What You Need to Know About Mondelez International Inc (MDLZ)’s Earnings

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But performance of the gum and candy categories remains below expectations. Overall gum sales for the company continue to decline, and Mondelez has lost gum market share. But the category on a whole has suffered declines, as U.S. gum sales began declining in 2010 and were down 2.7% in 2011.

The company is trying to remedy its gum category performance. For example, Mondelez introduced ID by Stride last summer. Targeted toward teenagers, the gum packs provide information that unlocks online video games. While this effort won’t likely unlock the key to gum sales, the category clearly continues to give Mondelez something to chew on.

Foolish bottom line
After these recent results, it appears Mondelez is setting itself up for a sticky 2013. But one subpar quarter does not define a company. Regardless of Mondelez’s most recent results, the company still boasts compelling international presence, ample emerging-market growth opportunities, and attractive category exposures. I remain optimistic about Mondelez over the long haul.

The article What You Need to Know About Mondelez’s Earnings originally appeared on Fool.com and is written by Nicole Seghetti.

Fool contributor Nicole Seghetti owns shares of Mondelez International. The Motley Fool has no position in any of the stocks mentioned.

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