Slide 1: H1 2024 Presentation
DANONC ONE PLANET. ONE HEALTH H1 2024 PRESENTATION JULY 31, 2024
Slide 2: Thanks to Pauline Ferrand-Prévot, Olympic champion Paris 2024
S’ENTRAINER PERSEVERER GAGNER MERCI A PAULINE FERRAND-PREVOT, O° mG. «RK Aan HiPRO j CHAMPIONNE OLYMPIQUE - PARIS 2024. 15g prorenes | NOUS SOMMES FIERS DE CONTRIBUER A MYRTLE-B0sH6s J MUSCLER TES ENTRAINEMENTS.
Slide 3: A Strong First Half
A STRONG FIRST HALF DELIVERING QUALITY GROWTH AND RESULTS +4,0% LFL SALES GROWTH Broad-based growth +45 BPS RECURRING OPERATING MARGIN
Slide 4: Further Fueling Our Growth Engines
FURTHER FUELING OUR GROWTH ENGINES BOOSTING OUR WINNERS, WHILST DRIVING THE CORE LEADING AND SHAPING HIGH PROTEIN évian ik
Slide 5: While Focusing on Continuous Improvement
WHILE FOCUSING ON CONTINUOUS IMPROVEMENT DOUBLING DOWN ON RENEW DANONE Retaking ownership of Building skills for the Fixing what needs category growth future fixing i78)A\ Category health claim Partnerships with Microsoft and Plant-based in North America Michelin Dairy Emerging Markets People upskil
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Slide 7: Strong Second Quarter
STRONG SECOND QUARTER CONTINUED PROGRESS IN OUR STRATEGIC AGENDA ACROSS GEOGRAPHIES AND CATEGORIES hs \ +4,.0% LFL sales growth Note: all data in like-for-like EUROPE NORTH AMERICA CHINA, NORTH ASIA & OCEANIA LATIN AMERICA REST OF THE WORLD
Slide 8: Further Strengthening Our Growth Model
FURTHER STRENGTHENING OUR GROWTH MODEL STRONG Q2 SALES GROWTH DRIVEN BY VOLUME/MIX UP +2.9% Fourth quarter of sequential volume/mix Driven by positive volume/mix in all improvement categories +2.9% +0.8% — = QO O a 42.6% +3.6% +2.6% -2.3% Q2 23 Q3 23 Q4 23 Q124 Q2 24
Slide 9: LFL Sales Growth Up +4.0% in Q2
LFL SALES GROWTH UP +4.0% IN Q2 VOLUME/MIX UP +2.9% AMID INCREASING PRICING NORMALIZATION — LFL GROWTH: +4.0% — +1.0% -0.89 42.9% 7 oe 7.2% P| P| €7,235m fuhich L] 208, currencies €6,938m REPORTED GROWTH: -4.1% Q2 2023 Volume/mix Price Currency, contribution Scope Q2 2024 Net Sales of hyperinflation
Slide 10: Europe
EUROPE FURTHER PROGRESS IN THE TRANSFORMATION Q2 2024: +0.7% LFL | +0.2% VOL/MIX; +0.5% PRICE * Positive vol/mix despite temporary shipment disruptions * Further progress in EDP competitiveness + Waters impacted by poor weather conditions; competitive performance of evian and Zywiec Zdroj LFL SALES
Slide 11: North America
NORTH AMERICA STRONG QUARTER LED BY OUR WINNING PLATFORMS Q2 2024: +5.0% LFL | +4.4% VOL/MIX; +0.6% PRICE H12024 KEY FIGURES * Strong vol/mix with resilient pricing Net sales €3.3bn + Performance led by Oikos, Stok and International Delight Like-for-like sales growth 18.7% . . : Volume-mix / price +
Slide 12: China, North Asia & Oceania
