Mondelez Predicts 3% Sales Growth in 2019

Feb. 19, 2019
Chairman/CEO says 'unique structural advantages' will return global snack leader to growth.

2018 was good to Mondelez – even if the numbers don't show it – and 2019 is off to a good start, officers of the company told the Consumer Analyst Group of New York meeting today (Feb. 19).

Like General Mills, which also presented at the first day of the financial analysts' meeting, Mondelez's sales declined every year 2014-2017. Also like General Mills, sales crept up less than 1 percent last year (to $25.9 billion). But Chairman and CEO Dirk Van de Put, holding the top jobs for just 15 months, told the analysts how well-positioned the company is to succeed in the global snacking market.

"Snacking made right" is the company's current theme, which enables the global snack powerhouse to embrace trends of better-for-you, natural, indulgent, even social responsibility.

Unit sales growth is biggest in natural and wholesome products, he said, but dollar growth is greater in indulgence.

“We have a unique combination of structural advantages and a strategic plan that positions us to lead the future of snacking,” he said. “I’m encouraged by early results as we implement our new strategy, which enabled us to meet or exceed our financial commitments in 2018.” He predicts a 3 percent sales increase in 2019.

Mondelez advantages include leadership positions in high growth categories, powerful global brands (nine brands generate 43 percent of all revenue) plus "local jewels" and a global footprint with scale across geographies.

75 percent of the company's sales are outside the U.S. A strategy of "test, learn and scale" is enabling Mondelez's 11 global innovation centers to quickly identify and capitalize on opportunities. There are 40 such "tests" already in the pipeline for 2019.

Sponsored Recommendations

Revolutionizing Healthcare: The Impact of Digitalization in Biopharma Innovation

Biopharma enables an entirely new level of innovation that’s simply not possible in conventional drug development. It’s an approach that can fundamentally change the way healthcare...

Navigating the Automotive Industry's Electric Future

The automotive industry is at a turning point. Bloomberg estimates that by 2040, 54% of new vehicle sales will be electric. And by 2030, we’re looking at 100% of passenger vehicles...

Unified Process Control Brings Operational Clarity

Inland Empire Utilities Agency replaces its SCADA enterprise system with the PlantPAx Distributed Control System and reduces complexity for operators

PlantPAx DCS Improves Operational Reliability

KC Water calls on R.E. Pedrotti to replace obsolete wastewater SCADA solution with a unified Modern Distributed Control System (DCS).