'Very strong' infant formula performance in China drive Danone sales
French food production group Danone has reported sales of €6bn in the first quarter of 2018, a 10.8pc increase year-on-year, according to results from the company.
The performance was driven by a "very strong" performance of the company’s infant formula in China, where the company reported like-for-like sales growth of over 50pc in its specialised nutrition business.
Infant formula comes under the group’s specialised nutrition business, which reported overall global sales growth of 14.5pc year-on-year in the three month period.
Organic sales at Danone increased by 4.9pc year-on-year in the three months, with volume increasing by 1.1pc and pricing/mix improving by 3.8pc.
Divisionally, the group reported positive organic sales growth in three of its four divisions.
Commenting on the results, Emmanuel Faber, chairman of Danone, said that he was "very pleased" with the "strong" set of results achieved in the first quarter.
"With organic growth of almost 5pc, this start to the year confirms the strength of our portfolio, reflects our relentless focus on execution and delivery, and our continued investment in brands and innovation."
Looking forwards and the group said that it was reaffirming its confidence in the agility of its business model to navigate what it described as a "volatile" environment to deliver its 2018 guidance and "accelerate towards our 2020 ambition."