Mondelez International Reports Slowing Sales Growth in Q4

Mondelez International, a Chicago-based snack foods company, announced that its sales growth in the fourth quarter of last year had slowed down. This news comes as consumers have started to pull back due to higher prices. Despite this slowdown, Mondelez still posted a profit of $950 million, or 70 cents per share, compared to $583 million, or 42 cents per share, in the same quarter the previous year.

When certain one-time items were excluded, adjusted earnings per share came to 84 cents, which surpasses the forecasted 78 cents by analysts. In terms of revenue, Mondelez saw a 7.1% increase to $9.31 billion, aligning with analysts' expectations.

The growth of organic net revenue for Mondelez was driven by pricing, resulting in a 9.8% increase. However, organic sales were negatively affected by unfavorable volume and mix. Looking ahead to the next year, Mondelez predicts that organic net revenue will grow between 3% and 5% in 2024, falling short of the expected 6% growth according to analysts.

Despite the slower growth, Mondelez remains optimistic and expects adjusted earnings per share to experience high single-digit growth on a constant currency basis.