Mondelez International increased its second-quarter sales by 9.5 percent and raised its full-year forecast for organic net revenue growth.
In the second quarter, the owner of Toblerone and Oreo reported revenue of $7.27 billion, up from $6.64 billion in the previous year. Organic net revenue increased by 13.1 percent.
During the quarter, the company announced an agreement to acquire snack bar company Clif Bar, as part of its efforts to accelerate its core business and reshape its portfolio.
In the second quarter, the snacking giant’s emerging markets business saw a 22.4 percent increase in net revenue. Meanwhile, the company’s developed markets saw a 2.7 percent increase in net revenue.
Mondelez saw a 6.1 percent increase in sales to $2.63 billion in Europe, while its North America region saw a 9.3 percent increase to $2.24 billion.
The company’s second-quarter revenue in Latin America increased 30.9 percent to $876 million, while net revenue in Asia, Middle East, and Africa increased 5.7 percent to $1.54 billion.
Mondelez Chairman and CEO Dirk Van de Put stated, “Our chocolate and biscuit businesses continue to demonstrate strong volume growth and pricing resilience across both developed and emerging markets.” These results, together with ongoing cost discipline, simplification, and revenue growth management, have resulted in robust profit dollar growth and strong cash flow, allowing us to increase our dividend by 10%.”
“We also continue to execute on our strategy of accelerating our core business while reshaping our portfolio, most recently with our agreement to acquire Clif Bar, a leader in high-growth, wellbeing snack bars, resulting in a $1 billion-plus snack bar business,” he added. Clif Bar is the market leader in the US protein and nutrition segments, with clear opportunities to expand domestic and international distribution, velocity, and profitability in the coming years to create significant value for our shareholders.”
Mondelez has increased its organic net revenue growth forecast for the full year to 8%.
