Danone confirms FY16 revenue growth guidance of 3%-5%
Danone still assumes that economic conditions will remain volatile and uncertain overall, with fragile or even deflationary consumer trends in Europe, emerging markets undermined by volatile currencies, and difficulties specific to a few major markets, in particular the CIS, China and Brazil. In this context, Danone continues to strengthen its balanced growth model and anchor profitable growth in a sustainable manner. To do so, it is relying more than ever on disciplined resource allocation, favoring solid execution of its growth plan and appropriate and efficient funding of short-, mid- and long-term initiatives. As a result, the company has raised its 2016 recurring operating margin target from "solid improvement" to a range of +50bps to +60bps, while confirming its sales growth guidance within a range of +3% to +5%.