Mondelēz International rides the wave of emerging markets
7.9% growth in net sales in the first quarter of 2021
Mondelēz International reported growth of 7.9% ($ 7.24 billion) in net revenue in the first quarter of 2021, and has seen improved sales in its emerging markets. The Group explained in a press release that the good performance recorded in the first quarter was driven by organic growth in net sales of 3.8%, the favorable currency and its acquisitions of Give & Go (see EFA News article dated 26- 2-20) and Hu (see EFA news article of 5-1-21).
After a 0.5% decline in 2020, Mondelēz's business in Asia, the Middle East and Africa recorded a 16.2% growth in net revenue for the first quarter. In North America, Mondelēz saw net revenue growth of 4.3% for the first quarter. However, in Latin America the company saw a decline of 7.9%, a result that was still better than that obtained in Q4 2020, when it recorded a decrease of 15.4% in net sales. In Europe, Mondelēz recorded an increase in net revenues of 10.2% compared to the previous year. The region also reported the largest amount of revenue, with nearly $ 2.85 billion in sales. After a 2.5% decline in the fourth quarter of 2020, Mondelēz emerging markets in the first quarter of 2021, overall reported growth of 6.0% in net revenue.
"The first quarter results show that we are emerging from the Covid-19 pandemic stronger, as we continue to build on our track record of growth, profitability and cash generation", said Dirk Van de Put, president and chief executive officer of Mondelēz. "We have seen continued improvement in emerging markets, healthy demand in developed markets and another quarter of strong equity performance. We remain firmly focused on accelerating growth, further strengthening our core brand and expanding our presence in channels, categories. and in potentially growing sectors. Our strategy is working". Mondelēz expects organic net revenue growth of 3% for 2021.
EFA News - European Food Agency