Mondelez International: heavy losses in revenues and profit

As a result of Covid-19, the Developed Markets organic net revenue growth rate was elevated versus pre-Covid levels. Organic net revenue from Emerging Markets declined but showed sequential improvement during the quarter and returned to growth in June.

Gross profit decreased USD 138 m to USD 2.331 bn and margin declined 130 basis points to 39.4%. Adjusted gross profit decreased USD 9 m to USD 2.347 bn at constant currency while adjusted growth profit margin decreased 90 basis points to 39.7% primarily due to incremental Covid-19 related costs, higher raw material costs in part due to unfavourable currency movements and unfavourable volume/mix, partially offset by higher net pricing and productivity, as well as cost containment measures.

Operating income decreased USD 312 m to USD 713 m and margin was 12.1%, down 480 basis points. Adjusted operating income decreased USD 38 m to USD 942 m at constant currency, and margin decreased 80 basis points to 15.9%.