Global dairy manufacturer Danone has reported mixed results for the first quarter of 2026, heavily impacted in Europe by the ongoing conflict in the Middle East.

The brand saw its like-for-like sales increase by 0.6 per cent in the Europe, Middle East and Africa (EMEA) region, largely driven by the negative impact of an infant milk formula recall and conflict in the Middle East.

The sales in the region declined by 1.6 per cent on a reported basis to around £2.57bn compared to £2.61bn in the year prior.

The Group’s total sales increased by 2.7 per cent on a like-for-like basis in the quarter to around £5.8bn year-on-year.

The growth was driven by Danone’s improved growth in the Americas, a continued strong performance in Latin America and the US regaining momentum.

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CEO of Danone Antoine de Saint-Affrique said: “This first quarter demonstrated again the resilience, strength and relevance of our health-focused portfolio; against a challenging backdrop, we delivered a solid performance.

“Our winning platforms continued to perform strongly, notably in dairy with high protein, skyr and kefir; in waters with Evian and Mizone; as well as in medical nutrition around the globe.

“We remained constructively dissatisfied and focused on delivering on our priorities and addressing the areas that still require further progress. In a world that remains volatile and uncertain, we stay disciplined and fully focused on executing on our Renew strategy.”

Moving forward, the business expects a like-for-like sales increase of between 3 per cent and 5 per cent in line with the medium-term ambition.

This news comes as UK retailers and manufacturers are dealing with the rising cost pressures from the ongoing Middle East conflict.