Infant formula recall and impact of Iran war weigh on Danone Q1 sales

Danone posted first-quarter sales growth of 2.7%, slightly above expectations, but growth slowed sharply from the previous quarter. The company said a Europe-wide baby formula recall and the Middle East conflict weighed on specialised nutrition sales. The update is mildly negative due to the slowdown and near-term operational headwinds.

Analysis

Danone posted first-quarter sales growth of 2.7%, slightly above expectations, but growth slowed sharply from the previous quarter. The company said a Europe-wide baby formula recall and the Middle East conflict weighed on specialised nutrition sales. The update is mildly negative due to the slowdown and near-term operational headwinds.