- Danone’s overall like-for-like sales increased by 4.3%, surpassing the expected 3.89% growth.
- Essential Dairy & Plant-based segment saw a 3.7% increase in like-for-like sales, above the expected 3.22%.
- Specialized Nutrition reported a 5.3% increase in like-for-like sales, beating the 5.02% estimate.
- Waters segment achieved a 4.1% increase in like-for-like sales, exceeding the 3.81% estimate.
- The combined volume/mix effect was up by 1.9%, falling short of the 2.76% estimate.
- Price increases contributed to a 2.4% growth, surpassing the 1.14% estimate.
- Adverse forex impact was -0.8%, which was larger than the projected -0.15%.
- Total sales were EU6.84 billion, representing a 0.8% year-over-year growth, slightly below the EU6.91 billion estimate.
- Essential Dairy & Plant-based sales were EU3.38 billion, decreasing by 2.7% year-over-year, below the expected EU3.48 billion.
- Specialized Nutrition sales reached EU2.31 billion, marking a 5.6% year-over-year increase, surpassing the EU2.28 billion estimate.
- Waters sales were EU1.16 billion, reflecting a 2.1% year-over-year growth, meeting expectations.
- Danone maintains its year-end forecast of like-for-like sales growth between 3% to 5%, with a consensus estimate of 4.13%.
- The company anticipates that the full-year recurring operating income will grow at a faster rate than sales.
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A look at Danone SA Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 5 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Danone SA appears to have a positive long-term outlook. With a high score of 5 in Growth, the company is likely to experience strong expansion opportunities in the coming years. This indicates that Danone SA is strategically positioned to capitalize on market trends and potentially increase its market share in the food processing industry.
Additionally, Danone SA also received solid scores in Momentum (4) and Dividend (3), suggesting a favorable momentum in the company’s performance and a stable dividend payout to its investors. While the Value score is lower at 2, the overall combination of scores implies that Danone SA may offer a promising investment opportunity with the potential for growth and income generation in the long term.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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