of stabilization.
Strong start noted in China, North Asia & Oceania, with like-for-like sales up by 8.9% due to high volume/mix.
In Latin America, growth was driven by various brands in Waters and EDP, balancing the negative volume/mix.
The Rest of the World zone indicated a growth increase by 6% through the Specialized Nutrition platform.
With a solid performance across regions and categories, Danone is confident in meeting their yearly commitments and expects a 3% to 5% corridor of like-for-like sales growth and a moderate improvement in the operating margin.
More details: DANONE SPONS ADR IR
Tips: This article is generated by AI. The accuracy of the content can not be fully guaranteed. For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.