Associated British Foods Plc, the U.K. owner of Twinings tea and Ovaltine malt drink, reported a 26 percent gain in first-half profit, beating some estimates, driven by the growth of the Primark budget-fashion chain.
Associated British Foods Plc, the owner of the Primark discount-clothing chain, fell the most in almost nine months after Credit Suisse Group AG said it’s unlikely Primark’s profit growth can continue at the pace seen in the first half.
Danone, the owner of Evian bottled- water and Activia yogurt, rose the most in almost three years in Paris trading after fourth-quarter sales beat estimates and the company announced plans to cut 900 jobs in Europe.
Nestle SA’s sales growth may trail that of Danone for a second year in 2011 as its smaller French rival benefits from a greater concentration on healthy food and emerging markets such as Russia and China, analysts said.
Nestle SA said it expects 2013 to be as challenging as last year, when sales missed analysts’ estimates on a slowdown in emerging markets, where the world’s largest food company makes more than 40 percent of its revenue.
Danone, the world’s biggest yogurt maker, reported third-quarter revenue that missed estimates as declines in Spain and Greece caused the weakest growth in sales of dairy products in more than three years.
Nestle SA rules the high-end coffee market in Europe with Nespresso capsules. Green Mountain Coffee Roasters Inc. dominates the U.S., leaving China as the biggest land grab for premium single-serve coffee.