Danone: Strong half-year results; Delivering broad-based quality
growth
2024 Half-Year Results
Press release – Paris, July 31, 2024
Strong half-year results
Delivering broad-based quality growth
-
Net sales reached €13,757m in H1 2024, up
+4.0% on a like-for-like (LFL) basis; volume/mix up +2.1%,
positive in each category
-
Q2 strong volume/mix (+2.9%) leading to
+4.0% like-for-like sales growth
-
Recurring operating margin up +45 bps at
12.69% driven by strong improvement in margin from
operations
-
Recurring EPS up +2.6% at €1.80
-
Free-cash-flow up +11% at €1.2 bn
-
2024 guidance confirmed: like-for-like sales
growth expected between +3% and +5%, with moderate improvement in
recurring operating margin
|
| 2024
Half-Year Key Figures |
|
in millions of euros except if stated otherwise |
H1 2023 |
H1 2024 |
Reported Change |
Like-for-like
Change (LFL) |
|
Sales |
14,167 |
13,757 |
-2.9% |
+4.0% |
|
Recurring operating income |
1,734 |
1,746 |
+0.7% |
|
|
Recurring operating margin |
12.24% |
12.69% |
+45 bps |
|
|
Non-recurring operating income and expenses |
(53) |
69 |
+122 |
|
|
Operating income |
1,681 |
1,814 |
+7.9% |
|
|
Operating margin |
11.9% |
13.2% |
+132 bps |
|
|
Recurring net income – Group share |
1,133 |
1,162 |
+2.6% |
|
|
Non-recurring net income – Group share |
(40) |
57 |
+97 |
|
|
Net income – Group share |
1,093 |
1,219 |
+11.5% |
|
|
Recurring EPS (€) |
1.76 |
1.80 |
+2.6% |
|
|
EPS (€) |
1.70 |
1.89 |
+11.6% |
|
|
Free cash flow |
1,124 |
1,248 |
+11.0% |
|
|
Cash flow from operating activities |
1,424 |
1,504 |
+5.6% |
|
1
Antoine de Saint-Affrique: CEO
statement
We have delivered a strong performance for
the first half of the year, demonstrating consistency in delivering
quality growth: net sales increased by +4.0% on a like-for-like
basis, driven by volume/mix up +2.1%, with all categories
contributing.
We keep driving our category growth, further
fueling our winning platforms High Protein, Medical Nutrition,
Coffee Creations and Away-from-home. We also remain focused on
driving our core portfolio, as reflected by the progressive
strengthening of our competitiveness across categories.
We continue rebuilding our fundamentals,
doubling down on Renew Danone, and have established solid
foundations for the “next chapter” of our consumer centric and
science-based strategy.
I. SECOND
QUARTER AND HALF-YEAR RESULTS
Second quarter and half-year
sales
In Q2 2024, consolidated sales
stood at €6,938m, up +4.0% on a like-for-like basis, led by an
increase of +2.9% from volume/mix and +1.0% from price. On a
reported basis, sales decreased by -4.1%, mainly due to the strong
negative impact from scope (-7.2%), resulting predominantly from
the deconsolidation of EDP Russia and Horizon Organic and Wallaby,
and to a lesser extent, Michel & Augustin. Reported sales were
also negatively impacted by forex
(-2.4%), reflecting the depreciation of several currencies against
the euro, including notably the Chinese Renminbi, the Indonesian
Rupiah, the Turkish Lira and the Argentine Peso. In addition,
hyperinflation contributed positively to reported sales
(+1.5%).
In H1 2024, consolidated sales
stood at €13,757m, up +4.0% on a like-for-like basis, with a
balanced contribution from volume/mix (+2.1%) and price (+2.0%). On
a reported basis, sales decreased by -2.9%, reflecting notably a
negative impact from scope (-6.1%) and forex (-2.8%), and a
positive contribution of hyperinflation (+1.6%).
