(BFM Stock Exchange) – The food group has delivered greater growth in the second quarter expectations, thanks in particular to its specialized nutrition division and an acceleration of its activity in China. The 2025 objectives are confirmed.

Danone continues to effectively unroll its “Renew” strategic plan, which emphasizes medical nutrition and well-being to increase its sales.

As part of this strategy, the agrifood giant has had an appetite for ogre by announcing two acquisitions in recent weeks. In early July, Danone finalized the acquisition of majority participation in Kate Farms, an American company, specialized in medical and daily nutrition, based on organic ingredients of plant origin.

A few days before, Danone had announced the acquisition of The Akkermansia Company, a Belgian group specializing in new generation biotics, in order to strengthen its positioning in intestinal health.

In parallel, the agrifood group continues good publications, demonstrating the relevance of the refocusing of its health portfolio on health. This is still the case in the first half.

“Quality results for a quality company”

The French agrifood giant announced on Wednesday July 30, having released income over this period of 13.74 billion euros, up 4.2% excluding exchange and perimeter effects. The group has slightly exceeded the consensus of analysts who expected growth in comparable data of 4.1%, according to Royal Bank of Canada (RBC).

For its director general, Antoine de Saint-Affrique, this dynamic reflects the ability of his group to generate quality quarter-by-trimester, thanks to the strength and resilience of his portfolio of brands and health-oriented products.

On the second quarter alone, turnover increased by 4.1% in comparable data, outclassing the consensus housed to 3.8% according to RBC. The group benefited from an increase of 3.2% of “volume/mix” (the distribution of sales to products and regions with higher value) and price increases of 1%.

In regions, North America has 2.3% growth of 2.3% supported by two -digit growth in hyper protein ranges and the strong dynamics of “specialized nutrition” (infantile milk and food, medical nutrition), while the “China, Asia and Oceania” zone has seen its revenues jump from 12.4% in comparable data, thanks to the performance of infant milks or its brand Mizone mineral in China.

In Europe, sales increased by 2.2% in comparable data, Danone citing “new progress in dairy products, carried by functional products such as hyper protein ranges, and those based on Skyr and Kefir, as well as by the high performance of the brand of ALPRO plant products”.

A little lower in the accounts, Danone’s current operating profit increased by 3.7% in the first half to 1.811 billion euros while the corresponding margin registered at 13.2% against 12.7% a year earlier, slightly higher than expectations lined at 13.1%.

For Royal Bank of Canada, Danone therefore unveiled “quality results for a quality company”.

“We believe that the course of action could outperform its peers this morning, because the results superior to the expectations of specialized nutrition in China suggest that Danone continues to be a winner in this region, while others are in difficulty,” notes Jefferies who refers to Nestlé, who has still unveiled dull performances in the region in the first half.

An even more gaping gap with Nestlé

On the stock market, Danone widens the gap even more with her Swiss rival loss of speed. The title of the French group increased by 6.4% around 10:45 am and occupies the head of the CAC 40. Over a year, Danone wins 21% when Nestlé is moving more than 18% and evolves at the lowest of 10 years, paying the high price of disappointing performance.

“Danone does what the business of current consumer goods did, namely to publish results slightly superior to forecasts and repeat its forecasts for the whole year,” appreciates RBC.

At the end of this semester, Danone has indeed confirmed its objectives for 2025, namely an increase in its income in comparable data from 3% to 5% and growth in “faster” operating profit than that of turnover.