Mondelez International 8-K
PositiveEarningsGuidance reaffirmed
Favorable commodity and FX derivative swings drove the GAAP profit surge; Undercover Snacks deal expands permissible indulgence.
Filed 2026-10-29 16:09 ET
- 2.02 Results of Operations
- 9.01 Financial Statements and Exhibits
Summary
Q3 2026 results with reaffirmed FY2026 outlook. Net revenue rose 2.3%, with organic net revenue growth of 2.1% driven by volume/mix and pricing. Mondelēz also announced an agreement to acquire Undercover Snacks, a crunchy quinoa crisp line, expanding its presence in permissible indulgence.
Key Figures
| Metric | Q3 2026 | YTD 2026 |
|---|---|---|
| Revenue | $9.97B, +2.3% Y/Y | $29.4B, +4.9% Y/Y |
| Gross margin (GAAP) | 39.4%, vs 26.8% | 36.4%, vs 28.5% |
| Gross margin (non-GAAP) | 34.2%, vs 30.4% | 32.9%, vs 32.5% |
| Operating income (GAAP) | $1.76B, +136.3% Y/Y | $4.51B, +73.8% Y/Y |
| Operating income (non-GAAP) | $1.38B, +17.0% Y/Y constant currency | $3.79B, -3.7% Y/Y constant currency |
| Net earnings attributable to Mondelēz International (GAAP) | $1.31B, +75.6% Y/Y | $3.41B, +91.1% Y/Y |
| Diluted EPS (GAAP) | $1.02, +78.9% Y/Y | $2.66, +94.2% Y/Y |
| Diluted EPS (non-GAAP) | $0.78, +5.5% Y/Y constant currency | $2.18, -4.1% Y/Y constant currency |
| Operating cash flow (GAAP) | — | $2.61B, +23.1% Y/Y |
| Free cash flow (non-GAAP) | — | $1.66B, +34.2% Y/Y |
- Organic net revenue growth was 2.1% in Q3, comprising 1.8 percentage points from volume/mix and 0.3 points from pricing. Growth was strongest in Asia, Middle East and Africa (+7.7%) and Latin America (+6.9%); Europe declined 2.1%, while North America grew 1.6%.
- The sharp increase in reported gross profit, operating income and EPS primarily reflected a favorable year-over-year change in mark-to-market impacts from commodity and foreign currency derivatives. Adjusted operating performance benefited from lower raw material and manufacturing costs, productivity, pricing and volume/mix, partly offset by higher selling, general and administrative expenses and advertising and consumer promotion costs.
- The company returned $2.8B through dividends and share repurchases in the first nine months; this included $845M of share repurchases and $1.93B of dividends. Average diluted shares were 1.284B YTD, versus 1.300B a year earlier.
Guidance
| Metric | Period | Guidance | Prior | Direction |
|---|---|---|---|---|
| Organic net revenue growth (non-GAAP) | FY2026 | At least 2% | — | Reaffirmed |
| Adjusted EPS growth (non-GAAP, constant currency) | FY2026 | Flat to 5% | — | Reaffirmed |
| Free cash flow (non-GAAP) | FY2026 | ≈$3B | — | — |
| Currency translation impact on net revenue growth | FY2026 | ≈+1.5% | — | — |
| Currency translation impact on Adjusted EPS | FY2026 | +$0.04 | — | — |
Guidance changes, derived from earlier filings
| Metric | Period | Earlier guidance | Guidance now | Change |
|---|---|---|---|---|
| Organic net revenue growth (non-GAAP) | FY2026 | At least 2% | At least 2% | reaffirmed |
| Adjusted EPS growth (non-GAAP, constant currency) | FY2026 | Flat to 5% | Flat to 5% | reaffirmed |
| Free cash flow (non-GAAP) | FY2026 | ≈$3B | ≈$3B | reaffirmed |
| Currency translation impact on net revenue growth | FY2026 | ≈+2.0% | ≈+1.5% | lowered |
| Currency translation impact on Adjusted EPS | FY2026 | +$0.05 | +$0.04 | lowered |
Investor Takeaways
- Track organic net revenue growth and volume/mix in coming quarters to assess whether the company sustains its stated volume-led growth, particularly as Europe remains a drag.
- Compare full-year 2026 organic net revenue growth, Adjusted EPS growth and free cash flow with the company’s outlook.
- Watch for updates on Undercover Snacks’ household penetration and distribution as Mondelēz expands the quinoa crisp line.
The summary is written by an AI model reading the filing.
Model 005 · prompt v111 · 2026-10-29 22:46:59Z