Sales by operating segment
|
€ million except % |
Q2 2023 |
Q2
2024 |
Reported change |
LFL Sales
Growth |
Volume/Mix Growth |
H1
2023 |
H1
2024 |
Reported change |
LFL Sales
Growth |
Volume/Mix
Growth |
|
|
BY GEOGRAPHICAL ZONE |
|
|
|
|
|
|
|
|
|
|
|
Europe |
2,429 |
2,447 |
+0.7% |
+0.7% |
+0.2% |
4,677 |
4,783 |
+2.3% |
+1.7% |
+0.1% |
|
|
North America |
1,704 |
1,595 |
-6.4% |
+5.0% |
+4.4% |
3,418 |
3,331 |
-2.5% |
+3.7% |
+2.9% |
|
|
China, North Asia & Oceania |
954 |
1,001 |
+5.0% |
+8.4% |
+9.4% |
1,778 |
1,841 |
+3.5% |
+8.6% |
+8.3% |
|
|
Latin America |
779 |
810 |
+4.0% |
+5.0% |
+1.8% |
1,466 |
1,556 |
+6.1% |
+4.6% |
-0.2% |
|
|
Rest of the World |
1,369 |
1,084 |
-20.8% |
+5.3% |
+1.8% |
2,828 |
2,246 |
-20.6% |
+5.6% |
+1.4% |
|
|
BY CATEGORY |
|
|
|
|
|
|
|
|
|
|
|
EDP |
3,731 |
3,298 |
-11.6% |
+3.3% |
+2.6% |
7,503 |
6,785 |
-9.6% |
+3.1% |
+1.7% |
|
|
Specialized Nutrition |
2,142 |
2,213 |
+3.3% |
+4.7% |
+3.6% |
4,250 |
4,414 |
+3.9% |
+4.3% |
+2.0% |
|
|
Waters |
1,362 |
1,426 |
+4.7% |
+4.4% |
+2.6% |
2,413 |
2,557 |
+6.0% |
+6.0% |
+3.2% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL |
7,235 |
6,938 |
-4.1% |
+4.0% |
+2.9% |
14,167 |
13,757 |
-2.9% |
+4.0% |
+2.1% |
|
In the second quarter, Europe
sales were up +0.7% on a like-for-like basis, with volume/mix up
+0.2% and price up +0.5%. EDP showed further progress, notably led
by the good performance of YoPro, Actimel and
Alpro, despite residual shipment disruptions. In Waters,
key brands evian and Zywiec Zdroj delivered
competitive growth, in a category impacted by poor weather
conditions. In North America, sales were up +5.0%
on a like-for-like basis, led by strong volume/mix, up +4.4%, while
price was resilient at +0.6%. The performance was led by winning
platforms High Protein and Coffee Creations, and in particular by
Oikos, International Delight and Stok.
China, North Asia & Oceania delivered +8.4%
like-for-like sales growth, with volume/mix up +9.4% and price down
-1.0%. In China, Specialized Nutrition maintained its continued
competitive momentum, in both Infant Nutrition and Medical
Nutrition, while Mizone delivered a strong start to the
high season. In Japan, EDP registered another quarter of
double-digit growth, led by Activia and Oikos. In
Latin America, sales were up +5.0%, led by
volume/mix +1.8% and price up +3.2%. The performance was driven by
Specialized Nutrition and Waters, while EDP volume/mix was impacted
by the licensing out of milk business in Brazil. In the
Rest of the World, sales increased by +5.3% on a
like-for-like basis, with volume/mix up +1.8% and price up +3.5%,
notably led by a sustained momentum in Specialized Nutrition across
Asia and the Middle-East.
