Danone reported a 9.7% decline in full-year net profit to €1.83 billion for 2025, hit by €725 million in transformation charges and asset writedowns that quadrupled from the previous year. The French food and beverage giant's underlying sales growth was overshadowed by these non-recurring costs, which included disposal gains from 2024 such as the sale of its Russian dairy business and U.S. organic dairy brands Horizon and Wallaby.

On a recurring basis, operating income rose 3% to €3.67 billion, lifting the recurring operating margin 44 basis points to 13.4%. Full-year sales were broadly flat at €27.28 billion, as currency headwinds of 5% more than offset like-for-like growth of 4.5%. The company disclosed a recall of infant formula products in unspecified markets due to evolving national food safety requirements, though it stated the financial impact is currently "not material."

Specialized Nutrition, which includes infant formula, was Danone's fastest-growing category in 2025 with like-for-like sales rising 7.4% to €9.28 billion. The segment drove growth in China, North Asia and Oceania, where sales increased 13.2%. North America, the company's second-largest market, was the only major geography to post declining volumes in the fourth quarter, with like-for-like sales growth of just 0.7%.