5 Things Mondelez International Does Right

Mondelez International's (NASDAQ: MDLZ) stock is up 60% over the last five years, despite generating lower revenue than in 2012. Slow growth in mature markets like North America coupled with management's focus on shedding underperforming assets have taken a bite out of Mondelez's revenue. But the latter has been very good for the snack maker's bottom line, as margins and profits have increased substantially over the last five years, leading to share price gains for shareholders. This is just one of several things Mondelez does right.

When Mondelez separated from Kraft Foods in 2012, the first initiative undertaken was a major overhaul of its global supply chain network and manufacturing process. One example was a new manufacturing line for Oreo cookies that required 30% less capital and provided cost savings of $10 million per line. Management also announced a revamping of its supply chain network to have more optimized logistics, with the end goal to double the revenue per plant by 2020.

The new Triscuits are an example of Mondelez's effort to clean up its ingredients with some of its brands. IMAGE SOURCE: TRISCUIT.COM

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Source: Fool.com