US snacking and confectionery giant Mondelez International has beat analyst consensus forecasts for organic sales growth in its third quarter.

The Cadbury chocolate owner reported a 4.9% rise in third-quarter net sales US$6.66bn and an organic print of 4.4%. The increase in organic sales was higher than the 2.6% growth consensus analyst forecast.

Mondelez expects adjusted earnings per share to rise 5% on a constant-currency basis, compared to a flat performance in the recent quarter at 63 US cents, which was “primarily driven by operating gains offset by unfavourable taxes”. 

However, Mondelez has warned currency effects will likely negatively impact revenues this year.

“The company estimates currency translation would decrease 2020 net revenue growth by approximately 3% with a negative $0.04 impact to adjusted EPS.”

Emerging markets had a mixed performance in terms of reported and organic revenues. Net revenue in Mondelez’s emerging markets fell 3.1% in the third quarter to $2.28bn, but was up 5.3% on an organic basis. For the nine months, they dropped 7.2% to $6.62bn and rose 1.7% on organic terms.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Nine-month revenues for the group climbed 1.7% to $19.2bn and were up 3.9% organically.

In contrast, developed markets saw revenues increase 9.6% in the quarter to $4.3bn and were 3.8% higher on an organic basis. Year-to-date sales rose 7.1% to $12.66bn and 5.2% organically.

Chairman and CEO Dirk Van de Put said: “Our third-quarter performance was strong across all key metrics, with broad-based revenue growth as demand remained elevated in developed markets and sequentially improved in emerging markets. 

“Our teams are executing well and we continue to deliver share gains by meeting the needs of customers and consumers, despite the uncertainties caused by Covid-19. 

“Our strategy remains unchanged and we are accelerating certain initiatives and increasing the investment behind our brands to further support long-term sustainable growth.”