Mondelēz International, Inc. (Nasdaq: MDLZ) today reported its
first quarter 2024 results.
“We posted solid top-line results coupled with robust earnings
and free cash flow generation in the first quarter driven by strong
pricing execution, effective cost management and emerging market
momentum,” said Dirk Van de Put, Chair and Chief Executive Officer.
“Despite facing a challenging and dynamic operating environment,
our teams remained focused and agile in executing against our
long-term growth strategy. We continue to reinvest in our brands,
drive distribution gains and capture synergies from recently
acquired assets to drive sustainable long-term growth.”
Net Revenue
$ in
millions |
ReportedNet Revenues |
|
Organic Net Revenue Growth |
|
Q1 2024 |
|
% Chgvs PY |
|
Q1 2024 |
|
Vol/Mix |
|
Pricing |
Quarter
1 |
|
|
|
|
|
|
|
|
|
Latin America |
$ |
1,319 |
|
8.9 |
% |
|
7.1 |
% |
|
(1.2) pp |
|
8.3 pp |
Asia, Middle East & Africa |
|
1,950 |
|
0.6 |
|
|
5.9 |
|
|
(0.2 |
) |
|
6.1 |
Europe |
|
3,368 |
|
1.8 |
|
|
4.4 |
|
|
(3.5 |
) |
|
7.9 |
North America |
|
2,653 |
|
(2.1 |
) |
|
1.3 |
|
|
(2.1 |
) |
|
3.4 |
Mondelēz International |
$ |
9,290 |
|
1.4 |
% |
|
4.2 |
% |
|
(2.1) pp |
|
6.3 pp |
Emerging Markets |
$ |
3,733 |
|
3.8 |
% |
|
8.3 |
% |
|
0.1 pp |
|
8.2 pp |
Developed Markets |
$ |
5,557 |
|
(0.2 |
)% |
|
1.4 |
% |
|
(3.6) pp |
|
5.0 pp |
Operating Income and Diluted EPS
$ in millions, except
per share data |
Reported |
|
Adjusted |
|
Q1 2024 |
|
vs PY(Rpt Fx) |
|
Q1 2024 |
|
vs PY(Rpt Fx) |
|
vs PY(Cst Fx) |
Quarter
1 |
|
|
|
|
|
|
|
|
|
Gross Profit |
$ |
4,750 |
|
|
37.8 |
% |
|
$ |
3,629 |
|
|
9.5 |
% |
|
11.6 |
% |
Gross Profit Margin |
|
51.1 |
% |
|
13.5 pp |
|
|
39.2 |
% |
|
2.4 pp |
|
|
Operating Income |
$ |
2,727 |
|
|
81.2 |
% |
|
$ |
1,710 |
|
|
12.2 |
% |
|
16.8 |
% |
Operating Income Margin |
|
29.4 |
% |
|
13.0 pp |
|
|
18.5 |
% |
|
1.6 pp |
|
|
Net Earnings2 |
$ |
1,412 |
|
|
(32.1) % |
|
$ |
1,294 |
|
|
9.8 |
% |
|
14.4 |
% |
Diluted EPS |
$ |
1.04 |
|
|
(31.6) % |
|
$ |
0.95 |
|
|
10.5 |
% |
|
16.3 |
% |
First Quarter Commentary
- Net revenues increased 1.4 percent driven by
Organic Net Revenue growth of 4.2 percent and incremental net
revenue from a short-term distributor agreement related to the sale
of our developed market gum business, partially offset by the
impact of our 2023 divestiture of the developed market gum business
and unfavorable currency-related items. Organic Net Revenue growth
was driven by higher net pricing, partially offset by unfavorable
volume/mix.
- Gross profit increased $1,304 million, and
gross profit margin increased 1,350 basis points to 51.1 percent
primarily driven by favorable year-over-year change in
mark-to-market impacts from derivatives and an increase in Adjusted
Gross Profit1 margin. Adjusted Gross Profit increased $384 million
at constant currency, and Adjusted Gross Profit margin increased
240 basis points to 39.2 percent due to higher pricing, lower
manufacturing costs driven by productivity and favorable product
mix, partially offset by higher raw material and transportation
costs.
- Operating income increased $1,222 million, and
operating income margin was 29.4 percent, up 1,300 basis points
primarily due to favorable year-over-year change in mark-to-market
gains/(losses) from currency and commodity hedging activities,
higher Adjusted Operating Income margin, lower divestiture-related
costs and lower remeasurement loss of net monetary position. These
favorable items were partially offset by the impact of the 2023
divestiture of the developed market gum business, higher
incremental costs due to the war in Ukraine and higher costs
incurred for the Simplify to Grow program. Adjusted Operating
Income increased $256 million at constant currency while Adjusted
Operating Income margin increased 160 basis points to 18.5 percent,
driven primarily by higher net pricing, lower manufacturing costs
driven by productivity and favorable product mix, partially offset
by input cost inflation and higher advertising and consumer
promotion costs.
- Diluted EPS was $1.04, down 31.6 percent,
primarily due to a non-cash impairment charge on our JDEP equity
method investment in 2024, lapping prior-year gains on marketable
securities and equity method investment transactions related to our
former KDP investment, lapping prior-year operating results from
the developed market gum business divested in 2023 and higher costs
incurred from our Simplify to Grow program. These unfavorable items
were partially offset by a favorable year-over-year change in
mark-to-market impacts from currency and commodity derivatives, an
increase in Adjusted EPS, lower divestiture-related costs, lower
acquisition integration costs and contingent consideration
adjustments and lower equity method investee items.
- Adjusted EPS was $0.95, up 16.3 percent on a
constant currency basis driven by strong operating gains, lower
interest expense and fewer shares outstanding, partially offset by
higher taxes.
- Capital Return: The company returned $1.1
billion to shareholders in cash dividends and share
repurchases.
2024 Outlook
Mondelēz International provides its outlook on a non-GAAP basis,
as the company cannot predict some elements that are included in
reported GAAP results, including the impact of foreign exchange.
Refer to the Outlook section in the discussion of non-GAAP
financial measures below for more details.
For 2024, the company expects Organic Net Revenue growth of 3 to
5 percent, high single-digit Adjusted EPS growth on a constant
currency basis based on 2023 Adjusted EPS incl. developed market
gum1. The company expects for 2024 Free Cash Flow of $3.5+ billion.
The company estimates currency translation would decrease 2024 net
revenue growth by approximately 1.5 percent3 with a negative $0.10
impact to Adjusted EPS3.
Outlook is provided in the context of greater than usual
volatility as a result of geopolitical uncertainty.
Conference Call
Mondelēz International will host a conference call for investors
with accompanying slides to review its results at 5 p.m. ET today.
A listen-only webcast will be provided at
www.mondelezinternational.com. An archive of the webcast will be
available on the company’s web site.
About Mondelēz International
Mondelēz International, Inc. (Nasdaq: MDLZ) empowers people to
snack right in over 150 countries around the world. With 2023 net
revenues of approximately $36 billion, MDLZ is leading the future
of snacking with iconic global and local brands such as Oreo, Ritz,
LU, Clif Bar and Tate's Bake Shop biscuits and baked snacks, as
well as Cadbury Dairy Milk, Milka and Toblerone chocolate. Mondelēz
International is a proud member of the Standard and Poor’s 500,
Nasdaq 100 and Dow Jones Sustainability Index. Visit
www.mondelezinternational.com or follow the company on Twitter at
www.twitter.com/MDLZ.
End Notes
- Organic Net Revenue, Adjusted Gross
Profit (and Adjusted Gross Profit margin), Adjusted Operating
Income (and Adjusted Operating Income margin), Adjusted EPS,
Adjusted EPS incl. developed market gum, Free Cash Flow and
presentation of amounts in constant currency are non-GAAP financial
measures. Please see discussion of non-GAAP financial measures at
the end of this press release for more information.
- Earnings attributable to Mondelēz
International.
- Currency estimate is based on
published rates from XE.com on April 23, 2024.
Additional Definitions
Emerging markets consist of the Latin America region in its
entirety; the Asia, Middle East and Africa region excluding
Australia, New Zealand and Japan; and the following countries from
the Europe region: Russia, Ukraine, Türkiye, Kazakhstan, Georgia,
Poland, Czech Republic, Slovak Republic, Hungary, Bulgaria,
Romania, the Baltics and the East Adriatic countries.
Developed markets include the entire North America region, the
Europe region excluding the countries included in the emerging
markets definition, and Australia, New Zealand and Japan from the
Asia, Middle East and Africa region.
Forward-Looking Statements
This press release contains “forward-looking statements” within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. All statements other than statements of historical fact
are “forward-looking statements” for purposes of federal and state
securities laws, including any projections of earnings, revenue or
other financial items; any statements of the plans, strategies and
objectives of management, including for future operations, capital
expenditures or share repurchases; any statements concerning
proposed new products, services, or developments; any statements
regarding future economic conditions or performance; any statements
of belief or expectation; and any statements of assumptions
underlying any of the foregoing or other future events.
Forward-looking statements may include, among others, the words,
and variations of words, “will,” “may,” “expect,” “would,” “could,”
“might,” “intend,” “plan,” “believe,” “likely,” “estimate,”
“anticipate,” “objective,” “predict,” “project,” “drive,” “seek,”
“aim,” “target,” “potential,” “commitment,” “outlook,” “continue”
or any other similar words.
Although we believe that the expectations
reflected in any of our forward-looking statements are reasonable,
actual results or outcomes could differ materially from those
projected or assumed in any of our forward-looking statements. Our
future financial condition and results of operations, as well as
any forward-looking statements, are subject to change and to
inherent risks and uncertainties, many of which are beyond our
control. Important factors that could cause our actual results or
performance to differ materially from those contained in or implied
by our forward-looking statements include, but are not limited to,
the following:
- weakness in macroeconomic
conditions in our markets, including as a result of inflation (and
related monetary policy actions by governments in response to
inflation), instability of certain financial institutions;
- volatility of commodity and other
input costs and availability of commodities, including but not
limited to cocoa;
- geopolitical uncertainty, including
the impact of ongoing or new developments in Ukraine and the Middle
East, related current and future sanctions imposed by governments
and other authorities and related impacts, including on our
business operations, employees, reputation, brands, financial
condition and results of operations;
- competition and our response to
channel shifts and pricing and other competitive pressures;
- pricing actions and customer and
consumer responses to such actions;
- promotion and protection of our
reputation and brand image;
- weakness in consumer spending
and/or changes in consumer preferences and demand and our ability
to predict, identify, interpret and meet these changes;
- risks from operating globally,
including in emerging markets, such as political, economic and
regulatory risks;
- the outcome and effects on us of
legal and tax proceedings and government investigations, including
the European Commission legal matter;
- use of information technology and
third party service providers;
- unanticipated disruptions to our
business, such as malware incidents, cyberattacks or other security
breaches, and supply, commodity, labor and transportation
constraints;
- our ability to identify, complete,
manage and realize the full extent of the benefits, cost savings or
synergies presented by strategic transactions, including our
recently completed acquisitions of Ricolino, Clif Bar, Chipita,
Gourmet Food, Grenade and Hu;
- our investments and our ownership
interests in those investments, including JDE Peet's;
- the restructuring program and our
other transformation initiatives not yielding the anticipated
benefits;
- changes in the assumptions on which
the restructuring program is based;
- the impact of climate change on our
supply chain and operations;
- global or regional health pandemics
or epidemics;
- consolidation of retail customers
and competition with retailer and other economy brands;
- changes in our relationships with
customers, suppliers or distributors;
- management of our workforce and
shifts in labor availability or labor costs;
- compliance with legal, regulatory,
tax and benefit laws and related changes, claims or actions;
- perceived or actual product quality
issues or product recalls;
- failure to maintain effective
internal control over financial reporting or disclosure controls
and procedures;
- our ability to protect our
intellectual property and intangible assets;
- tax matters including changes in
tax laws and rates, disagreements with taxing authorities and
imposition of new taxes;
- changes in currency exchange rates,
controls and restrictions;
- volatility of and access to capital
or other markets, rising interest rates, the effectiveness of our
cash management programs and our liquidity;
- pension costs;
- significant changes in valuation
factors that may adversely affect our impairment testing of
goodwill and intangible assets; and
- the risks and uncertainties, as
they may be amended from time to time, set forth in our filings
with the U.S. Securities and Exchange Commission, including our
most recently filed Annual Report on Form 10-K and subsequent
Quarterly Reports on Form 10-Q.
There may be other factors not presently known
to us or which we currently consider to be immaterial that could
cause our actual results to differ materially from those projected
in any forward-looking statements we make. We disclaim and do not
undertake any obligation to update or revise any forward-looking
statement in this press release except as required by applicable
law or regulation. In addition, historical, current and
forward-looking sustainability-related statements may be based on
standards for measuring progress that are still developing,
internal controls and processes that continue to evolve, and
assumptions that are subject to change in the future.
|
|
|
|
Schedule 1 |
Mondelēz International, Inc. and Subsidiaries |
Condensed Consolidated Statements of Earnings |
(in millions of U.S. dollars and shares, except per share
data) |
(Unaudited) |
|
|
|
|
|
|
|
For the Three Months Ended March 31, |
|
|
|
2024 |
|
|
|
2023 |
|
Net revenues |
$ |
9,290 |
|
|
$ |
9,166 |
|
Cost of sales |
|
(4,540 |
) |
|
|
(5,720 |
) |
|
Gross profit |
|
4,750 |
|
|
|
3,446 |
|
|
Gross profit margin |
|
51.1 |
% |
|
|
37.6 |
% |
|
|
|
|
|
Selling, general and administrative expenses |
|
(1,938 |
) |
|
|
(1,855 |
) |
Asset impairment and exit costs |
|
(47 |
) |
|
|
(47 |
) |
Amortization of intangible assets |
|
(38 |
) |
|
|
(39 |
) |
|
Operating income |
|
2,727 |
|
|
|
1,505 |
|
|
Operating income margin |
|
29.4 |
% |
|
|
16.4 |
% |
|
|
|
|
|
Benefit plan non-service income |
|
23 |
|
|
|
19 |
|
Interest and other expense, net |
|
(68 |
) |
|
|
(95 |
) |
Gain on marketable securities |
|
- |
|
|
|
796 |
|
|
Earnings before income taxes |
|
2,682 |
|
|
|
2,225 |
|
|
|
|
|
|
Income tax provision |
|
(632 |
) |
|
|
(658 |
) |
|
Effective tax rate |
|
23.6 |
% |
|
|
29.6 |
% |
(Loss)/gain on equity method investment transactions including
impairments |
|
(665 |
) |
|
|
487 |
|
Equity method investment net earnings |
|
31 |
|
|
|
35 |
|
|
Net earnings |
|
1,416 |
|
|
|
2,089 |
|
|
|
|
|
|
less: Noncontrolling interest earnings |
|
(4 |
) |
|
|
(8 |
) |
|
Net earnings attributable to Mondelēz International |
$ |
1,412 |
|
|
$ |
2,081 |
|
|
|
|
|
|
Per share data: |
|
|
|
|
Basic earnings per share attributable to Mondelēz
International |
$ |
1.05 |
|
|
$ |
1.52 |
|
|
|
|
|
|
|
Diluted earnings per share attributable to Mondelēz
International |
$ |
1.04 |
|
|
$ |
1.52 |
|
|
|
|
|
|
Average shares outstanding: |
|
|
|
|
Basic |
|
1,348 |
|
|
|
1,366 |
|
|
Diluted |
|
1,355 |
|
|
|
1,373 |
|
|
|
|
|
|
Schedule 2 |
Mondelēz International, Inc. and Subsidiaries |
Condensed Consolidated Balance Sheets |
(in millions of U.S. dollars) |
(Unaudited) |
|
|
|
|
|
|
|
March 31, |
|
December 31, |
|
|
|
|
2024 |
|
|
|
2023 |
|
|
|
ASSETS |
|
|
|
|
|
Cash and cash equivalents |
$ |
1,376 |
|
|
$ |
1,810 |
|
|
|
Trade receivables |
|
3,998 |
|
|
|
3,634 |
|
|
|
Other receivables |
|
816 |
|
|
|
878 |
|
|
|
Inventories, net |
|
3,562 |
|
|
|
3,615 |
|
|
|
Other current assets |
|
9,674 |
|
|
|
1,766 |
|
|
|
Total current assets |
|
19,426 |
|
|
|
11,703 |
|
|
|
Property, plant and equipment, net |
|
9,574 |
|
|
|
9,694 |
|
|
|
Operating lease right-of-use assets |
|
640 |
|
|
|
683 |
|
|
|
Goodwill |
|
23,539 |
|
|
|
23,896 |
|
|
|
Intangible assets, net |
|
19,614 |
|
|
|
19,836 |
|
|
|
Prepaid pension assets |
|
1,068 |
|
|
|
1,043 |
|
|
|
Deferred income taxes |
|
240 |
|
|
|
408 |
|
|
|
Equity method investments |
|
2,440 |
|
|
|
3,242 |
|
|
|
Other assets |
|
1,083 |
|
|
|
886 |
|
|
|
TOTAL ASSETS |
$ |
77,624 |
|
|
$ |
71,391 |
|
|
|
|
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
Short-term borrowings |
$ |
259 |
|
|
$ |
420 |
|
|
|
Current portion of long-term debt |
|
2,024 |
|
|
|
2,101 |
|
|
|
Accounts payable |
|
8,618 |
|
|
|
8,321 |
|
|
|
Accrued marketing |
|
2,791 |
|
|
|
2,683 |
|
|
|
Accrued employment costs |
|
928 |
|
|
|
1,158 |
|
|
|
Other current liabilities |
|
10,668 |
|
|
|
4,330 |
|
|
|
Total current liabilities |
|
25,288 |
|
|
|
19,013 |
|
|
|
Long-term debt |
|
16,781 |
|
|
|
16,887 |
|
|
|
Long-term operating lease liabilities |
|
504 |
|
|
|
537 |
|
|
|
Deferred income taxes |
|
3,408 |
|
|
|
3,292 |
|
|
|
Accrued pension costs |
|
395 |
|
|
|
437 |
|
|
|
Accrued postretirement health care costs |
|
125 |
|
|
|
124 |
|
|
|
Other liabilities |
|
2,609 |
|
|
|
2,735 |
|
|
|
TOTAL LIABILITIES |
|
49,110 |
|
|
|
43,025 |
|
|
|
|
|
|
|
|
|
EQUITY |
|
|
|
|
|
Common Stock |
|
- |
|
|
|
- |
|
|
|
Additional paid-in capital |
|
32,163 |
|
|
|
32,216 |
|
|
|
Retained earnings |
|
35,074 |
|
|
|
34,236 |
|
|
|
Accumulated other comprehensive losses |
|
(11,132 |
) |
|
|
(10,946 |
) |
|
|
Treasury stock |
|
(27,623 |
) |
|
|
(27,174 |
) |
|
|
Total Mondelēz International Shareholders' Equity |
|
28,482 |
|
|
|
28,332 |
|
|
|
Noncontrolling interest |
|
32 |
|
|
|
34 |
|
|
|
TOTAL EQUITY |
|
28,514 |
|
|
|
28,366 |
|
|
|
TOTAL LIABILITIES AND EQUITY |
$ |
77,624 |
|
|
$ |
71,391 |
|
|
|
|
|
|
|
|
|
|
March 31, |
|
December 31, |
|
|
|
|
2024 |
|
|
|
2023 |
|
|
Incr/(Decr) |
|
|
|
|
|
|
Short-term borrowings |
$ |
259 |
|
|
$ |
420 |
|
|
$ |
(161 |
) |
Current portion of long-term debt |
|
2,024 |
|
|
|
2,101 |
|
|
|
(77 |
) |
Long-term debt |
|
16,781 |
|
|
|
16,887 |
|
|
|
(106 |
) |
Total Debt |
|
19,064 |
|
|
|
19,408 |
|
|
|
(344 |
) |
Cash and cash equivalents |
|
1,376 |
|
|
|
1,810 |
|
|
|
(434 |
) |
Net Debt (1) |
$ |
17,688 |
|
|
$ |
17,598 |
|
|
$ |
90 |
|
|
|
|
|
|
|
(1) Net debt is defined as total debt, which includes short-term
borrowings, current portion of long-term debt and long-term debt,
less cash and cash equivalents. |
Schedule 3 |
Mondelēz International, Inc. and Subsidiaries |
|
Condensed Consolidated Statements of Cash
Flows |
|
(in millions of U.S. dollars) |
|
(Unaudited) |
|
|
|
|
|
|
|
For the Three Months Ended March 31, |
|
|
|
2024 |
|
|
|
2023 |
|
|
CASH PROVIDED BY/(USED IN) OPERATING ACTIVITIES |
|
|
|
|
Net earnings |
$ |
1,416 |
|
|
$ |
2,089 |
|
|
Adjustments to reconcile net earnings to operating cash flows: |
|
|
|
|
Depreciation and amortization |
|
319 |
|
|
|
303 |
|
|
Stock-based compensation expense |
|
31 |
|
|
|
38 |
|
|
Deferred income tax provision |
|
270 |
|
|
|
199 |
|
|
Asset impairments and accelerated depreciation |
|
6 |
|
|
|
18 |
|
|
Loss/(gain) on equity method investment transactions including
impairments |
|
665 |
|
|
|
(487 |
) |
|
Equity method investment net earnings |
|
(31 |
) |
|
|
(35 |
) |
|
Distributions from equity method investments |
|
81 |
|
|
|
102 |
|
|
Unrealized gain on derivative contracts |
|
(1,134 |
) |
|
|
(67 |
) |
|
Gain on marketable securities |
|
- |
|
|
|
(787 |
) |
|
Other non-cash items, net |
|
38 |
|
|
|
25 |
|
|
Change in assets and liabilities, net of acquisitions and
divestitures: |
|
|
|
|
Receivables, net |
|
(395 |
) |
|
|
(590 |
) |
|
Inventories, net |
|
(16 |
) |
|
|
(232 |
) |
|
Accounts payable |
|
419 |
|
|
|
216 |
|
|
Other current assets |
|
(330 |
) |
|
|
(137 |
) |
|
Other current liabilities |
|
45 |
|
|
|
517 |
|
|
Change in pension and postretirement assets and liabilities,
net |
|
(60 |
) |
|
|
(49 |
) |
|
Net cash provided by operating activities |
|
1,324 |
|
|
|
1,123 |
|
|
|
|
|
|
|
CASH PROVIDED BY/(USED IN) INVESTING ACTIVITIES |
|
|
|
|
Capital expenditures |
|
(299 |
) |
|
|
(223 |
) |
|
Acquisitions, net of cash received |
|
- |
|
|
|
1 |
|
|
Proceeds from divestitures including equity method and marketable
security investments |
|
4 |
|
|
|
1,034 |
|
|
Proceeds from derivative settlements |
|
71 |
|
|
|
61 |
|
|
Payments for derivative settlements |
|
(32 |
) |
|
|
(5 |
) |
|
Contributions to investments |
|
(192 |
) |
|
|
(246 |
) |
|
Proceeds from sale of property, plant and equipment and other |
|
2 |
|
|
|
14 |
|
|
Net cash (used in)/provided by investing activities |
|
(446 |
) |
|
|
636 |
|
|
|
|
|
|
|
CASH PROVIDED BY/(USED IN) FINANCING ACTIVITIES |
|
|
|
|
Issuance of Commercial paper, maturities greater than 90 days |
|
- |
|
|
|
- |
|
|
Repayments of Commercial paper, maturities greater than 90
days |
|
- |
|
|
|
- |
|
|
Net (repayments)/issuances of short-term borrowings |
|
(166 |
) |
|
|
156 |
|
|
Long-term debt proceeds |
|
547 |
|
|
|
- |
|
|
Long-term debt repayments |
|
(534 |
) |
|
|
(1,036 |
) |
|
Repurchases of Common Stock |
|
(568 |
) |
|
|
(399 |
) |
|
Dividends paid |
|
(578 |
) |
|
|
(529 |
) |
|
Other |
|
76 |
|
|
|
51 |
|
|
Net cash used in financing activities |
|
(1,223 |
) |
|
|
(1,757 |
) |
|
|
|
|
|
|
Effect of exchange rate changes on cash, cash equivalents and
restricted cash |
|
(77 |
) |
|
|
(11 |
) |
|
|
|
|
|
|
Cash, Cash Equivalents and Restricted Cash |
|
|
|
|
Decrease |
|
(422 |
) |
|
|
(9 |
) |
|
Balance at beginning of period |
|
1,884 |
|
|
|
1,948 |
|
|
Balance at end of period |
$ |
1,462 |
|
|
$ |
1,939 |
|
|
|
|
|
|
|
Mondelēz International, Inc. and
SubsidiariesReconciliation of GAAP and Non-GAAP
Financial Measures(Unaudited)
The company reports its financial results in
accordance with accounting principles generally accepted in the
United States (“U.S. GAAP”). However, management believes that also
presenting certain non-GAAP financial measures provides additional
information to facilitate the comparison of the company’s
historical operating results and trends in its underlying operating
results, and provides additional transparency on how the company
evaluates its business. Management uses these non-GAAP financial
measures in making financial, operating and planning decisions and
in evaluating the company’s performance. The company also believes
that presenting these measures allows investors to view its
performance using the same measures that the company uses in
evaluating its financial and business performance and trends.
The company considers quantitative and
qualitative factors in assessing whether to adjust for the impact
of items that may be significant or that could affect an
understanding of its ongoing financial and business performance and
trends. The adjustments generally fall within the following
categories: acquisition & divestiture activities, gains
and losses on intangible asset sales and non-cash impairments,
major program restructuring activities, constant currency and
related adjustments, major program financing and hedging activities
and other major items affecting comparability of operating results.
See below for a description of adjustments to the company’s U.S.
GAAP financial measures included herein.
Non-GAAP information should be considered as
supplemental in nature and is not meant to be considered in
isolation or as a substitute for the related financial information
prepared in accordance with U.S. GAAP. In addition, the company’s
non-GAAP financial measures may not be the same as or comparable to
similar non-GAAP measures presented by other companies.
DEFINITIONS OF THE COMPANY’S NON-GAAP
FINANCIAL MEASURESThe company’s non-GAAP financial
measures and corresponding metrics reflect how the company
evaluates its operating results currently and provide improved
comparability of operating results. As new events or circumstances
arise, these definitions could change. When these definitions
change, the company provides the updated definitions and presents
the related non-GAAP historical results on a comparable basis. When
items no longer impact the company’s current or future presentation
of non-GAAP operating results, the company removes these items from
its non-GAAP definitions. Beginning in Q1 2024, due to a
significant devaluation of the Argentinean peso that occurred in
December 2023 and the resulting distortion it would cause on our
non-GAAP constant currency growth rate measures, the company now
excludes the impact of pricing in excess of 26% year-over-year
("extreme pricing") in Argentina. The benchmark of 26% represents
the minimum annual inflation rate for each year over a 3-year
period which would result in a cumulative inflation rate in excess
of 100%, the level at which an economy is considered
hyperinflationary under U.S. GAAP. The company has excluded the
impact of extreme pricing in Argentina from its calculation of
Organic Net Revenue, Organic Net Revenue growth and other non-GAAP
financial constant currency growth measures with a corresponding
adjustment to changes in currency exchange rates. The company made
this change on a prospective basis due to the distorting effect
expected in the current period and future periods following the
Argentinian peso devaluation that occurred in December 2023 and did
not revise its historical non-GAAP constant currency growth
measures.
- “Organic Net
Revenue” is defined as net revenues (the most comparable
U.S. GAAP financial measure) excluding the impacts of acquisitions,
divestitures, short-term distributor agreements related to the sale
of a business and currency rate fluctuations. The company also
evaluates Organic Net Revenue growth from emerging markets and
developed markets.
- “Adjusted Gross
Profit” is defined as gross profit (the most comparable
U.S. GAAP financial measure) excluding the impacts of the Simplify
to Grow Program; acquisition integration costs; the operating
results of divestitures; operating results from short-term
distributor agreements related to the sale of a business;
mark-to-market impacts from commodity, forecasted currency and
equity method investment transaction derivative contracts;
inventory step-up charges; 2017 malware incident net recoveries;
and incremental costs due to the war in Ukraine. The company also
presents “Adjusted Gross Profit margin,” which is subject to the
same adjustments as Adjusted Gross Profit. The company also
evaluates growth in the company’s Adjusted Gross Profit on a
constant currency basis.
- “Adjusted Operating
Income” and “Adjusted Segment Operating
Income” are defined as operating income (the most
comparable U.S. GAAP financial measures) or segment operating
income excluding the impacts of the items listed in the Adjusted
Gross Profit definition as well as gains or losses (including
non-cash impairment charges) on goodwill and intangible assets;
divestiture or acquisition gains or losses, divestiture-related
costs, acquisition-related costs, and acquisition integration costs
and contingent consideration adjustments; remeasurement of net
monetary position; impacts from resolution of tax matters; the
European commission legal matter; and impact from pension
participation changes. The company also presents “Adjusted
Operating Income margin” and “Adjusted Segment Operating Income
margin,” which are subject to the same adjustments as Adjusted
Operating Income and Adjusted Segment Operating Income. The company
also evaluates growth in the company’s Adjusted Operating Income
and Adjusted Segment Operating Income on a constant currency
basis.
- “Adjusted EPS” is
defined as diluted EPS attributable to Mondelēz International from
continuing operations (the most comparable U.S. GAAP financial
measure) excluding the impacts of the items listed in the Adjusted
Operating Income definition, as well as losses on debt
extinguishment and related expenses; gains or losses on interest
rate swaps no longer designated as accounting cash flow hedges due
to changed financing and hedging plans; mark-to-market unrealized
gains or losses and realized gains or losses from marketable
securities; initial impacts from enacted tax law changes; and gains
or losses on equity method investment transactions. Similarly,
within Adjusted EPS, the company’s equity method investment net
earnings exclude its proportionate share of its investee's
significant operating and non-operating items. The tax impact of
each of the items excluded from the company’s U.S GAAP results was
computed based on the facts and tax assumptions associated with
each item, and such impacts have also been excluded from Adjusted
EPS. The company also evaluates growth in the company’s Adjusted
EPS on a constant currency basis.
- "Adjusted EPS including the
developed market gum business" is defined as the sum of
(1) Adjusted EPS as described above within the non-GAAP financial
measures definitions, and (2) the net earnings contribution from
the developed market gum business divested on October 1, 2023, that
has been removed from Adjusted EPS results for the periods prior to
completion of this divestiture. Please see the 8-K issued on
January 30, 2024 for additional details. As the developed market
gum business was divested towards the end of 2023, the company
determined to include its net earnings for the partial year through
October 1, 2023 in this additional non-GAAP EPS financial measure
to facilitate comparison to the company's 2024 outlook, as this
financial measure was the basis for the 2024 outlook.
- “Free Cash Flow”
is defined as net cash provided by operating activities less
capital expenditures (the most comparable U.S. GAAP financial
measure). Free Cash Flow is the company’s primary measure used to
monitor its cash flow performance.
See the attached schedules for supplemental
financial data and corresponding reconciliations of the non-GAAP
financial measures referred to above to the most comparable U.S.
GAAP financial measures for the three months ended March 31, 2024
and March 31, 2023. See Items Impacting Comparability of Operating
Results below for more information about the items referenced in
these definitions that specifically impacted the company’s
results.
SEGMENT OPERATING INCOMEThe
company uses segment operating income to evaluate segment
performance and allocate resources. The company believes it is
appropriate to disclose this measure to help investors analyze
segment performance and trends. Segment operating income excludes
unrealized gains and losses on hedging activities (which are a
component of cost of sales), general corporate expenses (which are
a component of selling, general and administrative expenses),
amortization of intangibles, gains and losses on divestitures and
acquisition-related costs (which are a component of selling,
general and administrative expenses) in all periods presented. The
company excludes these items from segment operating income in order
to provide better transparency of its segment operating results.
Furthermore, the company centrally manages benefit plan non-service
income and interest and other expense, net. Accordingly, the
company does not present these items by segment because they are
excluded from the segment profitability measure that management
reviews.
ITEMS IMPACTING COMPARABILITY OF
OPERATING RESULTSThe following information is provided to
give qualitative and quantitative information related to items
impacting comparability of operating results. The company
identifies these based on how management views the company’s
business; makes financial, operating and planning decisions; and
evaluates the company’s ongoing performance. In addition, the
company discloses the impact of changes in currency exchange rates
on the company’s financial results in order to reflect results on a
constant currency basis.
Divestitures, Divestiture-related costs
and Gains/(losses) on divestituresDivestitures include
completed sales of businesses, exits of major product lines upon
completion of a sale or licensing agreement. the partial or full
sale of an equity method investment and changes from equity method
investment accounting to accounting for marketable securities. As
the company records its share of JDE Peet’s ongoing earnings on a
one-quarter lag basis, any JDE Peet’s ownership reductions are
reflected as divestitures within the company's non-GAAP results the
following quarter. Divestiture-related costs, which includes costs
incurred in relation to the preparation and completion (including
one-time costs such as severance related to elimination of stranded
costs) for the company's divestitures as defined above, also
includes costs incurred associated with the company's publicly
announced processes to sell businesses.
- On October 1, 2023, the company
completed the sale of its developed market gum business in the
United States, Canada, and Europe to Perfetti Van Melle Group,
excluding the Portugal business which the company sold on October
23, 2023 after obtaining regulatory approval. The company received
cash proceeds of $1.4 billion and recorded a pre-tax gain of $108
million on the sale. The divestiture of this business resulted in a
year-over-year reduction in net revenues of $147 million in the
three months ended March 31, 2024. The company incurred
divestiture-related costs of $4 million in the three months ended
March 31, 2024 and $30 million in the three months ended March 31,
2023.
- The company's 2023 divestitures,
impacting its historical results, also included the company's sales
of JDE Peet's shares during the three months ended September 30,
2023, the April 3, 2023 sale of JDE Peet's shares and the March 2,
2023 sale of KDP shares and the change from equity method
investment accounting to accounting for marketable securities for
the company's remaining equity interest in KDP. See the section on
gains/losses on equity method investment transactions and
marketable securities below for more information.
Operating results from short-term
distributor agreementsIn the fourth quarter of 2023, the
company began to exclude the operating results from short-term
distributor agreements that have been executed in conjunction with
the sale of a business. The company excludes this item to better
facilitate comparisons of underlying performance across
periods.
As part of the sale of the company's developed
market gum business on October 1, 2023, the company entered into a
short-term distribution agreement with the buyer, Perfetti Van
Melle Group, to distribute gum products in certain European markets
for up to six months. The company recorded net revenues of $25
million and operating income of $2 million in the three months
ended March 31, 2024.
Acquisitions, Acquisition-related costs
and Acquisition integration costs and contingent consideration
adjustmentsAcquisition-related costs, which includes
transaction costs such as third party advisor, investment banking
and legal fees, also includes one-time compensation expense related
to the buyout of non-vested employee stock ownership plan shares
and realized gains or losses from hedging activities associated
with acquisition funds. Acquisition integration costs and
contingent consideration adjustments include one-time costs related
to the integration of acquisitions as well as any adjustments made
to the fair market value of contingent compensation liabilities
that have been previously booked for earn-outs related to
acquisitions that do not relate to employee compensation expense.
The company excludes these items to better facilitate comparisons
of its underlying operating performance across periods.
On November 1, 2022, the company acquired 100%
of the equity of Grupo Bimbo's confectionery business, Ricolino,
located primarily in Mexico. The acquisition of Ricolino builds on
our continued prioritization of fast-growing snacking segments in
key geographies. The company incurred acquisition integration costs
of $17 million in the three months ended March 31, 2024 and $6
million in the three months ended March 31, 2023.
On August 1, 2022, the company acquired 100% of
the equity of Clif Bar & Company (“Clif Bar”), a leading U.S.
maker of nutritious energy bars with organic ingredients. The
acquisition expands our global snacks bar business and complements
our refrigerated snacking and performance nutrition bar portfolios.
The company incurred acquisition integration costs and contingent
consideration adjustments of $20 million in the three months ended
March 31, 2024 and $39 million in the three months ended March 31,
2023. These acquisition integration costs include an increase to
the contingent consideration liability due to changes to underlying
assumptions.
On January 3, 2022, the company acquired 100% of
the equity of Chipita Global S.A. (“Chipita”), a leading croissants
and baked snacks company in the Central and Eastern European
markets. The acquisition of Chipita offers a strategic complement
to the company's existing portfolio and advances its strategy to
become the global leader in broader snacking. The company incurred
acquisition integration costs of $6 million in the three months
ended March 31, 2023.
On April 1, 2020, the company acquired a
majority interest in Give & Go, a North American leader in
fully-finished sweet baked goods and owner of the famous two-bite®
brand of brownies and the Create-A-Treat® brand, known for cookie
and gingerbread house decorating kits. The acquisition of Give
& Go provides access to the in-store bakery channel and expands
the company's position in broader snacking. The company incurred
acquisition integration costs and contingent consideration
adjustments of $6 million in the three months ended March 31, 2024,
primarily includes an increase to the contingent consideration
liability due to changes to underlying assumptions.
Simplify to Grow ProgramThe
primary objective of the Simplify to Grow Program is to reduce the
company’s operating cost structure in both its supply chain and
overhead costs. The program covers severance as well as asset
disposals and other manufacturing and procurement-related one-time
costs.
Restructuring costsThe company recorded
restructuring charges of $42 million in the three months ended
March 31, 2024, and $30 million in the three months ended March 31,
2023. This activity was recorded within asset impairment and exit
costs and benefit plan non-service income. These charges were for
severance and related costs, non-cash asset write-downs (including
accelerated depreciation and asset impairments) and other
adjustments, including any gains on sale of restructuring program
assets.
Implementation costsImplementation costs
primarily relate to reorganizing the company’s operations and
facilities in connection with its supply chain reinvention program
and other identified productivity and cost saving initiatives. The
costs include incremental expenses related to the closure of
facilities, costs to terminate certain contracts and the
simplification of the company’s information systems. The company
recorded implementation costs of $11 million in the three months
ended March 31, 2024, and $5 million in the three months ended
March 31, 2023.
Mark-to-market impacts from commodity
and currency derivative contractsThe company excludes
unrealized gains and losses (mark-to-market impacts) from
outstanding commodity and forecasted currency and equity method
investment transaction derivative contracts from its non-GAAP
earnings measures. The mark-to-market impacts of commodity and
forecasted currency transaction derivatives are excluded until such
time that the related exposures impact the company's operating
results. Since the company purchases commodity and forecasted
currency transaction contracts to mitigate price volatility
primarily for inventory requirements in future periods, the company
makes this adjustment to remove the volatility of these future
inventory purchases on current operating results to facilitate
comparisons of its underlying operating performance across periods.
The company excludes equity method investment derivative contract
settlements as they represent protection of value for future
divestitures. The company recorded commodity, forecasted currency
and equity method transaction derivatives net unrealized gains of
$1,124 million in the three months ended March 31, 2024, and $48
million in the three months ended March 31, 2023.
Remeasurement of net monetary
positionThe company translates the results of operations
of its subsidiaries from multiple currencies using average exchange
rates during each period and translate balance sheet accounts using
exchange rates at the end of each period. The company records
currency translation adjustments as a component of equity (except
for highly inflationary currencies) and realized exchange gains and
losses on transactions in earnings.
Highly inflationary accounting is triggered when
a country’s three-year cumulative inflation rate exceeds 100%. It
requires the remeasurement of financial statements of subsidiaries
in the country, from the functional currency of the subsidiary to
our U.S. dollar reporting currency, with currency remeasurement
gains or losses recorded in earnings. At this time, within the
company's consolidated entities, Argentina and Türkiye are
accounted for as highly inflationary economies. For Argentina, the
company recorded a remeasurement loss of $2 million in the three
months ended March 31, 2024, and $11 million in the three months
ended March 31, 2023 related to the revaluation of the Argentinean
peso denominated net monetary position over these periods. For
Türkiye, the company recorded a remeasurement loss of $6 million in
the three months ended March 31, 2024, and $1 million in the three
months ended March 31, 2023 related to the revaluation of the
Turkish lira denominated net monetary position over these periods.
The company recorded these charges for Argentina and Türkiye within
selling, general and administrative expenses.
Impact from pension participation
changesThe impact from pension participation changes
represent the charges incurred when employee groups are withdrawn
from multiemployer pension plans and other changes in employee
group pension plan participation. The company excludes these
charges from its non-GAAP results because those amounts do not
reflect the company’s ongoing pension obligations.
On July 11, 2019, the company received an
undiscounted withdrawal liability assessment related to the
company's complete withdrawal from the Bakery and Confectionery
Union and Industry International Pension Fund totaling $491 million
requiring pro-rata monthly payments over 20 years. The company
began making monthly payments during the third quarter of 2019. In
connection with the discounted long-term liability, the company
recorded accreted interest of $2 million in the three months ended
March 31, 2024 and $3 million in the three months ended March 31,
2023 within interest and other expense, net. As of March 31, 2024,
the remaining discounted withdrawal liability was $324 million,
with $16 million recorded in other current liabilities and $308
million recorded in long-term other liabilities.
Incremental costs due to the war in
UkraineIn February 2022, Russia began a military invasion
of Ukraine and the company closed its operations and facilities in
Ukraine. In March 2022, the company's two Ukrainian manufacturing
facilities in Trostyanets and Vyshhorod were significantly damaged.
During the first quarter of 2022, the company evaluated and
impaired these and other assets. The company recorded
$143 million of total expenses ($145 million after-tax)
incurred as a direct result of the war. The company reversed $22
million during the remainder of 2022 and $3 million during the
first quarter of 2023 of previously recorded charges primarily as a
result of higher than expected collection of trade receivables and
inventory recoveries. The company continues to make targeted
repairs on both our plants and have partially reopened and
restarted limited production in both plants. The company incurred
costs of $1 million in the three months ended March 31, 2024.
Initial impacts from enacted tax law
changesThe company excludes initial impacts from enacted
tax law changes from its non-GAAP financial measures as they do not
reflect its ongoing tax obligations under the enacted tax law
changes. Initial impacts include items such as the remeasurement of
deferred tax balances and the transition tax from the 2017 U.S. tax
reform.
The company recorded a net tax benefit from the
decrease of its deferred tax liabilities resulting from enacted tax
legislation of $2 million in the three months ended March 31,
2024.
Gains and losses on marketable
securities and equity method investment transactions
including impairment charges)Keurig Dr PepperOn
March 2, 2023, the company sold approximately 30 million shares of
Keurig Dr Pepper Inc. (NASDAQ: "KDP"), which reduced our ownership
interest by 2.1 percentage points, from 5.3% to 3.2% of the total
outstanding shares. The company received approximately $1.0 billion
in proceeds and recorded a pre-tax gain on equity method
transactions of $493 million ($368 million after-tax) on this sale
during the first quarter of 2023. This reduction in ownership, to
below 5% of the outstanding shares, resulted in a change of
accounting for our KDP investment, from equity method investment
accounting to accounting for equity interests with readily
determinable fair values ("marketable securities") as the company
no longer had significant influence over KDP. Marketable securities
are measured at fair value based on quoted prices in active markets
for identical assets (Level 1). In addition, the company recorded
an unrealized gain on marketable securities of $787 million during
the first quarter of 2023. Subsequently in 2023, we sold the
remainder of our shares of KDP and exited our investment in the
company.
Due to the change in accounting for the
company's KDP investment, from equity method investment accounting
to accounting as marketable securities, the company has treated the
historical equity method earnings from KDP as a divestiture under
the definitions of our non-GAAP financial measures. Therefore, the
company has removed the equity method investment net earnings for
KDP from its non-GAAP financial results for all historical periods
presented to facilitate comparison of results.
JDEPDuring the three months ended March 31,
2024, the company determined there was an other-than-temporary
impairment based on the period of time for which the quoted market
price fair value has been less than the carrying value of the
investment and the uncertainty surrounding JDEP's stock price
recovering to the carrying value. As a result, the investment was
written down to its estimated fair value based on the closing price
of the underlying equity security on March 28, 2024, resulting in
an impairment charge of €612 million ($665 million). This charge
was included within Gain/(loss) on equity method investment
transactions in the condensed consolidated statement of earnings.
There was no other than temporary impairment identified in
2023.
On March 30, 2023, the company issued options to
sell shares of JDEP in tranches equivalent to approximately 7.7
million shares. These options were exercisable at their maturities
which were between July 3, 2023 and September 29, 2023, with strike
prices ranging from €26.10 to €28.71 per share. During the three
months ended September 30, 2023, options were exercised on 2.2
million shares, which reduced the company's ownership by 0.4
percentage point, from 18.1% to 17.7% of the total outstanding
shares. The company received cash proceeds of €57 million ($62
million) and recorded a loss of €3 million ($4 million) for these
sales during the three months ended September 30, 2023.The company
considered this ownership reduction as a partial divestiture of its
equity method investment in JDEP. Therefore, the company has
removed the equity method investment net earnings related to the
divested portion from its non-GAAP financial results for Adjusted
EPS for all historical periods presented to facilitate comparison
of results. The company's U.S. GAAP results, which include its
equity method investment net earnings from JDEP, did not change
from what was previously reported.
Equity method investee
itemsWithin Adjusted EPS, the company’s equity method
investment net earnings exclude its proportionate share of its
equity method investee's significant operating and non-operating
items, such as acquisition and divestiture-related costs,
restructuring program costs and initial impacts from enacted tax
law changes.
Currency-related items
Management evaluates the operating performance
of the company and its international subsidiaries on a constant
currency basis. The company determines its currency-related items
by evaluating currency translation rate changes with a
corresponding adjustment due to the exclusion of the impact of
extreme pricing in Argentina.
Currency translation rate changesThe company
determines its constant currency operating results by dividing or
multiplying, as appropriate, the current period local currency
operating results by the currency exchange rates used to translate
the company’s financial statements in the comparable prior-year
period to determine what the current-period U.S. dollar operating
results would have been if the currency exchange rate had not
changed from the comparable prior-year period. Therefore, currency
translation rate changes are equal to current period local currency
operating results multiplied by the change in average foreign
currency exchange rates between the current fiscal period and the
corresponding period of the prior fiscal year.
Extreme PricingDuring December 2023, the
Argentinean peso significantly devalued. The peso's devaluation and
potential resulting distortion on the company's non-GAAP Organic
Net Revenue, Organic Net Revenue growth and other constant currency
growth rate measures resulted in the company's decision to exclude
the impact of pricing in excess of 26% year-over-year ("extreme
pricing") in Argentina, from these measures beginning in Q1 2024.
The benchmark of 26% represents the minimum annual inflation rate
for each year over a 3-year period which would result in a
cumulative inflation rate in excess of 100%, the level at which an
economy is considered hyperinflationary under U.S. GAAP.
Currency-related items impacted our non-GAAP
financial measures for the three months ended March 31, 2024, as
follows:
- Organic Net Revenue: In total,
unfavorable currency-related items of $132 million (1.5pp) were
driven by unfavorable currency translation rate changes of $513
million (5.7pp), partially offset by the adjustment for extreme
pricing of $381 million (4.2pp). In Emerging Markets, unfavorable
currency-related items of $166 million (4.6pp) were driven by
unfavorable currency translation rate changes of $547 million
(15.2pp), partially offset by the adjustment for extreme pricing of
$381 million (10.6pp).In Developed Markets, favorable
currency-related items of $34 million (0.7pp) were driven by
favorable currency translation rate changes.
- Adjusted Operating Income:
Unfavorable currency-related items of $70 million were driven by
unfavorable currency translation rate changes of $190 million,
partially offset by the adjustment for extreme pricing of $120
million.
- Adjusted EPS: Unfavorable
currency-related items of $0.05 were driven by unfavorable currency
translation rate changes of $0.13, partially offset by the
adjustment for extreme pricing of $0.08.
OUTLOOKThe company’s outlook
for 2024 Organic Net Revenue growth, Adjusted EPS growth on a
constant currency basis and Free Cash Flow are non-GAAP financial
measures that exclude or otherwise adjust for items impacting
comparability of financial results such as the impact of changes in
currency exchange rates, restructuring activities, acquisitions and
divestitures. The company is not able to reconcile its projected
Organic Net Revenue growth to its projected reported net revenue
growth for the full-year 2024 because the company is unable to
predict during this period the impact from potential acquisitions
or divestitures, as well as the impact of currency translation due
to the unpredictability of future changes in currency exchange
rates, which could be material as a significant portion of the
company’s operations are outside the U.S. The company is not able
to reconcile its projected Adjusted EPS growth on a constant
currency basis to its projected reported diluted EPS growth for the
full-year 2024 because the company is unable to predict during this
period the timing of its restructuring program costs,
mark-to-market impacts from commodity and forecasted currency
transaction derivative contracts and impacts from potential
acquisitions or divestitures as well as the impact of currency
translation due to the unpredictability of future changes in
currency exchange rates, which could be material as a significant
portion of the company’s operations are outside the U.S. The
company is not able to reconcile its projected Free Cash Flow to
its projected net cash from operating activities for the full-year
2024 because the company is unable to predict during this period
the timing and amount of capital expenditures impacting cash flow.
Therefore, because of the uncertainty and variability of the nature
and amount of future adjustments, which could be significant, the
company is unable to provide a reconciliation of these measures
without unreasonable effort.
|
|
|
|
|
|
|
|
|
Schedule 4a |
Mondelēz International, Inc. and Subsidiaries |
Reconciliation of GAAP to Non-GAAP Measures |
Net Revenues |
(in millions of U.S. dollars) |
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
Latin America |
|
AMEA |
|
Europe |
|
North America |
|
Mondelēz International |
For the Three Months Ended March 31, 2024 |
|
|
|
|
|
|
|
|
|
Reported (GAAP) |
$ |
1,319 |
|
|
$ |
1,950 |
|
|
$ |
3,368 |
|
|
$ |
2,653 |
|
|
$ |
9,290 |
|
Short-term distributor agreements |
|
- |
|
|
|
- |
|
|
|
(25 |
) |
|
|
- |
|
|
|
(25 |
) |
Currency-related items |
|
(22 |
) |
|
|
104 |
|
|
|
51 |
|
|
|
(1 |
) |
|
|
132 |
|
Organic (Non-GAAP) |
$ |
1,297 |
|
|
$ |
2,054 |
|
|
$ |
3,394 |
|
|
$ |
2,652 |
|
|
$ |
9,397 |
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended March 31, 2023 |
|
|
|
|
|
|
|
|
|
Reported (GAAP) |
$ |
1,211 |
|
|
$ |
1,939 |
|
|
$ |
3,307 |
|
|
$ |
2,709 |
|
|
$ |
9,166 |
|
Divestitures |
|
- |
|
|
|
- |
|
|
|
(55 |
) |
|
|
(92 |
) |
|
|
(147 |
) |
Organic (Non-GAAP) |
$ |
1,211 |
|
|
$ |
1,939 |
|
|
$ |
3,252 |
|
|
$ |
2,617 |
|
|
$ |
9,019 |
|
|
|
|
|
|
|
|
|
|
|
$ Change - Reported (GAAP) |
$ |
108 |
|
|
$ |
11 |
|
|
$ |
61 |
|
|
$ |
(56 |
) |
|
$ |
124 |
|
$ Change - Organic (Non-GAAP) |
|
86 |
|
|
|
115 |
|
|
|
142 |
|
|
|
35 |
|
|
|
378 |
|
|
|
|
|
|
|
|
|
|
|
% Change - Reported (GAAP) |
|
8.9 |
% |
|
|
0.6 |
% |
|
|
1.8 |
% |
|
|
(2.1 |
)% |
|
|
1.4 |
% |
Divestitures |
- pp |
|
- pp |
|
1.8 pp |
|
3.5 pp |
|
1.6 pp |
Short-term distributor agreements |
|
- |
|
|
|
- |
|
|
|
(0.8 |
) |
|
|
- |
|
|
|
(0.3 |
) |
Currency-related items |
|
(1.8 |
) |
|
|
5.3 |
|
|
|
1.6 |
|
|
|
(0.1 |
) |
|
|
1.5 |
|
% Change - Organic (Non-GAAP) |
|
7.1 |
% |
|
|
5.9 |
% |
|
|
4.4 |
% |
|
|
1.3 |
% |
|
|
4.2 |
% |
|
|
|
|
|
|
|
|
|
|
Vol/Mix |
(1.2)pp |
|
(0.2)pp |
|
(3.5)pp |
|
(2.1)pp |
|
(2.1)pp |
Pricing |
|
8.3 |
|
|
|
6.1 |
|
|
|
7.9 |
|
|
|
3.4 |
|
|
|
6.3 |
|
|
|
|
|
|
Schedule 4b |
Mondelēz International, Inc. and Subsidiaries |
Reconciliation of GAAP to Non-GAAP Measures |
Net Revenues - Markets |
(in millions of U.S. dollars) |
(Unaudited) |
|
|
|
|
|
|
|
Emerging Markets |
|
Developed Markets |
|
Mondelēz International |
For the Three Months Ended March 31, 2024 |
|
|
|
|
|
Reported (GAAP) |
$ |
3,733 |
|
|
$ |
5,557 |
|
|
$ |
9,290 |
|
Short-term distributor agreements |
|
(3 |
) |
|
|
(22 |
) |
|
|
(25 |
) |
Currency-related items |
|
166 |
|
|
|
(34 |
) |
|
|
132 |
|
Organic (Non-GAAP) |
$ |
3,896 |
|
|
$ |
5,501 |
|
|
$ |
9,397 |
|
|
|
|
|
|
|
For the Three Months Ended March 31, 2023 |
|
|
|
|
|
Reported (GAAP) |
$ |
3,598 |
|
|
$ |
5,568 |
|
|
$ |
9,166 |
|
Divestitures |
|
(2 |
) |
|
|
(145 |
) |
|
|
(147 |
) |
Organic (Non-GAAP) |
$ |
3,596 |
|
|
$ |
5,423 |
|
|
$ |
9,019 |
|
|
|
|
|
|
|
$ Change - Reported (GAAP) |
$ |
135 |
|
|
$ |
(11 |
) |
|
$ |
124 |
|
$ Change - Organic (Non-GAAP) |
|
300 |
|
|
|
78 |
|
|
|
378 |
|
|
|
|
|
|
|
% Change - Reported (GAAP) |
|
3.8 |
% |
|
|
(0.2 |
)% |
|
|
1.4 |
% |
Divestitures |
- pp |
|
2.7 pp |
|
1.6 pp |
Short-term distributor agreements |
|
(0.1 |
) |
|
|
(0.4 |
) |
|
|
(0.3 |
) |
Currency-related items |
|
4.6 |
|
|
|
(0.7 |
) |
|
|
1.5 |
|
% Change - Organic (Non-GAAP) |
|
8.3 |
% |
|
|
1.4 |
% |
|
|
4.2 |
% |
|
|
|
|
|
|
Vol/Mix |
0.1 pp |
|
(3.6)pp |
|
(2.1)pp |
Pricing |
|
8.2 |
|
|
|
5.0 |
|
|
|
6.3 |
|
|
|
|
|
|
|
|
|
|
Schedule 5 |
Mondelēz International, Inc. and Subsidiaries |
Reconciliation of GAAP to Non-GAAP Measures |
Gross Profit / Operating Income |
(in millions of U.S. dollars) |
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended March 31, 2024 |
|
Net Revenues |
|
Gross Profit |
|
Gross Profit Margin |
|
Operating Income |
|
Operating Income Margin |
Reported (GAAP) |
$ |
9,290 |
|
|
$ |
4,750 |
|
|
51.1 |
% |
|
$ |
2,727 |
|
|
29.4 |
% |
Simplify to Grow Program |
|
- |
|
|
|
- |
|
|
|
|
|
53 |
|
|
|
Mark-to-market (gains)/losses from derivatives |
|
- |
|
|
|
(1,126 |
) |
|
|
|
|
(1,124 |
) |
|
|
Acquisition integration costs and contingent consideration
adjustments |
|
- |
|
|
|
7 |
|
|
|
|
|
43 |
|
|
|
Divestiture-related costs |
|
- |
|
|
|
- |
|
|
|
|
|
4 |
|
|
|
Operating results from short-term distributor agreements |
|
(25 |
) |
|
|
(3 |
) |
|
|
|
|
(2 |
) |
|
|
Incremental costs due to war in Ukraine |
|
- |
|
|
|
1 |
|
|
|
|
|
1 |
|
|
|
Remeasurement of net monetary position |
|
- |
|
|
|
- |
|
|
|
|
|
8 |
|
|
|
Adjusted (Non-GAAP) |
$ |
9,265 |
|
|
$ |
3,629 |
|
|
39.2 |
% |
|
$ |
1,710 |
|
|
18.5 |
% |
Currency-related items |
|
|
|
70 |
|
|
|
|
|
70 |
|
|
|
Adjusted @ Constant FX (Non-GAAP) |
|
|
$ |
3,699 |
|
|
|
|
$ |
1,780 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended March 31, 2023 |
|
Net Revenues |
|
Gross Profit |
|
Gross Profit Margin |
|
Operating Income |
|
Operating Income Margin |
Reported (GAAP) |
$ |
9,166 |
|
|
$ |
3,446 |
|
|
37.6 |
% |
|
$ |
1,505 |
|
|
16.4 |
% |
Simplify to Grow Program |
|
- |
|
|
|
1 |
|
|
|
|
|
35 |
|
|
|
Mark-to-market (gains)/losses from derivatives |
|
- |
|
|
|
(49 |
) |
|
|
|
|
(49 |
) |
|
|
Acquisition integration costs and contingent consideration
adjustments |
|
- |
|
|
|
3 |
|
|
|
|
|
51 |
|
|
|
Divestiture-related costs |
|
- |
|
|
|
- |
|
|
|
|
|
30 |
|
|
|
Operating results from divestitures |
|
(147 |
) |
|
|
(84 |
) |
|
|
|
|
(57 |
) |
|
|
Incremental costs due to war in Ukraine |
|
- |
|
|
|
(2 |
) |
|
|
|
|
(3 |
) |
|
|
Remeasurement of net monetary position |
|
- |
|
|
|
- |
|
|
|
|
|
12 |
|
|
|
Adjusted (Non-GAAP) |
$ |
9,019 |
|
|
$ |
3,315 |
|
|
36.8 |
% |
|
$ |
1,524 |
|
|
16.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross Profit |
|
|
|
Operating Income |
|
|
$ Change - Reported (GAAP) |
|
|
$ |
1,304 |
|
|
|
|
$ |
1,222 |
|
|
|
$ Change - Adjusted (Non-GAAP) |
|
|
|
314 |
|
|
|
|
|
186 |
|
|
|
$ Change - Adjusted @ Constant FX (Non-GAAP) |
|
|
|
384 |
|
|
|
|
|
256 |
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change - Reported (GAAP) |
|
|
|
37.8 |
% |
|
|
|
|
81.2 |
% |
|
|
% Change - Adjusted (Non-GAAP) |
|
|
|
9.5 |
% |
|
|
|
|
12.2 |
% |
|
|
% Change - Adjusted @ Constant FX (Non-GAAP) |
|
|
|
11.6 |
% |
|
|
|
|
16.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Schedule 6 |
Mondelēz International, Inc. and Subsidiaries |
Reconciliation of GAAP to Non-GAAP Measures |
Net Earnings and Tax Rate |
(in millions of U.S. dollars and shares, except per share
data) |
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended March 31, 2024 |
|
Operating Income |
|
Benefit plan non-service expense / (income) |
|
Interest and other expense, net |
|
Marketable securities (gains)/losses |
|
Earnings before income taxes |
|
Income taxes (1) |
|
Effective tax rate |
|
Loss on equity method investment transactions including
impairments |
|
Equity method investment net losses /
(earnings) |
|
Non-controlling interest earnings |
|
Net Earnings attributable to Mondelēz
International |
|
Diluted EPS attributable to Mondelēz
International |
Reported (GAAP) |
$ |
2,727 |
|
|
$ |
(23 |
) |
|
$ |
68 |
|
|
$ |
- |
|
|
$ |
2,682 |
|
|
$ |
632 |
|
|
23.6 |
% |
|
$ |
665 |
|
|
$ |
(31 |
) |
|
$ |
4 |
|
$ |
1,412 |
|
|
$ |
1.04 |
|
Simplify to Grow Program |
|
53 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
53 |
|
|
|
11 |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
42 |
|
|
|
0.03 |
|
Mark-to-market (gains)/losses from derivatives |
|
(1,124 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(1,124 |
) |
|
|
(227 |
) |
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(897 |
) |
|
|
(0.66 |
) |
Acquisition integration costs and contingent consideration
adjustments |
|
43 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
43 |
|
|
|
10 |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
33 |
|
|
|
0.02 |
|
Divestiture-related costs |
|
4 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
4 |
|
|
|
1 |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
3 |
|
|
|
- |
|
Operating results from short-term distributor agreements |
|
(2 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(2 |
) |
|
|
(1 |
) |
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(1 |
) |
|
|
- |
|
Incremental costs due to war in Ukraine |
|
1 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
1 |
|
|
|
- |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
1 |
|
|
|
- |
|
Remeasurement of net monetary position |
|
8 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
8 |
|
|
|
- |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
8 |
|
|
|
0.01 |
|
Impact from pension participation changes |
|
- |
|
|
|
- |
|
|
|
(2 |
) |
|
|
- |
|
|
|
2 |
|
|
|
- |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
2 |
|
|
|
- |
|
Initial impacts from enacted tax law changes |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
2 |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(2 |
) |
|
|
- |
|
Loss on equity method investment transactions including
impairments |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
(665 |
) |
|
|
- |
|
|
|
- |
|
|
665 |
|
|
|
0.49 |
|
Equity method investee items |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
- |
|
|
|
(28 |
) |
|
|
- |
|
|
28 |
|
|
|
0.02 |
|
Adjusted (Non-GAAP) |
$ |
1,710 |
|
|
$ |
(23 |
) |
|
$ |
66 |
|
|
$ |
- |
|
|
$ |
1,667 |
|
|
$ |
428 |
|
|
25.7 |
% |
|
$ |
- |
|
|
$ |
(59 |
) |
|
$ |
4 |
|
$ |
1,294 |
|
|
$ |
0.95 |
|
Currency-related items |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
55 |
|
|
|
0.05 |
|
Adjusted @ Constant FX (Non-GAAP) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
1,349 |
|
|
$ |
1.00 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted Average Shares Outstanding |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1,355 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended March 31, 2023 |
|
Operating Income |
|
Benefit plan non-service expense / (income) |
|
Interest and other expense, net |
|
Marketable securities (gains)/losses |
|
Earnings before income taxes |
|
Income taxes (1) |
|
Effective tax rate |
|
Gain on equity method investment transactions |
|
Equity method investment net losses /
(earnings) |
|
Non-controlling interest earnings |
|
Net Earnings attributable to Mondelēz
International |
|
Diluted EPS attributable to Mondelēz
International |
Reported (GAAP) |
$ |
1,505 |
|
|
$ |
(19 |
) |
|
$ |
95 |
|
|
$ |
(796 |
) |
|
$ |
2,225 |
|
|
$ |
658 |
|
|
29.6 |
% |
|
$ |
(487 |
) |
|
$ |
(35 |
) |
|
$ |
8 |
|
$ |
2,081 |
|
|
$ |
1.52 |
|
Simplify to Grow Program |
|
35 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
35 |
|
|
|
6 |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
29 |
|
|
|
0.02 |
|
Mark-to-market (gains)/losses from derivatives |
|
(49 |
) |
|
|
- |
|
|
|
(3 |
) |
|
|
- |
|
|
|
(46 |
) |
|
|
(8 |
) |
|
|
|
|
2 |
|
|
|
- |
|
|
|
- |
|
|
(40 |
) |
|
|
(0.03 |
) |
Acquisition integration costs and contingent consideration
adjustments |
|
51 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
51 |
|
|
|
13 |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
38 |
|
|
|
0.03 |
|
Divestiture-related costs |
|
30 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
30 |
|
|
|
4 |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
26 |
|
|
|
0.02 |
|
Operating results from divestitures |
|
(57 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(57 |
) |
|
|
(16 |
) |
|
|
|
|
- |
|
|
|
23 |
|
|
|
- |
|
|
(64 |
) |
|
|
(0.05 |
) |
Incremental costs due to war in Ukraine |
|
(3 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(3 |
) |
|
|
- |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(3 |
) |
|
|
- |
|
Remeasurement of net monetary position |
|
12 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
12 |
|
|
|
- |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
12 |
|
|
|
0.01 |
|
Impact from pension participation changes |
|
- |
|
|
|
- |
|
|
|
(3 |
) |
|
|
- |
|
|
|
3 |
|
|
|
1 |
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
2 |
|
|
|
- |
|
Gain on marketable securities |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
787 |
|
|
|
(787 |
) |
|
|
(201 |
) |
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(586 |
) |
|
|
(0.43 |
) |
Gain on equity method investment transactions |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(125 |
) |
|
|
|
|
485 |
|
|
|
- |
|
|
|
- |
|
|
(360 |
) |
|
|
(0.26 |
) |
Equity method investee items |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
- |
|
|
|
(44 |
) |
|
|
- |
|
|
44 |
|
|
|
0.03 |
|
Adjusted (Non-GAAP) |
$ |
1,524 |
|
|
$ |
(19 |
) |
|
$ |
89 |
|
|
$ |
(9 |
) |
|
$ |
1,463 |
|
|
$ |
332 |
|
|
22.7 |
% |
|
$ |
- |
|
|
$ |
(56 |
) |
|
$ |
8 |
|
$ |
1,179 |
|
|
$ |
0.86 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted Average Shares Outstanding |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1,373 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Taxes were computed for each of the items excluded from the
company’s GAAP results based on the facts and tax assumptions
associated with each
item. |
|
|
Schedule 7 |
Mondelēz International, Inc. and Subsidiaries |
Reconciliation of GAAP to Non-GAAP Measures |
Diluted EPS |
(Unaudited) |
|
|
|
|
|
|
|
|
|
For the Three Months Ended March 31, |
|
|
|
|
|
|
2024 |
|
|
|
2023 |
|
|
$ Change |
|
% Change |
Diluted EPS attributable to Mondelēz International
(GAAP) |
$ |
1.04 |
|
|
$ |
1.52 |
|
|
$ |
(0.48 |
) |
|
(31.6 |
)% |
Simplify to Grow Program |
|
0.03 |
|
|
|
0.02 |
|
|
|
0.01 |
|
|
|
Mark-to-market (gains)/losses from derivatives |
|
(0.66 |
) |
|
|
(0.03 |
) |
|
|
(0.63 |
) |
|
|
Acquisition integration costs and contingent consideration
adjustments |
|
0.02 |
|
|
|
0.03 |
|
|
|
(0.01 |
) |
|
|
Divestiture-related costs |
|
- |
|
|
|
0.02 |
|
|
|
(0.02 |
) |
|
|
Operating results from divestitures |
|
- |
|
|
|
(0.05 |
) |
|
|
0.05 |
|
|
|
Remeasurement of net monetary position |
|
0.01 |
|
|
|
0.01 |
|
|
|
- |
|
|
|
Gain on marketable securities |
|
- |
|
|
|
(0.43 |
) |
|
|
0.43 |
|
|
|
Loss/(gain) on equity method investment transactions including
impairments |
|
0.49 |
|
|
|
(0.26 |
) |
|
|
0.75 |
|
|
|
Equity method investee items |
|
0.02 |
|
|
|
0.03 |
|
|
|
(0.01 |
) |
|
|
Adjusted EPS (Non-GAAP) |
$ |
0.95 |
|
|
$ |
0.86 |
|
|
$ |
0.09 |
|
|
10.5 |
% |
Currency-related items |
|
0.05 |
|
|
|
- |
|
|
|
0.05 |
|
|
|
Adjusted EPS @ Constant FX (Non-GAAP) |
$ |
1.00 |
|
|
$ |
0.86 |
|
|
$ |
0.14 |
|
|
16.3 |
% |
|
|
|
|
|
|
|
|
Adjusted EPS @ Constant FX - Key Drivers |
|
|
|
|
|
|
|
Increase in operations |
|
|
|
|
$ |
0.14 |
|
|
|
Change in benefit plan non-service income |
|
|
|
|
|
- |
|
|
|
Change in interest and other expense, net |
|
|
|
|
|
0.01 |
|
|
|
Change in equity method investment net earnings |
|
|
