What Mondelez actually does

Mondelez sells snacks around the world. Its brands include Oreo, Cadbury, Milka, Toblerone, Ritz, Trident and Sour Patch Kids. It was created in 2012 when Kraft Foods split into a global snacking company and a North American grocery company.

How the business makes money

It sells branded biscuits, chocolate and gum through retailers in more than 150 countries, with a large share of sales outside the US. Profits depend on ingredient costs, especially cocoa, sugar and wheat, and on pricing power.

The dividend story

Mondelez began paying a dividend in 2013 and has raised it regularly since. It pays quarterly and also buys back shares. The yield is moderate, and growth depends on earnings.

What to keep an eye on

  • Cocoa prices. A key cost swing factor.
  • Currencies. A strong dollar reduces reported sales abroad.
  • Health trends. Consumers may snack less or choose healthier options.
  • Retailers. Large chains negotiate hard on price.

Quick take

Mondelez is a global snack leader with strong brands and a growing dividend, but with exposure to ingredient prices and currencies.