Sales by geography by
category
Q2 2024
|
Europe |
North America |
China/North Asia/Oceania |
AMEA, CIS &
Latin America |
Total |
|
Net sales (€m) |
LFL sales growth (%) |
Net sales (€m) |
LFL sales growth (%) |
Net sales (€m) |
LFL sales growth (%) |
Net sales (€m) |
LFL sales growth (%) |
Net sales (€m) |
LFL sales growth (%) |
| |
|
|
|
|
|
|
|
|
|
|
|
EDP |
1,086 |
+1.0% |
1,420 |
+5.4% |
97 |
+13.5% |
696 |
+1.0% |
3,298 |
+3.3% |
|
Specialized Nutrition |
780 |
+1.1% |
87 |
-6.1% |
641 |
+7.0% |
704 |
+8.6% |
2,213 |
+4.7% |
|
Waters |
581 |
-0.4% |
87 |
+11.1% |
263 |
+9.9% |
495 |
+6.5% |
1,426 |
+4.4% |
|
Total Company |
2,447 |
+0.7% |
1,595 |
+5.0% |
1,001 |
+8.4% |
1,895 |
+5.2% |
6,938 |
+4.0% |
H1 2024
|
Europe |
North America |
China/North Asia/Oceania |
AMEA, CIS &
Latin America |
Total |
|
Net sales (€m) |
LFL sales growth (%) |
Net sales (€m) |
LFL sales growth (%) |
Net sales (€m) |
LFL sales growth (%) |
Net sales (€m) |
LFL sales growth (%) |
Net sales (€m) |
LFL sales growth (%) |
| |
|
|
|
|
|
|
|
|
|
|
|
EDP |
2,175 |
+1.4% |
3,010 |
+3.9% |
183 |
+14.7% |
1,417 |
+2.9% |
6,785 |
+3.1% |
|
Specialized Nutrition |
1,565 |
+1.8% |
167 |
-5.9% |
1,238 |
+5.5% |
1,444 |
+7.6% |
4,414 |
+4.3% |
|
Waters |
1,043 |
+2.4% |
154 |
+11.0% |
420 |
+15.9% |
940 |
+5.3% |
2,557 |
+6.0% |
|
Total Company |
4,783 |
+1.7% |
3,331 |
+3.7% |
1,841 |
+8.6% |
3,802 |
+5.3% |
13,757 |
+4.0% |
Recurring Operating Margin
Recurring operating profit (€m) and margin (%)
|
H1 2023 |
H1 2024 |
Reported
change |
|
€m |
Margin (%) |
€m |
Margin (%) |
BY GEOGRAPHICAL ZONE |
|
|
|
|
|
|
|
Europe |
497 |
10.6% |
550 |
11.5% |
+87 bps |
|
North America |
353 |
10.3% |
355 |
10.7% |
+33 bps |
|
China, North Asia & Oceania |
549 |
30.9% |
563 |
30.6% |
-29 bps |
|
Latin America |
42 |
2.8% |
35 |
2.2% |
-62 bps |
|
Rest of the World |
294 |
10.4% |
243 |
10.8% |
+44 bps |
BY CATEGORY |
|
|
|
|
|
|
|
EDP |
605 |
8.1% |
512 |
7.5% |
-53 bps |
|
Specialized Nutrition |
885 |
20.8% |
901 |
20.4% |
-40 bps |
|
Waters |
244 |
10.1% |
333 |
13.0% |
+290 bps |
|
|
|
|
|
|
|
|
|
Total |
1,734 |
12.24% |
1,746 |
12.69% |
+45 bps |
Danone’s recurring operating
income reached €1,746m in H1 2024. Recurring
operating margin stood at 12.69%, up +45 basis points
(bps) compared to last year. This increase was mainly led by the
strong improvement of margin from operations (+257 bps), driven by
the final benefits of 2023 carry-over pricing, combined with
continued record productivity. Danone continued to step-up its
reinvestments in A&P, product superiority and capabilities,
which had a negative effect of -169 bps in H1 2024. Finally,
Overheads before reinvestments had a negative effect of -8 bps,
while other effects had a combined impact of -34 bps, including
notably a negative impact from Forex and a positive effect from
Scope.
