"Mondelez International ( NASDAQ: MDLZ) reported Q3 2025 earnings that met adjusted profit expectations but fell short on revenue, leaving investors underwhelmed. Mondelez shares dropped 2.35% to $60.21 by close, erasing early gains as the market processed the miss alongside a sharp year-over-year earnings decline. In after-hours trading the story got worse, with shares down 5.75% as of 8 p.m. ET. The real story here is cocoa. Record-high inflation in cocoa costs squeezed margins hard, and while management signals relief ahead, the damage to this quarter's profitability is stark."
"Mondelez delivered 3.4% organic net revenue growth and posted $9.74 billion in total revenue, missing consensus estimates of $9.91 billion by $170 million. That shortfall stung, but what hurt more was the earnings trajectory. Adjusted EPS of $0.73 met expectations on a reported basis, yet diluted EPS fell 9.5% to $0.57 year over year. On a constant currency basis, adjusted EPS declined 24.2%, a significant deterioration that reflects the brutal impact of record cocoa cost inflation."
Mondelez posted Q3 2025 results with adjusted EPS meeting expectations but total revenue of $9.74 billion missing estimates by $170 million. Organic net revenue rose 3.4%, yet diluted EPS fell 9.5% to $0.57 year over year and adjusted EPS declined 24.2% on a constant currency basis. Record-high cocoa cost inflation significantly squeezed gross profit and operating income, while operating cash flow through the period was $2.12 billion. The company returned $3.7 billion to shareholders via dividends and buybacks year-to-date. Management indicated Q3 represented peak cocoa costs and signaled potential margin relief beginning in Q4 if cocoa prices stabilize.
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