How a small Barcelona yoghurt workshop became a global food and nutrition giant
Born from a quest to cure childhood illness in 1919, Danone evolved from a local pharmacy staple into a multinational powerhouse. Through decades of mergers, divestments, and strategic pivots, the company transformed its identity from glass packaging to a leader in health-focused nutrition, dairy, and hydration across 120 markets.
The story of Danone began in 1919 when Isaac Carasso launched a small yoghurt production workshop in Barcelona. Inspired by Nobel laureate Élie Metchnikoff’s research on lactic ferments, Carasso aimed to address intestinal disorders common among children after World War I. Initially sold in pharmacies as a health product, the brand was named after his son Daniel’s Catalan nickname. By 1929, Daniel Carasso had expanded the business to France, eventually establishing a factory in Levallois-Perret that helped integrate yoghurt into daily diets.
The modern corporation emerged from the 1973 merger between Gervais Danone and the glass and packaging firm BSN, led by Antoine Riboud. This union marked a period of aggressive diversification, as the group acquired pasta, beer, and grocery brands. However, by the late 1990s and early 2000s, the company shifted toward a leaner model. Under Franck Riboud, who succeeded his father in 1996, Danone divested its biscuit, confectionery, and packaging interests to focus on three core pillars: dairy and plant-based items, bottled water, and specialized nutrition.
Today, Danone operates as a global entity with approximately 90,000 employees. In 2020, it became the first listed company to adopt the 'société à mission' status under French law, formalizing its commitment to social and environmental goals. Despite past controversies—including high-profile labor disputes in 2001 and a complex legal battle over joint ventures in China—the company remains a significant player in the food industry, ranking as the world's tenth-largest food company with 2025 sales reaching €27.283 billion.
The company's evolution reflects a broader trend of corporate refocusing. By shedding non-core assets like the LU biscuit brand in 2007 and acquiring specialized nutrition firms like Numico, Danone has positioned itself to capitalize on growing global demand for health-oriented products. With 48% of its 2025 sales coming from dairy and plant-based goods, and 34% from specialized medical and infant nutrition, the firm continues to balance its historical roots in yoghurt with modern scientific nutrition.
Source: Danone