CHINA, NORTH ASIA & OCEANIA SUSTAINED COMPETITIVE GROWTH Q2 2024: +8.4% LFL | +9.4% VOL/MIX; -1.0% PRICE * Continued competitive momentum in Specialized Nutrition; double-digit growth in Medical Nutrition * Strong start to the season for Mizone * Another quarter of double-digit growth in EDP Japan L
Slide 13: Latin America
LATIN AMERICA PROGRESSING WITH BUSINESS MODEL TRANSFORMATION Q2 2024: +5.0% LFL | +1.8% VOL/MIX; +3.2% PRICE H12024 KEY FIGURES * Strong growth in both Waters and Specialized Nutrition Net sales €1.6bn * EDP vol/mix impacted by milk licensing out in Brazil eeesfolgikescles gout wi e% Volume-mix / pr
Slide 14: Rest of the World (AMEA)
REST OF THE WORLD (AMEA) SOLID QUARTER LED BY SPECIALIZED NUTRITION Q2 2024: +5.3% LFL | VOL/MIX +1.8%; PRICE +3.5% * Strong quarter in Specialized Nutrition across Asia and Middle-East * Continued progress in Dairy Africa portfolio transformation LFL SALES GROWTH BY QUARTER +11.8% +9.7% +6.0% +5.3%
Slide 15: Recurring Operating Margin Up +45 bps in H1 2024
RECURRING OPERATING MARGIN UP +45 BPS IN H1 2024 STRONG EXPANSION IN MARGIN FROM OPERATIONS, ALLOWING FOR REINVESTMENTS REPORTED: +45 BPS +257 bps pone mies 12.69% . fo -169 [| 8 bps H1 2023 Margin from Reinvestments in Overheads before Others! H12024 Recurring operations product, A&P, reinvestments
Slide 16: Recurring EPS Up +2.6%, Driven by Operational Performance
RECURRING EPS UP +2.6%, DRIVEN BY OPERATIONAL PERFORMANCE STRONG CASH GENERATION DRIVEN BY DISCIPLINE IN CAPEX AND WORKING CAPITAL MANAGEMENT 15.7% FREE CASH FLOW €176 8.3% || 45.6% €1.80 +11.0% -10.1% "0.3% €1.2bn €1.1bn -—— RECURRING EPS GROWTH: +2.6% -——- H12023 Operational Scope Currency Financi
Slide 17: 2024 Guidance
2024 GUIDANCE > i LFL sales growth +3% to +5% Recurring operating margin Moderate improvement
Slide 18: CEO Conclusion
Slide 19: Strong H1 Results, Doubling-Down on Renew Danone
STRONG H1 RESULTS DOUBLING-DOWN ON RENEW DANONE CONTINUOUS IMPROVEMENT MINDSET
Slide 20: Appendix
APPENDIX CERES
Slide 21: Q2 2024 Sales by Geographical Zone
Q2 2024 SALES BY GEOGRAPHICAL ZONE EUROPE NORTH CHINA, NORTH AMERICA ASIA & OCEANIA Q2 net sales €2,447m €1,595m €1,001m Like-for-like growth +0.7% +5.0% +8.4% Volume/Mix +0.2% +4.A% +9.4% Price +0.5% +0.6% “1.0% LATIN AMERICA €810m +5.0% +1.8% +3.2% REST OF COMPANY THE WORLD €1,084m €6,938m +5.3% +
Slide 22: Q2 2024 Sales by Category
Q2 2024 SALES BY CATEGORY Q2 net sales Like-for-like growth Volume/Mix Price COMPANY €6,938m +4,.0% +2.9% +1.0%
Slide 23: Q2 Sales by Category and Geography
Q2 SALES BY CATEGORY AND GEOGRAPHY re) EDP Sales LFL growth SPECIALIZED NUTRITION Sales LFL growth WATERS Sales LFL growth COMPANY Sales LFL growth EUROPE €1,086m +1.0% €780m +1.1% €581m 0.4% €2,447m +0.7% NORTH AMERICA €1,420m +5.4% €87m 6.1% €87m 411.1% €1,595m +5.0% CHINA, NORTH ASIA & OCEANIA €9
Slide 24: H1 2024 Sales by Geographical Zone
