Message Font: Serif | Sans-Serif
No. of Recommendations: 0
I requested this board to discuss Groupe Danone.

After reorganizing a few years ago Danone now focuses on:

Fresh dairy products (Danone, Dannon, Stonyfield Farm, Danimals Drinkable)
Dairy products accounts for about half of the sales.

Bottled water (Evian, Crystal Springs, Sparkletts, Volvic)
About 25 to 30% of the sales comes from bottled water.

Biscuits and cereal products (LU, Prince)
About 25% of the sales comes from this category.

Sauces (Worcester)
This accounts for about 2 to 3% of the sales.

Fresh dairy products and bottled water showed nice growth rates in the first 6 months of 2004. The biscuits-division did not show much growth.

One problem could be the lowering of prices in France (a 2 to 3% price-cut on hundreds of brandname goods in France was sort of imposed on the companies by Finance Minister Sarkozy to increase boost the French economy). Danone has gone further and lowered the prices of some products from 3 to 19%. Danone did not expect that this would have much influence on the profits, they expected to sell more. France counts for about a quarter of the total sales.

On October 14th the third-quarter report will be published. I expect that in the next few years Danone will grow stronger than the competition.

- Onno
Print the post  


When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.