Stock Analysis on Net

Mondelēz International Inc. (NASDAQ:MDLZ)

Analysis of Property, Plant and Equipment

Microsoft Excel LibreOffice Calc

Property, Plant and Equipment Disclosure

Mondelēz International Inc., balance sheet: property, plant and equipment

US$ in millions

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Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Land and land improvements 379  422  422  424  458 
Buildings and building improvements 3,139  3,252  3,140  2,984  2,979 
Machinery and equipment 11,842  12,053  11,295  10,943  11,195 
Construction in progress 732  628  680  894  1,048 
Property, plant and equipment, gross 16,092  16,355  15,537  15,245  15,680 
Accumulated depreciation (7,434) (7,329) (6,804) (6,763) (7,003)
Property, plant and equipment, net 8,658  9,026  8,733  8,482  8,677 

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Item Description The company
Property, plant and equipment, gross Amount before accumulated depreciation, depletion and amortization of physical assets used in the normal conduct of business and not intended for resale. Examples include, but are not limited to, land, buildings, machinery and equipment, office equipment, and furniture and fixtures. Mondelēz International Inc. property, plant and equipment, gross increased from 2019 to 2020 but then slightly decreased from 2020 to 2021.
Property, plant and equipment, net Amount after accumulated depreciation, depletion and amortization of physical assets used in the normal conduct of business to produce goods and services and not intended for resale. Examples include, but are not limited to, land, buildings, machinery and equipment, office equipment, and furniture and fixtures. Mondelēz International Inc. property, plant and equipment, net increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.

Asset Age Ratios (Summary)

Mondelēz International Inc., asset age ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Average age ratio 47.31% 46.00% 45.01% 45.63% 46.01%
Estimated total useful life (years) 23 24 23 23 24
Estimated age, time elapsed since purchase (years) 11 11 11 11 11
Estimated remaining life (years) 12 13 13 13 13

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Asset age ratio Description The company
Average age ratio As long as straight-line depreciation is used, this is an accurate estimate of asset age as a percentage of depreciable life. The relative age is a useful measure of whether the company fixed asset base is old or new. Newer assets are likely to be more efficient. Mondelēz International Inc. average age ratio of depreciable property, plant and equipment deteriorated from 2019 to 2020 and from 2020 to 2021.
Estimated total useful life Over longer time periods, this ratio is a useful measure of company depreciation policy and can be used for comparisons with competitors. Mondelēz International Inc. estimated total useful life of depreciable property, plant and equipment increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.
Estimated time elapsed since purchase The approximate age in years of a company fixed assets. Useful for comparison purposes. Mondelēz International Inc. estimated time elapsed since purchase of depreciable property, plant and equipment deteriorated from 2019 to 2020 but then improved from 2020 to 2021 not reaching 2019 level.
Estimated remaining life Mondelēz International Inc. estimated remaining life of depreciable property, plant and equipment increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.

Average Age

Microsoft Excel LibreOffice Calc
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Accumulated depreciation 7,434  7,329  6,804  6,763  7,003 
Property, plant and equipment, gross 16,092  16,355  15,537  15,245  15,680 
Land and land improvements 379  422  422  424  458 
Asset Age Ratio
Average age1 47.31% 46.00% 45.01% 45.63% 46.01%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Average age = 100 × Accumulated depreciation ÷ (Property, plant and equipment, gross – Land and land improvements)
= 100 × 7,434 ÷ (16,092379) = 47.31%

Asset age ratio Description The company
Average age As long as straight-line depreciation is used, this is an accurate estimate of asset age as a percentage of depreciable life. The relative age is a useful measure of whether the company fixed asset base is old or new. Newer assets are likely to be more efficient. Mondelēz International Inc. average age ratio of depreciable property, plant and equipment deteriorated from 2019 to 2020 and from 2020 to 2021.

Estimated Total Useful Life

Microsoft Excel LibreOffice Calc
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Property, plant and equipment, gross 16,092  16,355  15,537  15,245  15,680 
Land and land improvements 379  422  422  424  458 
Depreciation expense 683  652  645  635  638 
Asset Age Ratio (Years)
Estimated total useful life1 23 24 23 23 24

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Estimated total useful life = (Property, plant and equipment, gross – Land and land improvements) ÷ Depreciation expense
= (16,092379) ÷ 683 = 23

Asset age ratio Description The company
Estimated total useful life Over longer time periods, this ratio is a useful measure of company depreciation policy and can be used for comparisons with competitors. Mondelēz International Inc. estimated total useful life of depreciable property, plant and equipment increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.

Estimated Age, Time Elapsed since Purchase

Microsoft Excel LibreOffice Calc
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Accumulated depreciation 7,434  7,329  6,804  6,763  7,003 
Depreciation expense 683  652  645  635  638 
Asset Age Ratio (Years)
Time elapsed since purchase1 11 11 11 11 11

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Time elapsed since purchase = Accumulated depreciation ÷ Depreciation expense
= 7,434 ÷ 683 = 11

Asset age ratio Description The company
Estimated time elapsed since purchase The approximate age in years of a company fixed assets. Useful for comparison purposes. Mondelēz International Inc. estimated time elapsed since purchase of depreciable property, plant and equipment deteriorated from 2019 to 2020 but then improved from 2020 to 2021 not reaching 2019 level.

Estimated Remaining Life

Microsoft Excel LibreOffice Calc
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Selected Financial Data (US$ in millions)
Property, plant and equipment, net 8,658  9,026  8,733  8,482  8,677 
Land and land improvements 379  422  422  424  458 
Depreciation expense 683  652  645  635  638 
Asset Age Ratio (Years)
Estimated remaining life1 12 13 13 13 13

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Estimated remaining life = (Property, plant and equipment, net – Land and land improvements) ÷ Depreciation expense
= (8,658379) ÷ 683 = 12

Asset age ratio Description The company
Estimated remaining life Mondelēz International Inc. estimated remaining life of depreciable property, plant and equipment increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.