Mondelez International, Inc. stock research
FY2024 Q1
Mondelez International (MDLZ) Gross Margin — Quarter Ended Mar 31, 2024
Revenue was essentially unchanged from the prior quarter and slightly higher than the same quarter last year. Gross profit rose sharply because cost of revenue was markedly lower than both comparison periods, driving gross margin substantially higher.
Gross margin takeaway
Quarter ended Mar 31, 2024 · FY2024 Q1
Revenue was essentially unchanged from the prior quarter and slightly higher than the same quarter last year. Gross profit rose sharply because cost of revenue was markedly lower than both comparison periods, driving gross margin substantially higher.
- The strongest observable driver was the lower cost of revenue relative to revenue. With revenue stable, the decline in cost of revenue produced a much larger gross profit and a higher gross margin.
- Compared with the immediately preceding quarter, gross margin improved markedly as cost of revenue fell while revenue held steady. Versus the same quarter one year earlier, gross margin also strengthened, again driven by a lower cost of revenue on slightly higher revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
51.1%
Gross profit
$4.8B
Revenue
$9.3B
Cost of revenue
$4.5B
Quarter-over-quarter change
+13.9 pts
Year-over-year change
+13.5 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Jun 30, 2023 | $8.5B | $3.4B | $5.2B | 39.4% |
| Sep 30, 2023 | $9.0B | $3.5B | $5.5B | 38.7% |
| Dec 31, 2023 | $9.3B | $3.5B | $5.8B | 37.3% |
| Mar 31, 2024 | $9.3B | $4.8B | $4.5B | 51.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2023
+13.9 pts
Year-over-year change
Mar 31, 2023
+13.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver was the lower cost of revenue relative to revenue. With revenue stable, the decline in cost of revenue produced a much larger gross profit and a higher gross margin.
Compared with the immediately preceding quarter, gross margin improved markedly as cost of revenue fell while revenue held steady. Versus the same quarter one year earlier, gross margin also strengthened, again driven by a lower cost of revenue on slightly higher revenue.
Monitor whether the lower cost of revenue level persists in future quarters, as it was the primary factor behind the gross margin improvement.