Mondelez reported Q2 results. Revenues are down by 17.7% caused by selling the coffee business, closing the Venezuelan operations and currency exchange effects. Diluted EPS is still up by 16%, from USD 0.25 to USD 0.29.
Mondelez prepares to enter the Chinese market in September 2016. Even though chocolate sales in China have decreased by 3% in 2015, this could be a move that is related to Mondelez' offer to buy Hershey's who acquired a local chocolate maker in 2014. Putting some pressure on a market in which Hershey's have been investing, it might help in the discussions with the trust that owns 80% of the voting rights in Hershey's.
Commentators generally note that Mondelez finds it difficult at the moment to boost the top-line without acquisition. The margins remain under pressure. Irene Rosenfeld, CEO of Mondelez, pointed out that the product categories they operate in are not doing overly well in the current economic conditions.
Mondelez prepares to enter the Chinese market in September 2016. Even though chocolate sales in China have decreased by 3% in 2015, this could be a move that is related to Mondelez' offer to buy Hershey's who acquired a local chocolate maker in 2014. Putting some pressure on a market in which Hershey's have been investing, it might help in the discussions with the trust that owns 80% of the voting rights in Hershey's.
Commentators generally note that Mondelez finds it difficult at the moment to boost the top-line without acquisition. The margins remain under pressure. Irene Rosenfeld, CEO of Mondelez, pointed out that the product categories they operate in are not doing overly well in the current economic conditions.
Disclosures
- We have a position in Mondelez. We don't have plans to buy or sell shares in the next 48 hours.
- We have no position in any of the other companies mentioned in this article. We do not have plans to buy shares of those companies in the next 48 hours.
No comments:
Post a Comment
Please note comments are moderated to ensure high-quality content. Opposing views are welcome!