Net income and Earnings per
share
|
|
H1 2023 |
H1 2024 |
|
|
in millions of euros except if stated otherwise |
Recurring |
Non-recurring |
Total |
|
Recurring |
Non-recurring |
Total |
|
|
Recurring operating income |
1,734 |
- |
1,734 |
|
1,746 |
- |
1,746 |
|
|
Other operating income and expense |
- |
(53) |
(53) |
|
- |
69 |
69 |
|
|
Operating income |
1,734 |
(53) |
1,681 |
|
1,746 |
69 |
1,814 |
|
|
Cost of net debt |
(74) |
- |
(74) |
|
(96) |
- |
(96) |
|
|
Other financial income and expense |
(67) |
(15) |
(83) |
|
(55) |
(9) |
(64) |
|
|
Income before taxes |
1,593 |
(68) |
1,525 |
|
1,595 |
59 |
1,654 |
|
| Income
tax |
(435) |
6 |
(429) |
|
(429) |
25 |
(404) |
|
|
Effective tax rate |
27.3% |
- |
28.1% |
|
26.9% |
- |
24.4% |
|
|
Net income from fully consolidated companies |
1,158 |
(62) |
1,095 |
|
1,166 |
85 |
1,250 |
|
| Share of
profit (loss) of equity-accounted companies |
14 |
19 |
33 |
|
40 |
(32) |
8 |
|
| Net
income |
1,172 |
(44) |
1,129 |
|
1,206 |
52 |
1,259 |
|
|
• Group share |
1,133 |
(40) |
1,093 |
|
1,162 |
57 |
1,219 |
|
|
• Non-controlling interests |
39 |
(3) |
36 |
|
44 |
(5) |
39 |
|
|
EPS (€) |
1.76 |
- |
1.70 |
|
1.80 |
- |
1.89 |
|
Other operating income and
expense reached €69 million in H1 2024, which includes
one-off costs related to transformation projects, mainly in Europe
and the United States, and the gain on disposal of the period
related to EDP business in Russia, Horizon Organic, and Michel
& Augustin.
Share of profit of equity-accounted
companies stood at €8 million, vs. €33 million last year,
which included a gain on disposal after recycling of accumulated
currency translation adjustments of the stake in Yashili, finalized
in March 2023.
Non-controlling interests stood
at €39 million, slightly up from €36 million last year.
As a result, Reported EPS
increased by +11.6% to €1.89, while Recurring EPS
was up +2.6% to €1.80.
Cash flow and Debt
Free cash flow amounted to
€1,248 million in H1 2024, up +11% year on year, reflecting the
strong increase in cash flow from operating activities. Capex stood
at €319 million.
As of June 30, 2024, Danone’s net
debt stood at €10.0 billion, decreasing from €10.2 billion
as of December 31, 2023, reflecting continued improvement in the
quality of Danone’s balance sheet.
II. 2024
GUIDANCE
2024 guidance confirmed: Like-for-like sales
growth between +3% and +5% with moderate improvement in recurring
operating margin.
III. MAJOR
DEVELOPMENTS OVER THE PERIOD
- April 25, 2024: At
Danone’s 2024 Annual General Meeting, shareholders approved all
resolutions submitted to its approval by the Board of Directors,
including the distribution of a dividend of €2.10 per share in
cash, up +5.0% compared to last year, and the proposed renewals of
terms of office of Gilbert Ghostine and Lise Kingo as
Directors.
- April 26, 2024:
Danone successfully issued a €700 million bond with a 6-year
maturity and a 3.481% coupon. The settlement took place on May 3,
2024 and the bonds are listed on Euronext Paris.
- May 1, 2024:
Danone announced it had successfully completed the acquisition of
Functional Formularies, a leading whole foods tube feeding business
in the US, from Swander Pace Capital. As part of the Renew Danone
strategy, this acquisition strengthens Danone’s Medical Nutrition
portfolio in the US by further expanding its enteral tube feeding
ranges.
- May 17, 2024:
Following the press release on March 22, 2024, where Danone
announced that the Russian regulatory approvals required for the
disposal of its EDP business in Russia to Vamin R LLC were
obtained, Danone announced it had completed this transaction.
