Finance
Mondelez beats first-quarter profit estimates on higher prices
Published by Global Banking and Finance Review
Posted on April 29, 2025
Global Banking and Finance Review
Company
Global Banking and Finance Review is an online platform offering news, analysis, and opinion on the latest trends, developments, and innovations in the banking and finance industry worldwide. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.
Published by Global Banking and Finance Review
Posted on April 29, 2025
(Reuters) -Cadbury-parent Mondelez International beat Wall Street estimates for first-quarter profit on Tuesday, driven by the high prices for its chocolates and biscuits.
Mondelez implemented several rounds of price increases in recent quarters to offset rising costs of inputs, such as cocoa in 2024, helping the company's earnings.
This, along with its new product rollouts including the launch of the Glow Ups variant of its Sour Patch Kids candy and heavy-handed promotional activities and advertising spending helped the company draw in consumers amid high competition in the market.
However, Mondelez faces potential uncertainty due to an anticipated surge in product prices following U.S. President Donald Trump's tariff policies, which may impact consumer spending in the U.S., while the trade wars may affect its expansion efforts into emerging markets.
Shares of the Chicago-based company were up about 2% after the bell.
On an adjusted basis, the company earned 74 cents per share for the quarter ended March 31, ahead of analysts' average estimate of 66 cents per share, according to data compiled by LSEG.
The Toblerone maker reported an increase in its prices by 6.6 percentage points in the quarter, while its volumes fell 3.5 percentage points.
Mondelez's net revenue rose 0.2% to $9.31 billion for the quarter, compared with analysts' average estimate of $9.33 billion.
The company also reaffirmed its annual forecast, including organic net revenue growth of about 5% and a 10% decline in adjusted profits, noting it does not reflect any potential tariff changes.
"Our Q1 pricing and share performance, along with the global strength of our categories, provide us with continued confidence in our full-year outlook," said Mondelez CEO Dirk Van de Put in a statement.
(Reporting by Neil J Kanatt in Bengaluru; Editing by Tasim Zahid)