Mondelez International, Inc. stock research
FY2025 Q1
Mondelez International (MDLZ) Gross Margin — Quarter Ended Mar 31, 2025
Revenue was essentially flat compared to the same quarter last year and slightly lower than the prior quarter, while cost of revenue was substantially higher than both periods. As a result, gross profit and gross margin weakened markedly.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q1
Revenue was essentially flat compared to the same quarter last year and slightly lower than the prior quarter, while cost of revenue was substantially higher than both periods. As a result, gross profit and gross margin weakened markedly.
- The most observable driver was the increase in cost of revenue, which rose relative to both the preceding quarter and the year-ago quarter, while revenue remained relatively stable.
- Compared to the immediately preceding quarter, revenue was lower and cost of revenue was higher, leading to a weakened gross margin. Versus the same quarter one year earlier, revenue was similar but cost of revenue was substantially higher, resulting in a significantly lower gross margin.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
26.1%
Gross profit
$2.4B
Revenue
$9.3B
Cost of revenue
$6.9B
Quarter-over-quarter change
-12.5 pts
Year-over-year change
-25.0 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, 2024 | $8.3B | $2.8B | $5.5B | 33.5% |
| Sep 30, 2024 | $9.2B | $3.0B | $6.2B | 32.6% |
| Dec 31, 2024 | $9.6B | $3.7B | $5.9B | 38.6% |
| Mar 31, 2025 | $9.3B | $2.4B | $6.9B | 26.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2024
-12.5 pts
Year-over-year change
Mar 31, 2024
-25.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The most observable driver was the increase in cost of revenue, which rose relative to both the preceding quarter and the year-ago quarter, while revenue remained relatively stable.
Compared to the immediately preceding quarter, revenue was lower and cost of revenue was higher, leading to a weakened gross margin. Versus the same quarter one year earlier, revenue was similar but cost of revenue was substantially higher, resulting in a significantly lower gross margin.
Monitor the trajectory of cost of revenue, as its increase was the primary factor behind the margin compression.