Mondelez 1Q performance beats Street; reaffirms 2016 outlook
DEERFIELD, Ill. (AP) — Mondelez’s first-quarter results beat analysts’ expectations, thanks partly to lower expenses, improved volumes and higher prices.
The maker of Oreo cookies, Cadbury chocolate and Trident gum earned $554 million, or 35 cents per share, for the three months ended March 31. A year earlier the Deerfield, Illinois-based company earned $324 million, or 19 cents per share.
Earnings, adjusted for restructuring costs and non-recurring costs, were 48 cents per share. This topped the 40 cents per share that analysts surveyed by Zacks Investment Research predicted.
Selling, general and administrative expenses dropped to $1.62 billion from $1.92 billion. Interest and other expense fell to $244 million from $386 million.
Revenue fell to $6.46 billion from $7.76 billion, stung partly by a strong dollar. It still beat the $6.44 billion that Wall Street expected.
The company still foresees double-digit growth of 2016 adjusted earnings per share, on a constant-currency basis.
Mondelez also announced that Mark Clouse, chief commercial officer, will leave the company to join another food business. Mondelez does not plan to name a successor.
Shares of Mondelez International Inc. climbed $1.71, or 4 percent, to $44.21 in Wednesday morning trading.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on MDLZ at http://www.zacks.com/ap/MDLZ
Keywords: Mondelez, Earnings Report