Danone S.A. (DANOY) Shareholder/Analyst Call Transcript
Danone S.A. (DANOY) Q1 2026 Sales/Trading Call Transcript
The company, which makes Activia yogurt and Evian water, reported like-for-like sales growth of 2.7% for the quarter.
French food group Danone delivered first-quarter sales growth of 2.7%, which was slightly above expectations but marked a sharp slowdown from the previous quarter, as a recall of baby formula across Europe and the conflict in the Middle East hit specialised nutrition sales.
Danone CEO Antoine de Saint-Affrique told CNBC that inflationary pressure from the Iran war may lead to higher food prices. "Nobody knows when [the war] is going to stop, and depending how the next two to four weeks are going to evolve, the outcome from a macroeconomic standpoint, is going to be very, very different," de Saint-Affrique said.
Shares of Danone (OTCMKTS:DANOY - Get Free Report) have been assigned a consensus recommendation of "Moderate Buy" from the six brokerages that are covering the company, MarketBeat.com reports. One investment analyst has rated the stock with a sell rating, two have assigned a hold rating, two have issued a buy rating and one has assigned
Like-for-like sales rose 4.7% rise but a series of infant formula recalls have cast a pall over the food company's latest results.
Traces of a toxin that can cause nausea and vomiting were found in two types of infant formula recalled by France's Danone earlier this month, Swiss authorities said on Wednesday.
Nestle and Danone face investor pressure to spell out the financial impact of their biggest infant formula recalls in recent history, and show they have learnt lessons from crises that have hit their shares and left dozens of babies ill.
The Paris public prosecutor announced on Friday investigations into five companies making baby formula. The probe follows worldwide recalls that have left both parents and investors on edge after the toxin cereulide was found in infant nutrition products.
Danone is recalling more than 120 batches of infant formula in Austria due to possible contamination with toxin cereulide, Bloomberg News reported on Thursday.
Danone has recalled at least three batches of its Aptamil baby formula in Germany, a letter to a wholesaler showed on Thursday, as the French food producer scrambles to contain a scare over a toxin contamination that started with Nestle products.