- Danone’s third-quarter like-for-like sales increased by 4.2%, surpassing the estimated 3.75% growth.
- Essential Dairy & Plant-based segment saw a 4.1% increase in like-for-like sales, exceeding the expected 3.06%.
- Specialized Nutrition segment outperformed with a 5.2% rise in like-for-like sales, above the anticipated 4.75%.
- Waters segment grew by 3.2% in like-for-like sales, falling short of the expected 3.64%.
- Volume/mix contribution to growth was 3.6%, outpacing the estimate of 3.04%.
- Price increase was 0.7%, slightly below the 0.86% estimate.
- Foreign exchange impact was negative at -3.2%, which was worse than the estimated -1.81%.
- Total sales were EU6.83 billion, a decrease of 1.2% year-on-year, and below the estimated EU6.88 billion.
- Essential Dairy & Plant-based sales amounted to EU3.28 billion, a decrease of 5.5% year-on-year, lower than the expected EU3.35 billion.
- Specialized Nutrition sales reached EU2.19 billion, a 5.7% year-on-year increase, surpassing the forecasted EU2.08 billion.
- Waters sales totaled EU1.35 billion, down by 0.6% year-on-year, missing the projected EU1.38 billion.
- Danone maintains its full-year forecast for like-for-like sales growth between 3% and 5%, compared to the estimated 4.04%.
- The company anticipates a moderate improvement in its recurring operating margin for the full year.
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A look at Danone SA Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 5 | |
| 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
According to the Smartkarma Smart Scores, Danone SA, a food processing company known for its dairy products, beverages, baby food, and clinical/medical nutrition offerings, shows a promising long-term outlook. With a strong Dividend score of 4 out of 5, investors can expect consistent returns from the company’s dividend payouts. Additionally, Danone scores a solid 3 for both Growth and Resilience, indicating a healthy balance of growth potential and financial stability. Moreover, the company receives an impressive Momentum score of 5, suggesting strong upward momentum in its stock performance.
Overall, Danone SA‘s Smart Scores paint a positive picture for the company’s future prospects. While there is room for improvement in Value, the company’s strong performance across Dividend, Growth, Resilience, and Momentum factors bode well for investors looking for a reliable and potentially rewarding long-term investment in the food processing industry.
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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