- June 12, 2024:
Danone, Michelin, the American start-up DMC Biotechnologies and
Crédit Agricole Centre France, a key investor in the region, agreed
to create the Biotech Open Platform to bolster the development of
advanced fermentation processes, particularly precision
fermentation, on a larger scale.
- June 20, 2024:
Danone hosted a Capital Market Event where the company shared its
mid-term strategy and value creation journey for the 2025-2028
period. Danone’s next chapter will build on the fundamentals the
company reestablished over the last 2 years: science and
innovation, operational and executional discipline, and proactive
portfolio management. Committed to a long-term value compounding
model, Danone aims to consistently deliver attractive returns, and
expects, for the 2025-2028 period, like-for-like net sales growth
between +3% and +5%, and recurring operating income to grow faster
than net sales. This financial guidance should allow Danone to
deliver a structurally double-digit ROIC and progress towards its
long-term ambition of delivering €3bn free-cash-flow.
- July 24, 2024:
Danone announced it is exploring a multi-year collaboration with
Microsoft to integrate artificial intelligence (AI) throughout
Danone’s operations. Through the collaboration, the companies
intend to launch a Danone Microsoft AI Academy, dedicated to
upskilling all Danone employees to ensure that all employees are
equipped with the AI and digital tools they need to thrive in the
new AI-driven economy. It builds on Danone’s recently launched
‘DanSkills’ programme, which aims to upskill and reskill around
100,000 Danone employees to the jobs of the future and attract new
talent.
IV.
ALTERNATIVE PERFORMANCE MEASURES NOT DEFINED BY IFRS
IAS 29: impact on reported data
Danone has applied IAS 29 in hyperinflation
countries as defined in IFRS. Adoption of IAS 29 in
hyperinflationary countries requires their non-monetary assets and
liabilities and their income statement to be restated to reflect
the changes in the general purchasing power of its functional
currency, leading to a gain or loss on the net monetary position
included in the net income. Moreover, its financial statements are
converted into euros using the closing exchange rate of the
relevant period.
IAS 29: impact on reported data
€ million except % |
Q2 2024 |
|
H1 2024 |
|
|
Sales |
7 |
|
50 |
|
|
Sales growth (%) |
+0.1% |
|
+0.4% |
|
|
Recurring Operating Income |
|
|
(40) |
|
|
Recurring Net Income – Group share |
|
|
(72) |
|
Breakdown by quarter of H1 2024 sales after
application of IAS 29
H1 2024 sales correspond to the addition of:
- Q2 2024
reported sales;
- Q1 2024 sales
resulting from the application of IAS 29 until June 30, 2024, to
sales of entities in hyperinflation countries (application of the
inflation rate until June 30, 2024, and translation into euros
using the June 30, 2024, closing rate) and provided in the table
below for information (unaudited data)
|
€ million |
Q1 20241 |
Q2 2024 |
H1 2024 |
|
Europe |
2,336 |
2,447 |
4,783 |
|
North America |
1,737 |
1,595 |
3,331 |
|
China, North Asia & Oceania |
840 |
1,001 |
1,841 |
|
Latin America |
745 |
810 |
1,556 |
|
Rest of the World |
1,161 |
1,084 |
2,246 |
|
|
|
|
|
|
Total |
6,819 |
6,938 |
13,757 |
1Results from the
application of IAS 29 until June
30, 2024, to Q1 sales
of entities of hyperinflation countries.
Definitions of geographical
zones
Europe refers to
European countries and Ukraine.
North America includes
United States and Canada.
China, North Asia &
Oceania includes China, Japan, Australia and
New-Zealand.
Latin America includes
Mexico, Brazil, Argentina and Uruguay.
Rest of the World
includes Asia, Middle East including Turkey, Africa and CIS.
Financial indicators not defined in
IFRS
Due to rounding, the sum of values presented may
differ from totals as reported. Such differences are not
material.
