Emmanuel Faber Vice-Chairman, Co-Chief Operating Officer. CAGE Conference London 19 March 2014

Transcription

1 Emmanuel Faber Vice-Chairman, Co-Chief Operating Officer CAGE Conference London 19 March 2014

2 DISCLAIMER This document contains certain forward-looking statements concerning DANONE. Although DANONE believes its expectations are based on reasonable assumptions, these forward-looking statements are subject to numerous risks and uncertainties, which could cause actual results to differ materially from those anticipated in these forward-looking statements. For a detailed description of these risks and uncertainties, please refer to the section Risk Factors in DANONE s Annual Report (which is available on DANONE undertakes no obligation to publicly update or revise any of these forward-looking statements. This document does not constitute an offer to sell, or a solicitation of an offer to buy, Danone shares. 2

3 BRING DANONE BACK ON THE AGENDA OF A. Strong Sustainable Profitable GROWTH H H2 3

4 2013: STRONG GROWTH DYNAMICS ACROSS REGIONS EUROPE CIS & Noram CIS+USA+Canada 16.1% 14.2% 13.2% ALMA AsiapacLatamMiddleEastAfrica Actual Excluding 8 recall markets 4

5 KEY PRIORITIES FOR Fresh Dairy Products sales growth trend evolution 100 Estimated sales recovery path CIS&Noram sales growth trend evolution min media n max Off take Dec- 13 Jun-14 Dec-14 5

6 TURNING AROUND EUROPE 6

7 COMPLETING PLANS IN A TOUGH ECONOMIC CONTEXT Europe 2013 quarterly CANN growth Europe Euro zone 0.1% -0.3% 2013 GDP growth Source : The Economist / European Commission 7

8 EUROPE : PUSH FOR CONTINUOUS IMPROVEMENT AND TRANSFORM THE MODEL 8

9 EUROPE: SHAPING THE PORTFOLIO THROUGH INNOVATIONS 9

10 FIRST EVER GLOBAL ACTIVIA CAMPAIGN IN PARTNERSHIP WITH WORLD FAMOUS SUPERSTAR SHAKIRA FOR ITS NEW DARE TO FEEL GOOD CAMPAIGN Largest-ever integrated communications campaign Launched in over 50 countries worldwide Drive the brand s evolving healthy lifestyle positioning: inner health and well being 10

11 KEEP WINNING CIS & NORAM 11

12 UNITED STATES: LEADING THE CATEGORY GROWTH Mln Jan 2014 Best ever MS since % 30% Danone (1) Competitor 1 20% Competitor 2 10% (1) Danone : including Stonyfield and Yocrunch Source : IRI Multi Outlet in kg (1,027 ) 12

13 KEEP BUILDING A STRONGER CIS Mln (1,027 ) High single digit CAGR 1 3 Year CAGR +12.0% 2 Competitor Competitor 3 Year CAGR +18.0% Strong improvement Activia Bilayer Smeshariki for kids Prostokvashino Milk in a jar 13

14 MANAGING VOLATILITY 14

15 MANAGING VOLATILITY /Ton Impact EPS 5% milk price inflation : +10%

16 KEY PRODUCTIVITY INITIATIVES Mln

17 DEVELOP SUSTAINABLE AND HIGHEST QUALITY STANDARDS SOURCING Build relationship with Russian firm Damate to construct new Dairy farms plant-based plastics used by 4 brands in 7 countries 17

18 DANONE : A UNIQUE MODEL FOR DOING BUSINESS (1,027 ) 18

19 GROW AND NAVIGATE IN ALMA 19

20 BRINGING AQUADRINKS TO CONSUMERS New Year Fool s Day Net gaming E-commerce Plain sparkling HOD ALMA CIS&Noram Plain still Aquadrinks Europe 2013 Margin growth : +10 bps 20

21 BRAZIL : STRONG GROWTH ACROSS CATEGORIES 2013 performance : 28% value market share >15% like-for-like sales growth x3 Competitor 1 Competitor 2 Competitor 3 Set in Source: MT SHARE VOLUME IPANEL GSP Sales evolution Sales evolution

22 AFRICA: LEVERAGE STRONG POSITIONS x 2.5 (1,027 ) 22

23 TURN EARLY LIFE NUTRITION ENGINE BACK TO FULL SPEED 23

24 EARLY LIFE NUTRITION: STRONG UNDERLYINGS 9.0% 13.6% 11.5% 12.1% 17.1% 14.0% 13.5% 14.3% 14.8% 11.6% 12.6% 7.3% 3.6% Price/mix Volume Excluding Dumex and Karicare -8.6% -6.9% 24

25 2014 : FROM 1 TO 3 ENGINES TO DRIVE GROWTH IN CHINA (M.RMB) 1 brand 2 lines Emotion (1) (2) Services E + Products (1) Modern Trade (2) Mum and Baby stores 25

26 GUIDANCE (1,027 ) 2014 objectives Sales growth (1) 4.5% to 5.5% Trading operating margin (1) Free cash-flow excluding exceptional items (2) Stable ± 20 bps around 1.5 bn With no impact in 2013: (1) Like-for-like : Based on constant scope of consolidation, constant exchange rates and accounting principles (2) Free cash-flow excluding exceptional items : cash flows provided or used by operating activities less capital expenditure net of disposals, excluding acquisition costs related to business combinations and earn-outs related to business combinations and paid subsequently to acquisition date and before cash-flows related to initiatives that may be taken by the Group to deploy the plan to generate savings and adapt its organizations in Europe 26

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