Summary Box: Danone raises 2010 sales target after posting 10 percent rise in 1st half net

Summary Box: Danone posts 10 pct gain in 1st half

THE RESULTS: French food manufacturer Danone SA says strong demand in Asia and developing countries helped its first-half earnings rise 10 percent to 848 million euros ($1.1 billion). Overall sales rose 7 percent to 8.4 billion euros ($10.92 billion).

WHAT’S HOT: Bottled water and yogurt. The company makes such products as Evian water and Activia yogurt. Higher sales volumes were offset by lower selling prices and higher raw material prices, however, which squeezed profit margins.

WHAT’S NEXT: Danone now expects sales to grow at least 6 percent for the full year, compared with its previous forecast of at least 5 percent annual sales growth.