Like-for-like changes
in sales reflect Danone's organic performance and essentially
exclude the impact of:
- changes in
consolidation scope, with indicators related to a given fiscal year
calculated on the basis of the previous year's scope;
- changes in
applicable accounting principles;
- changes in
exchange rates, with both previous-year and current-year indicators
calculated using the same exchange rates (the exchange rate used is
a projected annual rate determined by Danone for the current year
and applied to both previous and current years).
Since January 1st, 2023, all
countries with hyperinflationary economies are taken into account
in like-for-like changes as follows: net sales growth in excess of
around 26% per year (a three-year average at 26% would generally
trigger the application of hyperinflationary accounting as defined
in IFRS) is now excluded from the like-for-like net sales growth
calculation.
Bridge from reported data to
like-for-like data
|
(€ million except %) |
2023 sales |
Like-for-like change |
Impact of changes
in scope of consolidation |
Impact of changes in exchange rates & others incl.
IAS 29 |
Contribution of hyperinflation |
Reported change |
2024 sales |
|
|
|
|
|
|
|
|
|
|
Q2 |
7,235 |
+4.0% |
-7.2% |
-2.4% |
+1.5% |
-4.1% |
6,938 |
|
H1 |
14,167 |
+4.0% |
-6.1% |
-2.4% |
+1.6% |
-2.9% |
13,757 |
Margin from operations
is defined as the Gross margin over Net sales ratio, where Gross
margin corresponds to the difference between Net sales and
Industrial costs excluding reengineering initiatives and Logistics
/ Transportation costs.
Recurring operating
income is defined as Danone’s operating income
excluding Other operating income and expenses. Other operating
income and expenses comprise items that, because of their
significant or unusual nature, cannot be viewed as inherent to
Danone’s recurring activity and have limited predictive value, thus
distorting the assessment of its recurring operating performance
and its evolution. These mainly include:
- capital gains
and losses on disposals of businesses and fully consolidated
companies;
- impairment
charges on intangible assets with indefinite useful lives;
- costs related
to strategic restructuring operations or transformation plans;
- costs related
to major external growth transactions;
- costs related
to crises and major disputes;
- in connection
with IFRS 3 and IFRS 10, (i) acquisition costs related to
acquisitions of companies resulting in control, (ii) revaluation
gains or losses accounted for following a loss of control, and
(iii) changes in earn-outs subsequent to acquisitions resulting in
control.
Recurring operating
margin is defined as the Recurring operating income
over Sales ratio.
Other non-recurring financial income
and expense corresponds to financial income and
expense items that, in view of their significant or unusual nature,
cannot be considered as inherent to Danone’s recurring financial
management. These mainly include changes in the value of
non-consolidated interests.
Non-recurring income
tax corresponds to income tax on non-recurring items
as well as tax income and expense items that, in view of their
significant or unusual nature, cannot be considered as inherent to
Danone’s recurring performance.
Recurring effective tax
rate measures the effective tax rate of Danone’s
recurring performance and is computed as the ratio of income tax
related to recurring items over recurring net income before
tax.
Non-recurring share of profit (loss)
of equity-accounted companies includes items that,
because of their significant or unusual nature, cannot be viewed as
inherent to the companies' recurring activity and thereby distort
the assessment of their recurring performance and trends in that
performance. These items mainly relate to (i) capital gains and
losses on disposals of investments in equity-accounted companies,
(ii) impairment of goodwill, and (iii) non-recurring items, as
defined by Danone, included in the share of profit (loss) of
equity-accounted companies.
Recurring net income
(or Recurring net income – Group Share) corresponds to the Group
share of the consolidated Recurring net income. The Recurring net
income excludes items that, because of their significant or unusual
nature, cannot be viewed as inherent to Danone’s recurring activity
and have limited predictive value, thus distorting the assessment
of its recurring performance and its evolution. Such non-recurring
income and expenses correspond to Other operating income and
expenses, Other non-recurring financial income and expenses,
Non-recurring income tax, and Non-recurring share of profit of
equity-accounted companies. Such income and expenses, excluded from
Net income, represent Non-recurring net income.
