Mondelez International, Inc. Quarterly Report for Q1 Ended Mar 31, 2019

Summary

Mondelez International, Inc. reported net revenues of $6.538 billion for the first quarter of 2019, a decrease of 3.4% compared to the same period in the prior year, primarily due to unfavorable currency translation. However, on an organic basis, which excludes currency impacts and acquisitions/divestitures, net revenue grew by 3.7%, driven by higher net pricing and favorable volume/mix. Diluted Earnings Per Share (EPS) attributable to Mondelēz International decreased by 10.0% to $0.63. Despite the GAAP decline, Adjusted EPS (a non-GAAP measure) increased by 3.2% to $0.65, and on a constant currency basis, it grew by 12.7% to $0.71, reflecting operational improvements and lower shares outstanding. The company's strategic priorities for accelerating consumer-centric growth and driving operational excellence appear to be progressing, as indicated by the organic growth and adjusted EPS performance.

Key Highlights

• 1Net revenues decreased 3.4% to $6.538 billion, impacted by unfavorable currency translation.
• 2Organic Net Revenue increased 3.7% to $7.016 billion, driven by higher net pricing and favorable volume/mix.
• 3Diluted EPS attributable to Mondelēz International decreased 10.0% to $0.63.
• 4Adjusted EPS (non-GAAP) increased 3.2% to $0.65, and on a constant currency basis, it increased 12.7% to $0.71.
• 5The company adopted the new lease accounting standard (ASC 842) on January 1, 2019, resulting in the recognition of lease-related assets and liabilities.
• 6The Simplify to Grow Program is ongoing, with $20 million in restructuring charges incurred in the first quarter of 2019.
• 7Mondelez repurchased approximately $0.7 billion of its common stock in the first quarter of 2019.

Frequently Asked Questions