Vending

Mondelez International raises 2021 expectations on strong Q3 2021 results

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November 3, 2021

Mondelez International Inc. reported improved earnings and revenue for Q3, 2021 and raised its expectations for fiscal 2021, according to an earnings release.

Net revenues increased 7.8% to $7.18 billion in Q3 over Q3 2020, driven by organic net revenue growth of 5.5% favorable currency and incremental sales from the company's acquisitions of Hu, Grenade and Gourmet Food. Pricing and volume drove organic net revenue growth.

Net earnings rose 12.4% over the prior year period to $1.26 billion.

Diluted earnings per share rose 14.1% to 89 cents due to an increase in adjusted EPS, lapping prior year intangible asset impairment charges, reductions to contingent consideration liabilities related to acquisitions, lower equity method investee items and lapping prior-year initial impacts from enacted tax law changes, partially offset by lower gains on equity method investment transactions.

Adjusted EPS rose 9.4% to 71 cents, driven by operating gains, fewer shares outstanding and lower income taxes in the quarter.

"We delivered strong revenue and earnings growth in the third quarter with broad strength across both developed and emerging markets," Dirk Van de Put, chairman and CEO, said in the press release. "We expect elevated inflation and logistics volatility to persist, but remain confident in our plans to deliver on our financial algorithm, supported by compounding brand investments, pricing as necessary, distribution expansion and our robust ESG agenda, including our recently announced target of net zero emissions by 2050."

The $7.18 billion in quarterly revenue beat analyst expectations by $120 million while the non-GAAP EPS of 71 cents beat expectations by one cent and the GAAP EPS of 89 cents beat expectations by 23 cents, according to Seeking Alpha.

Shares traded at $61.36 today against a 52-week range of $52.91-$65.60.

The company raised its organic revenue growth outlook to around 4.5% for fiscal 2021, with adjusted EPS rising in the high single digits.