In the third quarter, Danone reported a 5.8% sales increase, still below its pre-health crisis performance but better than anticipated.
Activia, Evian, and Bledina’s parent company announced Tuesday that sales from July to September amounted 6.16 billion euros ($7.15 billion). The number was slightly above the expectations of Factset’s industry analysts.
In particular, this result increased thank to “positive exchange rate effects (+0.8%) … Resulting from the appreciation of the Chinese renminbi, the Mexican peso, and the pound sterling against the euro”.
Volumes of sales, however, decreased by 0.8%.
In the third quarter of 2019, before the emergence of the Covid-19 pandemic, sales were €6.418 billion. With €18 billion in sales for nine months of 2021, sales remained stable compared to 2020.
According to Danone’s Chief Financial Officer Juergen Esser, “as our entire industry, we are impacted by the acceleration of inflation.”.
“While this initially concerned mainly the cost of raw materials, it has become widespread and now affects our entire supply chain in many parts of the world,” he continued.
“In this context, we are redoubling our efforts on productivity and pricing initiatives to mitigate the impact of this inflation on our performance,” Esser added.
Dannone also announced the appointment of a new general manager for human resources. Bertrand Austruy announced his resignation at the end of September.
The new appointee, Roberto du Bernardini, has worked in human resources departments at Colgate Palmolive, Johnson & Johnson, and Banco Santander before taking on his new role on 29 November. He will also serve on the group’s executive committee.
Following the crisis that culminated in the ousting of former CEO Emmanuel Faber in mid-March, Danone has experienced major changes at the top.
The new general manager, Mr. Antoine de Saint-Affrique, has been on the job since the beginning of the year.