Recurring EPS (or
Recurring net income – Group Share, per share after dilution) is
defined as the ratio of Recurring net income adjusted for hybrid
financing over Diluted number of shares. In compliance with IFRS,
income used to calculate EPS is adjusted for the coupon related to
the hybrid financing accrued for the period and presented net of
tax.
|
|
H1 2023 |
|
H1 2024 |
|
|
Recurring |
|
Total |
|
Recurring |
|
Total |
|
|
Net income-Group share (€ million) |
1,133 |
|
1,093 |
|
1,162 |
|
1,219 |
|
|
Coupon related to hybrid financing net of tax (€
million) |
(6) |
|
(6) |
|
(2) |
|
(2) |
|
|
Number of shares |
|
|
|
|
|
|
|
|
|
• Before dilution |
640,196,786 |
|
640,196,786 |
|
642,417,472 |
|
642,417,472 |
|
|
• After dilution |
640,804,805 |
|
640,804,805 |
|
643,422,265 |
|
643,422,265 |
|
|
EPS (€) |
|
|
|
|
|
|
|
|
|
• Before dilution |
1.76 |
|
1.70 |
|
1.81 |
|
1.90 |
|
|
• After dilution |
1.76 |
|
1.70 |
|
1.80 |
|
1.89 |
|
Free cash flow
represents cash flows from operating activities less capital
expenditure net of disposals and, in connection with IFRS 3,
relating to acquisitions of companies resulting in control,
excluding (i) acquisition costs related to acquisitions of
companies resulting in control, and (ii) earn-outs related to
acquisitions of companies resulting in control and paid
subsequently to acquisition date.
|
(€ million) |
H1 2023 |
H1 2024 |
|
Cash flow from operating activities |
1,424 |
1,504 |
|
Capital expenditure |
(310) |
(319) |
|
Disposal of property, plant and equipment and acquisition costs
related to acquisitions of companies resulting in
control1 |
10 |
63 |
|
Free cash-flow |
1,124 |
1,248 |
1 Represents acquisition costs related
to acquisitions of companies resulting in control that
were paid during the period
Net financial debt represents the net
debt portion bearing interest. It corresponds to current and
non-current financial debt (i) excluding Liabilities related to put
options granted to non-controlling interests and earn-outs on
acquisitions resulting in control and (ii) net of Cash and cash
equivalents, Short term investments and Derivatives – assets
managing net debt.
|
(€ million) |
December 31, 2023 |
June 30, 2024 |
|
Non-current financial debt |
10,739 |
10,352 |
|
Current financial debt |
4,270 |
4,571 |
|
Short-term investments |
(3,638) |
(4,207) |
|
Cash |
(2,363) |
(2,058) |
|
Bank Overdraft |
1,264 |
1,396 |
|
Derivatives — non-current assets1 |
(34) |
(1) |
|
Derivatives — current-assets1 |
(16) |
(23) |
|
Net debt |
10,221 |
10,031 |
- Liabilities related to put options granted to non-controlling
interests — non-current
|
- |
- |
- Liabilities related to put options granted to non-controlling
interests and earn-outs on acquisitions resulting in control —
current
|
(356) |
(345) |
|
Net financial debt |
9,865 |
9,686 |
1 Managing net debt
only
o o O o o
FORWARD-LOOKING STATEMENTS
This press release contains certain
forward-looking statements concerning Danone. In some cases, you
can identify these forward-looking statements by forward-looking
words, such as “estimate”, “expect”, “anticipate”, “project”,
“plan”, “intend”, “objective”, “believe”, “forecast”, “guidance”,
“foresee”, “likely”, “may”, “should”, “goal”, “target”, “might”,
“will”, “could”, “predict”, “continue”, “convinced” and
“confident,” the negative or plural of these words and other
comparable terminology. Forward looking statements in this document
include, but are not limited to, predictions of future activities,
operations, direction, performance and results of Danone.
Although Danone believes its expectations
are based on reasonable assumptions, these forward-looking
statements are subject to numerous risks and uncertainties, which
could cause actual results to differ materially from those
anticipated in these forward-looking statements. For a detailed
description of these risks and uncertainties, please refer to the
“Risk Factor” section of Danone’s Universal Registration Document
(the current version of which is available at
www.danone.com).
