Antoine de Saint-Affrique, CEO at Danone, said the results reflect the relevance of the company’s health-focused portfolio and the strength of its multi-engine growth model.
This follows recent acquisitions of UK-based meal replacement brand Huel and Australian food and beverage company Made Group which owns brands such as Cocobella, Nutrient Water and The Collective.
“Demand for our winning platforms remained strong, including high protein products and medical nutrition across all regions, and skyr, kefir and plant-based in Europe,” he said. “At the same time, we made step-by-step progress in North America EDP [essential dairy and plant-based] and saw improving trends in infant milk formula in EMEA [Europe, the Middle East, and Africa].
“While some areas still require further progress and the environment remains unstable, we enter the second half of the year with confidence that 2026 will be another year of delivery, aligned with our value creation model and mid-term ambitions.”
Infant formula recall has minimal impact on sales
In the first half of 2026, Danone’s sales totaled €13.9 million, up by 3.5% on a like-for-like basis compared to the first half of 2025. Regionally, Asia Pacific (APAC) had a particularly strong performance, with sales growing by 5.2%. Meanwhile, sales in the Americas grew by 4.3% and EMEA sales grew by 3.6%.
Despite sales growth being lowest in EMEA, the region is still Danone’s largest market, generating €6.1 million in sales in H1 2026. This compares to roughly €4.6 million in the Americas and €3.1 million in APAC.
By category, the company’s essential dairy and plant-based (EDP) division (including brands such as Activia, Actimel and Alpro) is generating the largest amount of sales, followed by specialized nutrition (Aptamil, Cow & Gate and Nutricia) and waters (Evian, Volvic and Aqua).
In fact, sales within Danone’s specialized nutrition division grew by 3.2% on a like-for-like basis compared to last year, despite the company having to recall several batches of its infant formula at the start of the year.
Between January and February 2026, Danone withdrew several batches of Aptamil and Cow & Gate baby formula from the market due to the possible presence of cereulide, a toxin which can cause nausea and vomiting. The contamination was traced back to a third-party ingredient supplier, also used by food giant Nestlé.
Saint-Affrique previously said he didn’t expect the recall to have any major impact on share movement and only a limited impact on Q1 results. Following sustained growth into Q2, the company is now focused on strengthening supply control and reassuring its customers.
“Danone never compromises on food safety, and we want to reassure parents that our baby formula products were and continue to be safe,” a Danone spokesperson told NutraIngredients. “In line with evolving guidance, we acted quickly and transparently, recalling specific batches in collaboration with food safety authorities.
“We have strengthened our supplier controls through a triple-checking protocol and no longer source from the supplier concerned. Our focus now is on rebuilding confidence with parents, healthcare professionals and customers through safety, transparency and consistent execution.”
Navigating soaring whey protein costs amid heighted demand
Danone has also grappled with increasing whey protein costs this year, an issue that has affected many suppliers, manufacturers and brands within the supplement industry.
Data from commodity intelligence platform Vesper Tool reveals that the cost of WPC80 (whey protein concentrate containing at least 80% protein by weight) has risen to $32,000 per metric tonne ($14.50/lb), up from $5,500 per tonne ($2.49/lb) in 2023.
This price hike has been driven by a surge in demand which has outstripped supply. Danone confirmed it has seen increased demand for high protein products across all regions, with particularly strong demand in North America. As a result, the company has increased some product prices.
“High protein remains a strong growth driver for Danone in key markets, with double-digit growth across all regions,” the spokesperson said. “We continue to monitor commodity markets closely.
“As with all input costs, we manage commodity inflation through productivity improvements, disciplined execution and by making selective price increases where necessary. Our H1 performance demonstrates this approach: Recurring operating margin improved by 12 basis points (bps) despite the cost pressures facing the industry.”
Now, Danone has its sights set on growing its global reach and solidifying its presence in several health arenas, particularly the microbiome and gut health. This follows on from the company’s 2025 acquisition of The Akkermansia Company (TAC). Danone said while it is too early to comment on the TAC’s individual financial contribution, the acquisition reflects the company’s ‘science-led approach to innovation’.
“Our main focus is on organic growth—it is our number one priority— but we also use M&A [mergers and acquisitions] selectively to strengthen our portfolio and capabilities in areas where we see long-term demand,” the spokesperson said. “Huel expands our presence in complete and convenient nutrition, while The Made Group strengthens our position in APAC and functional nutrition.
“Looking ahead, we see attractive growth opportunities in several of the health-focused categories where Danone has leading positions, including specialized nutrition, medical nutrition, protein, gut health and healthy hydration.
