Danone(US:DANOY) Globenewswire·2026-02-20 06:30Core Insights - The company reported a slight decline in sales for FY 2025, with total sales of €27,283 million, down 0.3% year-over-year, but like-for-like (LFL) sales grew by 4.5% driven by positive volume/mix and pricing strategies [2][9][10] - Recurring operating income increased by 3.0% to €3,665 million, with a recurring operating margin improvement of 44 basis points to 13.4% [2][19] - The company generated strong free cash flow of €2,799 million, although this was a decrease of 6.8% compared to the previous year [2][21] Financial Performance - FY 2025 sales were €27,283 million, with LFL sales growth of 4.5%, attributed to a 2.7% increase in volume/mix and a 1.8% increase in price [5][9] - Recurring net income attributable to the Group increased by 5.0% to €2,461 million, while total net income decreased by 9.7% to €1,825 million due to non-recurring expenses [2][20] - Recurring diluted EPS rose by 4.6% to €3.80, while reported EPS fell by 10.1% to €2.82 [2][20] Operational Highlights - The company experienced strong sales momentum across all categories and geographies, particularly in China, North Asia & Oceania, and Europe [4][5] - Q4 2025 sales were €6,684 million, reflecting a 4.7% increase LFL, driven by strong volume/mix and pricing [8][10] - The company proposed a dividend of €2.25 per share, up 4.7% from the previous year, reflecting confidence in future performance [23] Strategic Initiatives - The company is focused on reshaping its portfolio, enhancing capabilities in U.S. Medical Nutrition, and advancing microbiome science and digitalization [6][4] - The 2026 guidance aligns with mid-term ambitions, expecting LFL sales growth between 3% and 5%, with recurring operating income anticipated to grow faster than sales [26][7] - The company has been recognized for its sustainability efforts, achieving CDP 'Triple A' List and B Corp certification [5][32]