Danone keeps its guidance as Q2 sales beat expectations

Danone SA

29/07/2026 06:31

PARIS, July 29 (Reuters) - Danone DANO.PA expressed confidence over the second half of 2026 after its second-quarter sales beat forecasts, due to an improvement in the performance of its specialized nutrition unit that had been hit by a recall of European baby formula products and supply disruptions related to the Iran war. 
The French consumer goods group, whose brands include Evian and Badoit water and Activia yoghurt, said second-quarter sales rose 4.2% on a like-for-like basis, compared with expectations of 3.7% in a company-provided analysts' consensus.
Danone's recurring operating income for the first half of 2026 was 1.854 billion euros ($2.11 billion), with a margin of 13.3% of sales against 13.2% a year ago. This was slightly above expectations for a 13.25% margin.
Danone reiterated its 2026 guidance in line with its mid-term aims of like-for-like sales growth of 3% to 5%, with recurring operating income growing faster than sales.
($1 = 0.8771 euros)

 (Reporting by Dominique Vidalon;
Editing by Sudip Kar-Gupta)
 ((dominique.vidalon@thomsonreuters.com; +33149495432; Reuters Messaging: dominique.vidalon.reuters.com@reuters.net))