FDBusiness.com

Emerging Markets Drive Danone

 Breaking News
  • UK Grocery Prices Rising at Fastest Rate in Four Years The latest grocery market share figures from Kantar Worldpanel, for the 12 weeks to 5 November 2017, show UK supermarket sales have increased in value by 3.2% year-on-year in the run up to Christmas. Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel, explains: “Volume sales have increased by less than 1%, meaning it’s [...]...
  • Alcohol Minimum Unit Pricing to Go Ahead in Scotland The UK Supreme Court has ruled that minimum unit pricing for alcohol, which was passed overwhelmingly by the Scottish Parliament in 2012, can now proceed. Scottish Health Secretary Shona Robison has welcomed the decision and confirmed she intends to make a statement to Parliament shortly, setting out the Scottish Government’s next steps. Following the unequivocal backing [...]...
  • GEA Brings Together Technologies to Supply Extended Production Line For BMI GEA has recently been selected to supply an extended pasta filata cheese production line for BMI in Jessen, Germany. With this exemplary project GEA brings together its joint cheese-making expertise, resulting from its acquisition of de Klokslag and CMT in 2014 and 2015 respectively, with GEA’s flow and processing experience to provide a single offering for this [...]...
  • Bosch Packaging Technology Wins German Design Award 2018 The Sigpack VPF (Vertical Platform for Flat Pouches), the first freely scalable flat pouch machine from Bosch, has been honoured with the German Design Award 2018 in the Excellent Product Design category. The German Design Council presents the prestigious award on an annual basis. The German Design Award is the second prestigious accolade for the [...]...
  • Premier Foods Returns to Revenue Growth Premier Foods, the UK convenience food group, has reported group revenue of £353.3 million for the 26 weeks ended 30 September 2017 – an increase of 1.5% on the prior period – with Branded revenue in line with last year at £295.4 million while Non-branded revenue increased by 10.1% to £57.9 million. Group reported half year [...]...

Emerging Markets Drive Danone

Emerging Markets Drive Danone
February 16
15:22 2012

Strong growth in emerging markets helped Danone to increase like-for-like sales by 7.8% to Eur19.32 billion and improve its trading operating margin by 20 bps to 14.72% in 2011. The organic sales growth reflects a 3.0% increase in sales volume and a 4.8% increase due to price/mix effect. Trading operating income rose 9.2% on a like-for-like basis to Eur2.84 billion.

However, emerging economies for the first time accounted for over half of Danone’s sales and generated most of the group’s growth in sales and in trading operating income.

“The year 2011 was both tough and positive. Tough because of the increasingly gloomy macro-economic environment in urope, plus a steep rise in commodity prices that put pressure on our costs and entire organisation. But also positive because we came through successfully,” says Franck Riboud, chairman of Danone. “Our results made 2011 a successful year, as we once again met all our targets. Organic growth in sales stood at 7.8%, both full year and in the fourth quarter. We met our target for margin expansion. And our free cash flow continued to increase sharply, gaining over 9%.

Danone succeeded in continuing to grow its sales volumes throughout the year, reflecting ongoing efforts to develop its product categories, but also the competitive management of selling prices, particularly in Europe. Despite a 2% drop in volume in Europe, Danone grew like-for-like sales by 2.4% to Eur10.81 billion.

Danone’s biggest division, fresh dairy increased like-for-like sales by 4.6% to Eur11.24 billion on volume down 0.1%. The waters division registered the strongest sales growth – up 15.7% to Eur3.23 billion. Baby nutrition also achieved double-digit sales growth – up 10.7% to Eur3.67 billion. Medical nutrition sales at Eur1.18 billion rose by 9.4%.

Franck Riboud continues: “Looking ahead, we anticipate no improvement in the economic environment or in consumer spending in 2012, and our priorities for the year remain the same: leveraging our growth drivers, investing in our categories and brands, and managing inflation and volatile costs while maintaining our competitive edge.”

About Author

mike

mike

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • November 28, 2017Fi Europe
  • December 4, 2017Plastics and Paper in Contact with Foodstuffs 2017
  • January 8, 2018RAI Exhibition
  • January 16, 2018Sival Plant Production Trade Show
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements