Mondelez International Incorporated (MDLZ)
Q: What does Mondelez International do?
A:
Mondelez International, Inc., through its subsidiaries, manufactures and markets snack food and beverage products worldwide. The company offers biscuits, including cookies, crackers, and salted snacks; chocolates, and gums and candies; powdered beverages and coffee; and cheese and grocery products. Its primary brand portfolio includes LU, Nabisco and Oreo biscuits; Cadbury, Cadbury Dairy Milk, and Milka chocolates; Trident gum; Jacobs Kaffee; and Tang powdered beverages. Mondelez International, Inc. sells its products to supermarket chains, wholesalers, supercenters, club stores, mass merchandisers, distributors, convenience stores, gasoline stations, drug …show more content…
In one of my earlier articles I put the spotlight on Hershey Inc. and now I feel it is time to spotlight another confection giant, Mondelez International. In terms of gross profit, Mondelez has seen a slight dip from March loosing 19 million dollars. Their net income also decreased, but by a wider margin, 90 million dollars. However when looking at cash on hand, the results are stunning a 900 million dollar increase. So the question is, where did this money come from? Well, first of all, in March, Mondelez owed their customers 823 million dollars but when June came around, Mondelez released that they had paid off 600 million of that 823 million dollar deficit, leaving just 291 million dollars to be paid off. Mondelez also slowed down on their purchase of stock considerably, going from 1.2 billion dollars in stock purchases in March to just 1 million dollars in stock purchases in June. All of these changes to Mondelez’s strategy shows how the company is easily able to adapt to the decreases in their gross profit and net income, which is good for investors. This quarter the estimate for Mondelez’s earnings is higher than last quarter, and I expect Mondelez to beat this earnings estimate as they have done for the last two quarters. Mondelez, in general, is a solid long-term investment for those who would like a dividend payment and a seasoned company. Finally, Mondelez’s pure size along with their Chinese expansion plans are sure to make investors pleased with excellent results in the coming months. So will you take a bite of this confection giant now or will you do it when it is too
Q: What does Mondelez International do?
A:
Mondelez International, Inc., through its subsidiaries, manufactures and markets snack food and beverage products worldwide. The company offers biscuits, including cookies, crackers, and salted snacks; chocolates, and gums and candies; powdered beverages and coffee; and cheese and grocery products. Its primary brand portfolio includes LU, Nabisco and Oreo biscuits; Cadbury, Cadbury Dairy Milk, and Milka chocolates; Trident gum; Jacobs Kaffee; and Tang powdered beverages. Mondelez International, Inc. sells its products to supermarket chains, wholesalers, supercenters, club stores, mass merchandisers, distributors, convenience stores, gasoline stations, drug …show more content…
In one of my earlier articles I put the spotlight on Hershey Inc. and now I feel it is time to spotlight another confection giant, Mondelez International. In terms of gross profit, Mondelez has seen a slight dip from March loosing 19 million dollars. Their net income also decreased, but by a wider margin, 90 million dollars. However when looking at cash on hand, the results are stunning a 900 million dollar increase. So the question is, where did this money come from? Well, first of all, in March, Mondelez owed their customers 823 million dollars but when June came around, Mondelez released that they had paid off 600 million of that 823 million dollar deficit, leaving just 291 million dollars to be paid off. Mondelez also slowed down on their purchase of stock considerably, going from 1.2 billion dollars in stock purchases in March to just 1 million dollars in stock purchases in June. All of these changes to Mondelez’s strategy shows how the company is easily able to adapt to the decreases in their gross profit and net income, which is good for investors. This quarter the estimate for Mondelez’s earnings is higher than last quarter, and I expect Mondelez to beat this earnings estimate as they have done for the last two quarters. Mondelez, in general, is a solid long-term investment for those who would like a dividend payment and a seasoned company. Finally, Mondelez’s pure size along with their Chinese expansion plans are sure to make investors pleased with excellent results in the coming months. So will you take a bite of this confection giant now or will you do it when it is too