Balance sheet analysis
Mondelēz International’s total assets were $71.4 billion and $71.16 billion as of December 31, 2023 and as of December 31, 2022, respectively.
As of December 31, 2023, intangible assets, net were $19.8 billion and goodwill was $23.9 billion. The amount of two combined account was $43.7 billion, accounting for 61.2% of total assets. The $43.7 billion is very huge, which mean that the company completed a lot of acquisitions in the past.
Total current assets were $11.7 billion and total current liabilities were $19 billion as of December 31, 2023.
The current ratio was 0.61 times, which is low, but the company’s liquidity is very good as the speed of collecting payments is much faster than the speed of paying suppliers.
Total liabilities were $43 billion as of December 31, 2023.
The debt ratio was 60% for 2023.
Actually, the debt ratio was very high, because the combined amount of goodwill and intangible assets accounted for a lager proportion of total assets.
The debt could be remained as Mondelēz International generated strong cash flow of $4.7 billion, $3.9 billion and $4.1 billion over the three years.
Profitability analysis
Mondelēz International’s revenue was $36 billion, $31.5 billion and $28.7 billion in 2023, 2022 and 2021, respectively.
The revenue in 2023 was up 14.3% year on year.
The revenue in 2022 was up 9.8% year on year.
Net income was $5 billion, $2.73 billion and $4.3 billion in 2023, 2022 and 2021, respectively.
Cash flow analysis
Net cash provided by operating activities was $4.7 billion, $3.9 billion and $4.1 billion in 2023, 2022 and 2021, respectively.
Capital expenditure was $1.1 billion, $906 million and $965 million in 2023, 2022 and 2021, respectively.
Free cash flow was $3.6 billion, $3 billion and $4 billion in 2023, 2022 and 2021,respectively.
Mondelēz International’s operating performance for Q1 2024
Mondelēz International’s revenue was $9.3 billion and $9.17 billion for the three months ended March 31, 2024 and the three months ended March 31, 2023.
Net earnings was $1.4 billion and $2.1 billion in Q1 2024 and Q1 2023, respectively.
Conclusion
Mondelēz International stock price is $68.53 billion per share, which is equivalent to $90.92 billion in market capitalization.
We reckon that the reasonable valuation is about $40 billion and Mondelēz International stock price is overvalued.
Disclaimer: The content is for reference only and does not constitute investment advice.
Introduction
Mondelēz International’s purpose is to empower people to snack right. We sell our products in over 150 countries around the world. We are one of the world’s largest snack companies with global net revenues of $36.0 billion and net earnings of $5.0 billion in 2023. Our core business is making and selling chocolate, biscuits and baked snacks. We also have additional businesses in adjacent, locally relevant categories including gum & candy, cheese & grocery and powdered beverages. Our portfolio includes iconic global and local brands such as Oreo, Ritz, LU, CLIF Bar and Tate’s Bake Shop biscuits and baked snacks, as well as Cadbury Dairy Milk, Milka and Toblerone chocolate.
