US – American multinational food and beverage company Mondelēz International‘s net revenue for 2020 rose by 2.8% to US$26.58 billion driven by a strong performance in developed markets.
Net earnings attributable to the company however decreased to US$3.56 billion on a non-adjusted basis.
According to the owner of popular snack brands Cadbury and Oreo the rise in net revenue was primarily driven by organic net revenue growth of 3.7%.
Mondelēz International further notes that incremental sales from its acquisitions of Perfect Snacks and Give & Go also contributed to the growth in net revenue
Market analysis revealed that the company’s North America operations delivered he highest growth in net revenue, registering a growth of 14.8% for 2020, while its Europe unit managed a 2.4% revenue increase.
Mondelēz’s performance in developing markets was however weak with Latin America and Asia, Middle East and Africa units recording declines in net revenue of 17.9% and 0.5%, respectively.
Organic net revenue grew in all four regions, but was weaker in the company’s emerging markets, a sharp contrast to Mondelēz’s 2019 full-year results, when the company was helped by its performance in emerging markets.
Mondelēz Chairman and CEO, Dirk Van de Put in his speech also revealed that the company’s categories remained resilient with the exception of gum which represented 5% of our revenue in 2020,
“2020 was a successful year for Mondelēz International and I am proud of our performance, including record share gains, in a challenging operating environment,” said Dirk Van de Put, Mondelēz chairman and CEO.
Van de Put noted that the company made meaningful progress with its strategic agenda in 2020, continuing to increase investment in brands and capabilities, simplifying our portfolio, expanding into adjacent categories.
He further noted that Mondelēz was also successful in making acquisitions in high-growth areas of snacking while at the same time working to mitigate incremental Covid-related costs.”
In it recently released Q4 results, Mondelēz reported 5.6% growth in net revenue with its North America unit seeing a particularly strong performance.
In his concluding remarks, Van de Put said: “We enter 2021 in a strong position financially and in the marketplace which gives us confidence that we can deliver on our long-term growth targets in 2021 and beyond” .
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