|
|
|
- |
|
|
|
Change in income taxes |
|
|
|
|
|
(0.02 |
) |
|
|
Change in shares outstanding |
|
|
|
|
|
0.01 |
|
|
|
|
|
|
|
|
$ |
0.14 |
|
|
|
|
|
|
|
|
|
|
|
Schedule 8 |
|
Mondelēz International, Inc. and Subsidiaries |
|
Reconciliation of GAAP to Non-GAAP Measures |
|
Segment Data |
|
(in millions of U.S. dollars) |
|
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended March 31, 2024 |
|
|
Latin America |
|
AMEA |
|
Europe |
|
North America |
|
Unrealized G/(L) on Hedging Activities |
|
General Corporate Expenses |
|
Amortization of Intangibles |
|
Other Items |
|
Mondelēz International |
|
Net Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reported (GAAP) |
$ |
1,319 |
|
|
$ |
1,950 |
|
|
$ |
3,368 |
|
|
$ |
2,653 |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
$ |
9,290 |
|
|
Short-term distributor agreements |
|
- |
|
|
|
- |
|
|
|
(25 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(25 |
) |
|
Adjusted (Non-GAAP) |
$ |
1,319 |
|
|
$ |
1,950 |
|
|
$ |
3,343 |
|
|
$ |
2,653 |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
$ |
9,265 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reported (GAAP) |
$ |
157 |
|
|
$ |
411 |
|
|
$ |
591 |
|
|
$ |
549 |
|
|
$ |
1,124 |
|
|
$ |
(67 |
) |
|
$ |
(38 |
) |
|
$ |
- |
|
$ |
2,727 |
|
|
Simplify to Grow Program |
|
2 |
|
|
|
1 |
|
|
|
41 |
|
|
|
4 |
|
|
|
- |
|
|
|
5 |
|
|
|
- |
|
|
|
- |
|
|
53 |
|
|
Mark-to-market (gains)/losses from derivatives |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(1,124 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(1,124 |
) |
|
Acquisition integration costs and contingent consideration
adjustments |
|
17 |
|
|
|
- |
|
|
|
1 |
|
|
|
26 |
|
|
|
- |
|
|
|
(1 |
) |
|
|
- |
|
|
|
- |
|
|
43 |
|
|
Operating results from divestitures |
|
- |
|
|
|
- |
|
|
|
3 |
|
|
|
- |
|
|
|
- |
|
|
|
1 |
|
|
|
- |
|
|
|
- |
|
|
4 |
|
|
Operating results from short-term distributor agreements |
|
- |
|
|
|
- |
|
|
|
(2 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(2 |
) |
|
Incremental costs due to war in Ukraine |
|
- |
|
|
|
- |
|
|
|
1 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
1 |
|
|
Remeasurement of net monetary position |
|
2 |
|
|
|
- |
|
|
|
6 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
8 |
|
|
Adjusted (Non-GAAP) |
$ |
178 |
|
|
$ |
412 |
|
|
$ |
641 |
|
|
$ |
579 |
|
|
$ |
- |
|
|
$ |
(62 |
) |
|
$ |
(38 |
) |
|
$ |
- |
|
$ |
1,710 |
|
|
Currency-related items |
|
30 |
|
|
|
22 |
|
|
|
19 |
|
|
|
- |
|
|
|
- |
|
|
|
(2 |
) |
|
|
1 |
|
|
|
- |
|
|
70 |
|
|
Adjusted @ Constant FX (Non-GAAP) |
$ |
208 |
|
|
$ |
434 |
|
|
$ |
660 |
|
|
$ |
579 |
|
|
$ |
- |
|
|
$ |
(64 |
) |
|
$ |
(37 |
) |
|
$ |
- |
|
$ |
1,780 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ Change - Reported (GAAP) |
$ |
18 |
|
|
$ |
51 |
|
|
$ |
84 |
|
|
$ |
(17 |
) |
|
n/m |
|
$ |
10 |
|
|
$ |
1 |
|
|
n/m |
|
$ |
1,222 |
|
|
$ Change - Adjusted (Non-GAAP) |
|
22 |
|
|
|
51 |
|
|
|
94 |
|
|
|
12 |
|
|
n/m |
|
|
8 |
|
|
|
(1 |
) |
|
n/m |
|
|
186 |
|
|
$ Change - Adjusted @ Constant FX (Non-GAAP) |
|
52 |
|
|
|
73 |
|
|
|
113 |
|
|
|
12 |
|
|
n/m |
|
|
6 |
|
|
|
- |
|
|
n/m |
|
|
256 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change - Reported (GAAP) |
|
12.9 |
% |
|
|
14.2 |
% |
|
|
16.6 |
% |
|
|
(3.0 |
)% |
|
n/m |
|
|
13.0 |
% |
|
|
2.6 |
% |
|
n/m |
|
|
81.2 |
% |
|
% Change - Adjusted (Non-GAAP) |
|
14.1 |
% |
|
|
14.1 |
% |
|
|
17.2 |
% |
|
|
2.1 |
% |
|
n/m |
|
|
11.4 |
% |
|
|
(2.7 |
)% |
|
n/m |
|
|
12.2 |
% |
|
% Change - Adjusted @ Constant FX (Non-GAAP) |
|
33.3 |
% |
|
|
20.2 |
% |
|
|
20.7 |
% |
|
|
2.1 |
% |
|
n/m |
|
|
8.6 |
% |
|
|
0.0 |
% |
|
n/m |
|
|
16.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Income Margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reported % |
|
11.9 |
% |
|
|
21.1 |
% |
|
|
17.5 |
% |
|
|
20.7 |
% |
|
|
|
|
|
|
|
|
|
|
29.4 |
% |
|
Reported pp change |
0.4 pp |
|
2.5 pp |
|
2.2 pp |
|
(0.2)pp |
|
|
|
|
|
|
|
|
|
13.0 pp |
|
Adjusted % |
|
13.5 |
% |
|
|
21.1 |
% |
|
|
19.2 |
% |
|
|
21.8 |
% |
|
|
|
|
|
|
|
|
|
|
18.5 |
% |
|
Adjusted pp change |
0.6 pp |
|
2.5 pp |
|
2.4 pp |
|
0.1 pp |
|
|
|
|
|
|
|
|
|
1.6 pp |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended March 31, 2023 |
|
|
Latin America |
|
AMEA |
|
Europe |
|
North America |
|
Unrealized G/(L) on Hedging Activities |
|
General Corporate Expenses |
|
Amortization of Intangibles |
|
Other Items |
|
Mondelēz International |
|
Net Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reported (GAAP) |
$ |
1,211 |
|
|
$ |
1,939 |
|
|
$ |
3,307 |
|
|
$ |
2,709 |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
$ |
9,166 |
|
|
Divestitures |
|
- |
|
|
|
- |
|
|
|
(55 |
) |
|
|
(92 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(147 |
) |
|
Adjusted (Non-GAAP) |
$ |
1,211 |
|
|
$ |
1,939 |
|
|
$ |
3,252 |
|
|
$ |
2,617 |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
$ |
9,019 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reported (GAAP) |
$ |
139 |
|
|
$ |
360 |
|
|
$ |
507 |
|
|
$ |
566 |
|
|
$ |
49 |
|
|
$ |
(77 |
) |
|
$ |
(39 |
) |
|
$ |
- |
|
$ |
1,505 |
|
|
Simplify to Grow Program |
|
- |
|
|
|
1 |
|
|
|
30 |
|
|
|
(1 |
) |
|
|
- |
|
|
|
5 |
|
|
|
- |
|
|
|
- |
|
|
35 |
|
|
Mark-to-market (gains)/losses from derivatives |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(49 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(49 |
) |
|
Acquisition integration costs and contingent consideration
adjustments |
|
6 |
|
|
|
- |
|
|
|
6 |
|
|
|
38 |
|
|
|
- |
|
|
|
1 |
|
|
|
- |
|
|
|
- |
|
|
51 |
|
|
Divestiture-related costs |
|
- |
|
|
|
- |
|
|
|
26 |
|
|
|
3 |
|
|
|
- |
|
|
|
1 |
|
|
|
- |
|
|
|
- |
|
|
30 |
|
|
Operating results from divestitures |
|
- |
|
|
|
- |
|
|
|
(20 |
) |
|
|
(39 |
) |
|
|
- |
|
|
|
- |
|
|
|
2 |
|
|
|
- |
|
|
(57 |
) |
|
Incremental costs due to war in Ukraine |
|
- |
|
|
|
- |
|
|
|
(3 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
(3 |
) |
|
Remeasurement of net monetary position |
|
11 |
|
|
|
- |
|
|
|
1 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
12 |
|
|
Adjusted (Non-GAAP) |
$ |
156 |
|
|
$ |
361 |
|
|
$ |
547 |
|
|
$ |
567 |
|
|
$ |
- |
|
|
$ |
(70 |
) |
|
$ |
(37 |
) |
|
$ |
- |
|
$ |
1,524 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Income Margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reported % |
|
11.5 |
% |
|
|
18.6 |
% |
|
|
15.3 |
% |
|
|
20.9 |
% |
|
|
|
|
|
|
|
|
|
|
16.4 |
% |
|
Adjusted % |
|
12.9 |
% |
|
|
18.6 |
% |
|
|
16.8 |
% |
|
|
21.7 |
% |
|
|
|
|
|
|
|
|
|
|
16.9 |
% |
|
|
|
|
|
|
Schedule 9 |
Mondelēz International, Inc. and Subsidiaries |
Reconciliation of GAAP to Non-GAAP Measures |
Net Cash Provided by Operating Activities to Free Cash
Flow |
(in millions of U.S. dollars) |
(Unaudited) |
|
|
|
|
|
|
|
For the Three Months Ended March 31, |
|
|
|
|
|
|
|
2024 |
|
|
|
2023 |
|
|
$ Change |
|
|
|
|
|
|
Net Cash Provided by Operating Activities
(GAAP) |
$ |
1,324 |
|
|
$ |
1,123 |
|
|
$ |
201 |
|
Capital Expenditures |
|
(299 |
) |
|
|
(223 |
) |
|
|
(76 |
) |
Free Cash Flow (Non-GAAP) |
$ |
1,025 |
|
|
$ |
900 |
|
|
$ |
125 |
|
|
|
|
|
|
|
|
|
|
|
|
Contacts: |
|
Tracey Noe (Media) |
|
Shep Dunlap (Investors) |
|
|
1-847-943-5678 |
|
1-847-943-5454 |
|
|
news@mdlz.com |
|
ir@mdlz.com |
Grafico Azioni Mondelez (NASDAQ:MDLZ)
Storico
Da Mag 2024 a Giu 2024
Grafico Azioni Mondelez (NASDAQ:MDLZ)
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Da Giu 2023 a Giu 2024