Cadbury maker Mondelēz sales hit by weaker demand
Cadbury owner Mondelēz saw a dip in sales in its second quarter as cash-strapped consumers opted for lower-priced alternatives.
Net sales decreased 1.9% across the group to £6.4bn ($8.3bn) and were down 1.8% in Europe to £2.1bn ($2.8bn).
It comes as the global snacks company had pushed up the prices of its products after it was hit by increased costs of raw materials such as sugar and cocoa.
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Quarterly volumes fell 2.2 percentage points (pp) across the group while pricing rose 4.7pp, and in Europe,.
Despite the hit to sales for the Oreo and Ritz crackers maker, Mondelēz chair and chief executive Dirk Van de Put said the company is “well positioned for the second half of the year with the completion of European pricing, the addition of new value offerings in the US and significant distribution runway across key emerging markets.
“Our teams remain focused on delivering our long-term growth agenda while remaining agile in this dynamic operating environment.”
For 2024, Mondelēz expects organic net sales growth to be at the upper end of its 3% to 5% forecast.
2 Comments. Leave new
Worst food company I’ve come across. I contacted their HQ in Britain – totally disinterested in selling their Cote D’Or chocolate – which is much better than the also overpriced cadburys, in Britain. It’s called putting your customers FIRST, mondolez.
Mondelēz have ruined Cadburys chocolate it tastes bitter compared to how it used to, Milk Tray are terrible replacing some of the more popular selection such as Turkish delight. Everything is smaller and prices have increased way beyond value for money even if the chocolate had stayed the same its way, way too expensive. We used to buy quite a lot Cadburys chocolate but now we may give in to temptation once in a blue moon hoping to get the original taste but to no avail so leave it for maybe months before we are daft enough to try again. It also doesn’t melt in your mouth like it used to.