PARIS, April 26 (Reuters) – Danone raised its outlook for sales growth in 2023 after reporting higher-than-expected first-quarter revenue on Wednesday, as the world’s biggest yogurt maker was able to raise prices amid the high costs of raw materials and energy.
Danone, maker of Activia yogurts, Evian water and Aptamil infant milk, said it now expects like-for-like sales growth by 2023 of between 4% and 6%, after previously forecasting growth of between 3% and 5%.
The company reiterated its forecast for a moderate improvement in recurring operating margin for the year.
Danone said sales rose 10.5% on a like-for-like basis to 6.96 billion euros in the first quarter, beating expectations for growth of 7.3% in an average of 18 analysts.
The three activities —essential dairy products and vegetables, specialized nutrition and water— contributed to growth.
(Reporting by Dominique Vidalon; editing in Spanish by Benjamín Mejías Valencia)