Mondelez International, the parent company of Cadbury and Oreo, has beaten Wall Street estimates for second-quarter revenue and profit. The company reported net revenue of $9.36 billion for the second quarter, compared with analysts’ average estimate of $9.20 billion.
Strong Demand and Lower Costs
A global cocoa surplus drove down cocoa costs, helping relieve margin pressures at Mondelez and giving it more room to lure shoppers with promotions and value packs. The company also reported quarterly adjusted profit of 73 cents, compared with the estimate of 68 cents.
Mondelez had previously said it was broadening its zero-sugar and gluten-free Oreo ranges as customers pay closer attention to sugar consumption and nutritional choices. The company expects annual organic net revenue to grow 2% compared with flat to up 2% forecast earlier.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