H1 2024 SALES BY GEOGRAPHICAL ZONE H1 net sales Like-for-like growth Volume/Mix Price EUROPE €4,783m +1.7% +0.1% +1.6% NORTH CHINA, NORTH AMERICA ASIA & OCEANIA €3,331m €1,841m +3.7% +8.6% +2.9% +8.3% +0.8% +0.4% LATIN AMERICA €1,556m +4.6% 0.2% +4.9% REST OF THE WORLD €2,246m +5.6% +1.4% +4.2% COMP
Slide 25: H1 2024 Sales by Category
H1 2024 SALES BY CATEGORY H1 net sales Like-for-like growth Volume/Mix Price COMPANY €13,757m +4,0% +2.1% +2.0%
Slide 26: H1 Sales by Category and Geography
H1SALES BY CATEGORY AND GEOGRAPHY o 90 ® re) EDP Sales LFL growth SPECIALIZED NUTRITION Sales LFL growth WATERS Sales LFL growth COMPANY Sales LFL growth EUROPE €2,175m +14% €1,565m +1.8% €1,043m 42.4% €4,783m +1.7% NORTH AMERICA €3,010m +3.9% €167m 5.9% €154m +11.0% €3,331m +3.7% CHINA, NORTH ASIA
Slide 27: Q2 and H1 2024 Sales by Geographical Zone
Q2 AND H1 2024 SALES BY GEOGRAPHICAL ZONE 2.2024 EUROPE _NORTHAMERICA cing OCEANA AMERICA «THE WORLD Like-for-like sales growth +0.7% +5.0% +8.4% +5.0% +5.3% Scope -0.5% “11.7% 0.0% 0.0% -22.3% 1.2% Currency and others! +0.6% +0.3% -3.4% -10.0% -9.6% 2.1% IAS 29 impact 0.0% 0.0% 0.0% -0.4% 42.1% +0.
Slide 28: Changes in Exchange Rates
CHANGES IN EXCHANGE RATES % total H1 2024 H1 24 vs. H1 23 (avg) Q2 24 vs. Q2 23 (avg) = united StatesDollar 22.7% 0.0% +1.3% Chinese Renminbi 11.2% -A1% -24% I Mexican Peso 6.1% +6.0% +4.0% MME indonesian Rupiah 5.7% 5.5% 7.1% SE ritish Pound 5.5% +2.5% +2.0% mam Polish Zloty 2.9% 47.1% +5.8% Il Can
Slide 29: Recurring Operating Margin
RECURRING OPERATING MARGIN H1 2023 H1 2024 Margin reported change Europe 10.6% 11.5% +87 bps North America 353 10.3% 355 10.7% +33 bps China, North Asia & Oceania 549 30.9% 563 30.6% -29 bps Latin America 42 2.8% 35 2.2% -62 bps Rest of the World 294 10.4% 243 10.8% +44 bps Essential Dairy & Plant-b
Slide 30: Non-Recurring Net Income
NON-RECURRING NET INCOME € million H1 2023 H1 2024 Change 2024 vs 2: Recurring net income group share 1,133 1,162 Non-recurring net income group share (40) 57 +97 g Operating income (53) 69 +122 E 2 Total Financial expenses (15) (9) 6 = 5 Income tax 6 25 +19 oa z . . S __ Share of profit (loss) of e
Slide 31: Balance Sheet
BALANCE SHEET € million 1 ASSETS'——, 1 LIABILITIES ——_ 31/12/23 30/06/24 31/12/23 30/06/24 - 16,222 Shareholders’ equity Intangible assets} ——_______ , 23,09 23,572 3 10,221 10,031 Net debt? Other assets ———_ 8,822 Gheeao 3,787 3,690 Other liabilities Working capital. ~~ Working capital 38,434 39,10
Slide 32: Disclaimer
DISCLAIMER This presentation contains certain forward-looking statements concerning Danone. In some cases, you can identify these forward-looking statements by forward-looking words, such as “estimate”, “expect”, “anticipate”, “project”, “plan”, “intend”, “objective”, “believe”, “forecast”, “guidanc