Danone reports strong sales growth despite widespread infant formula recall

Danone surpassed quarterly sales targets today while warning that a major baby formula recall will hit growth. Strong demand in China led the performance.

洞察:
Danone S.A. reported fourth-quarter sales growth today that exceeded market expectations, even as the company warned that an ongoing, widespread recall of baby formula due to possible cereulide contamination is expected to result in a modest one-off sales hit in the coming quarter. This development comes at a critical juncture as the French company, headquartered in France FRFR, releases its 2026 guidance and dividend plan while navigating a sector-level disruption that involves multiple industry participants.
FILE PHOTO: A logo of French food group Danone is seen at the company headquarters in Rueil-Malmaison near Paris, France, April 14, 2025. REUTERS/Stephanie Lecocq/File Photo
FILE PHOTO: A logo of French food group Danone is seen at the company headquarters in Rueil-Malmaison near Paris, France, April 14, 2025. REUTERS/Stephanie Lecocq/File Photo
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