Subject to regulatory requirements, Danone
does not undertake to publicly update or revise any of these
forward-looking statements. This document does not constitute an
offer to sell, or a solicitation of an offer to buy Danone
securities.
The
presentation to analysts and investors will be broadcast live today
from 8:00 a.m. (Paris time)
on Danone’s website
(www.danone.com).
Related slides will also be available on the website in
the Investors section.
APPENDIX – Sales by geographical zone
and by category (in € million)
|
|
First quarter |
Second quarter |
Half year |
|
|
2023 |
2024 |
2023 |
2024 |
2023 |
2024 |
BY GEOGRAPHICAL ZONE |
|
|
|
|
|
|
|
|
|
|
|
|
Europe |
2,248 |
2,336 |
2,429 |
2,447 |
4,677 |
4,783 |
|
North America |
1,714 |
1,737 |
1,704 |
1,595 |
3,418 |
3,331 |
|
China, North Asia & Oceania |
824 |
840 |
954 |
1,001 |
1,778 |
1,841 |
|
Latin America |
689 |
727 |
779 |
810 |
1,466 |
1,556 |
|
Rest of the World |
1,486 |
1,150 |
1,369 |
1,084 |
2,828 |
2,246 |
BY CATEGORY |
|
|
|
|
|
|
|
|
|
|
|
EDP |
3,768 |
3,474 |
3,731 |
3,298 |
7,503 |
6,785 |
|
Specialized Nutrition |
2,143 |
2,183 |
2,142 |
2,213 |
4,250 |
4,414 |
|
Waters |
1,051 |
1,132 |
1,362 |
1,426 |
2,413 |
2,557 |
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL |
6,962 |
6,789 |
7,235 |
6,938 |
14,167 |
13,757 |
|
|
First quarter 2024 |
Second quarter 2024 |
Half year 2024 |
|
|
Reported change |
LFL change |
Reported change |
LFL change |
Reported change |
LFL change |
BY GEOGRAPHICAL ZONE |
|
|
|
|
|
|
|
|
|
|
Europe |
+3.9% |
+2.8% |
+0.7% |
+0.7% |
+2.3% |
+1.7% |
|
North America |
+1.3% |
+2.5% |
-6.4% |
+5.0% |
-2.5% |
+3.7% |
|
China, North Asia & Oceania |
+1.9% |
+8.9% |
+5.0% |
+8.4% |
+3.5% |
+8.6% |
|
Latin America |
+5.4% |
+4.1% |
+4.0% |
+5.0% |
+6.1% |
+4.6% |
|
Rest of the World |
-22.7% |
+6.0% |
-20.8% |
+5.3% |
-20.6% |
+5.6% |
BY CATEGORY |
|
|
|
|
|
|
|
EDP |
-7.8% |
+3.0% |
-11.6% |
+3.3% |
-9.6% |
+3.1% |
|
Specialized Nutrition |
+1.9% |
+3.8% |
+3.3% |
+4.7% |
+3.9% |
+4.3% |
|
Waters |
+7.6% |
+8.1% |
+4.7% |
+4.4% |
+6.0% |
+6.0% |
|
|
|
|
|
|
|
|
|
TOTAL |
-2.5% |
+4.1% |
-4.1% |
+4.0% |
-2.9% |
+4.0% |
All references in this document to
Like-for-like (LFL) changes, Recurring operating income and margin,
Margin from operations, Recurring net income, Recurring income tax
rate, Recurring EPS, Free cash-flow and net financial debt,
correspond to alternative performance measures not defined by IFRS.
Their definitions, as well as their reconciliation with financial
statements, are listed on pages 5 to 8.
Grafico Azioni Danone (BIT:DNN)
Storico
Da Nov 2024 a Dic 2024
Grafico Azioni Danone (BIT:DNN)
Storico
Da Dic 2023 a Dic 2024
