Mondelez Prepares for Q1 Earnings Amid Steady Demand and Margin Pressure
Mondelez International is set to report its first-quarter 2024 earnings on April 30, as the snacking giant navigates a stable demand environment balanced against ongoing cost pressures. Analysts expect the company to deliver year-over-year earnings growth, supported by resilient consumer demand and effective pricing strategies.
Consensus estimates suggest earnings per share (EPS) of $0.94 for the quarter, reflecting a 4.4% increase from the prior year. Revenues are projected to reach $9.14 billion, marking nearly 2% growth compared to the same period last year.
Mondelez’s growth strategy continues to focus on its core snacks portfolio, led by power brands such as Oreo, Cadbury, and BelVita. These brands have consistently driven solid consumer engagement, aided by expansion in emerging markets and productivity gains in manufacturing and supply chain operations.
Despite a strong pricing environment through much of 2023, Mondelez faces increasing margin pressure this quarter. Inflationary costs, particularly in raw materials and logistics, have moderated somewhat but remain a key concern. In response, the company has taken a proactive approach to cost management and revenue growth management (RGM), including localized pricing strategies and SKU mix optimization.
Another key area to watch is the company’s performance in emerging markets, which contributed significantly to revenue growth last year. Mondelez has leaned on innovation and distribution expansion in regions like Latin America, where consumer demand for affordable, high-quality snacks continues to rise despite macroeconomic volatility.
The North America segment, however, may see softer volumes, where consumers have started showing signs of trade-down behavior. Still, brand loyalty remains strong, and Mondelez has doubled down on marketing investments to maintain household penetration across its categories.
Looking ahead, FMCG professionals will be closely monitoring whether Mondelez can maintain top-line growth while defending margins amid fluctuating input costs. With its strong global brands, pricing agility, and focus on operational efficiency, the company appears well-positioned—though margin compression remains a near-term risk to watch as the broader food and beverage sector grapples with cost volatility and shifting consumer behaviors.