Follow Mondelez International to never miss an important update.
Mondelez is collaborating with Accenture to update its order-to-cash process, which is the entire system of receiving, fulfilling, and getting paid for customer orders. They plan to use AI agents to make these steps faster and more accurate. While this is a technical back-office change, it fits into the company's broader plan to spend over 1 billion dollars on system upgrades. Improving these processes can help lower costs and make the supply chain more efficient, though the benefits will likely take time to show up in the bottom line.
Source: Business Wire
The company's leadership pointed to India and Brazil as standout regions where snack sales are growing steadily. These emerging markets are a vital part of the business because a rising middle class in these areas tends to buy more branded snacks like Oreo and Cadbury as their incomes grow.
This focus on volume growth in international markets is exactly what the company needs as it moves away from relying on price hikes. While some global brands are struggling with shoppers pulling back, these comments suggest that Mondelez is successfully building long-term loyalty in the regions that will drive its future growth.
Source: CNBC Television
Freedom Broker raised its rating on the company to buy on Friday. This move follows a quarterly report showing that people are buying more Oreos and Cadbury chocolate even as prices stay high, which is a key sign that these brands have staying power.
While this specific firm is smaller than the major global banks, the upgrade adds to a generally positive view from analysts. The average price target across all firms now sits at about $72, which is roughly 10 percent higher than where the stock is currently trading.
Source: Freedom Broker
Mondelez reported earnings of $0.78 per share, topping the $0.71 analysts expected. While revenue of $9.97 billion was just shy of targets, the real story was volume growth. The company sold about 2 percent more snacks by weight and count than a year ago, proving that its brands like Cadbury and Milka are still winning over shoppers even after several rounds of price hikes.
This volume growth is a vital sign for the business. It shows that the company is not just relying on higher prices to grow, but is actually putting more products into carts. With cocoa costs still high, the ability to keep customers buying while protecting profits suggests the company can weather this cycle and grow faster once ingredient costs eventually settle down.
See the full quarter, and how our tracked metrics did
Source: 8-K filing
After Mondelez reported its October results, we updated our fair value. We moved our rating to Watch and cut our quality score to 3.6 after lowering our view of its sales growth and competitive advantage. We have added the cost of installing new business software and the risk of changes to North American trade deals to what we track. We also adjusted our revenue projections for emerging markets after organic growth slowed to 4.9% over the past three months.
Management consistently sets a low bar and clears it, delivering seven beats in the last eight quarters. This pattern shows they have a tight grip on their global operations and costs.
| Expectation | |
|---|---|
| EPS | $0.88 |
| Revenue | $10.58B |
Follow Mondelez International to get the latest and most important updates.
Follow MDLZ