Mondelēz International Inc. (NASDAQ:MDLZ)

Current Ratio

Over the observed periods, the current ratio exhibits moderate fluctuations, generally hovering between 0.6 and 0.77. The ratio peaked at 0.77 in the first quarter of 2024, indicating a relatively higher short-term liquidity at that time. However, this was followed by a gradual decline back to around 0.61 by the third quarter of 2025. This pattern suggests that the company's ability to cover its short-term liabilities with current assets remains relatively stable but generally below the standard threshold of 1, indicating potential liquidity constraints.

Quick Ratio

The quick ratio shows more variability but consistently remains below 0.5, indicating limited liquid assets excluding inventory to cover current liabilities. The highest point reached was approximately 0.43-0.43 in late 2021, after which there is a noticeable downward trend, sinking to values as low as 0.2 in early 2024. Although some recovery is seen thereafter, the ratio remains weak, suggesting a cautious stance on liquid asset management relative to immediate obligations.

Cash Ratio

The cash ratio remains the lowest of the three liquidity measures across all periods, generally fluctuating between 0.05 and 0.25. The highest values occurred in late 2021, with a peak around 0.24-0.25, while the lowest dips are observed around early 2024 and onwards, falling as low as 0.05 to 0.07. This consistently low cash ratio indicates limited cash and cash equivalents available to cover short-term liabilities, highlighting a potentially tight cash position during much of the timeline.

Current Assets Trend

Current assets exhibited some volatility over the periods analyzed. The values initially declined slightly from 8,843 million US dollars in March 2021 to 8,654 million by June 2021, followed by an increase reaching 10,455 million in September 2021. A general upward trajectory was observed with occasional fluctuations, peaking notably at 19,426 million in March 2024 before decreasing again towards the end of the period to 13,147 million in September 2025. This suggests periodic buildup of short-term assets followed by normalization in subsequent quarters.

Current Liabilities Trend

Current liabilities showed an overall increasing trend throughout the timeline. Starting at 14,550 million US dollars in March 2021, the liabilities increased with some variability, reaching 25,288 million at the high point in March 2024. Following that peak, a decline ensued but levels remained elevated relative to the start, ending around 21,512 million in September 2025. This upward shift implies growing short-term obligations over time, which could impact liquidity risk.

Current Ratio Analysis

The current ratio remained consistently below 1.0 throughout the period, indicating that current liabilities exceeded current assets at all times. The ratio ranged roughly between 0.6 and 0.77, with a visible low of 0.60 at the end of 2022 and a high of 0.77 in March 2024. Despite fluctuations, the ratio did not show sustained improvement, reflecting persistent pressure on liquidity and potential challenges meeting short-term obligations from current assets alone.

Summary of Liquidity Position

The data reveals that the company maintained a liquidity position where current liabilities consistently outstripped current assets, signified by a current ratio below unity. While there were periods of asset accumulation resulting in temporary improvements in liquidity ratios, these were offset by rising current liabilities. The peak in both current assets and current liabilities around early 2024 indicates a phase of substantial balance sheet expansion before subsequent contraction. Overall, the trends suggest ongoing management of working capital with the need to monitor liquidity carefully to avoid potential short-term funding issues.

The analysis of the quarterly financial data reveals several notable trends concerning liquidity and short-term financial obligations.

Total Quick Assets

The total quick assets exhibit fluctuations throughout the observed periods. There were peaks notably around September 2021 and December 2023, with values reaching above 6 billion and 5.4 billion US dollars respectively. However, periods such as June 2021, June 2023, and June 2024 saw noticeable decreases, dropping closer to or below 4.6 billion US dollars. Overall, the trend shows variability without a clear consistent increase or decrease over the entire timeline.

Current Liabilities

Current liabilities show an overall upward trend over the quarters. Starting near 14.5 billion US dollars in the first quarter of 2021, liabilities steadily increased, reaching a peak of over 25 billion US dollars around March 2024. While some declines occurred after this peak, the liabilities generally remained elevated above 19 billion US dollars in subsequent periods. This increase indicates growing short-term financial obligations for the company across the observed timeframe.

Quick Ratio

The quick ratio, which measures the company's ability to cover current liabilities with its most liquid assets, has been declining over time. Beginning at approximately 0.32 in early 2021, it declined to a low of 0.20 by mid-2024. Although there was a slight recovery to around 0.28 toward late 2024, the ratio remains significantly below the initial level. This decline indicates a weakening short-term liquidity position, suggesting increased difficulty in meeting current liabilities promptly from liquid assets.

In summary, while the company’s quick assets have fluctuated without a clear long-term trend, current liabilities have increased substantially. Consequently, the quick ratio has declined, signaling a potential strain on liquidity and an increased risk in covering short-term obligations. The data suggest a need for management to monitor liquidity closely and consider strategies to enhance the company's ability to meet short-term liabilities efficiently.

Total Cash Assets

The total cash assets exhibited significant fluctuations across the quarters. Initially, there was a notable increase from approximately 2,000 million US dollars in early 2021 to over 3,500 million US dollars by the end of 2021. However, following this peak, cash assets generally displayed a downward trend with some periodic recoveries, ranging mostly between 1,300 and 1,900 million US dollars from 2023 to 2025. This suggests a period of relative cash outflow or investment subsequent to the initial accumulation phase.

Current Liabilities

Current liabilities showed a general increasing trend throughout the observed periods. Starting around 14,500 million US dollars in early 2021, these liabilities consistently rose and reached a peak of approximately 25,300 million US dollars by the first quarter of 2024. After this peak, liabilities decreased somewhat but remained elevated above 19,000 million US dollars through the end of 2025. The increase in current liabilities over time may indicate higher short-term obligations or increased operational scale.

Cash Ratio

The cash ratio, which measures the company's ability to cover current liabilities with cash and equivalents, showed a declining trend. It started at around 0.14 in early 2021 and peaked briefly near 0.25 by the end of 2021. Thereafter, it consistently dropped, reaching lows near 0.05 to 0.07 in 2024 and maintaining similarly low levels thereafter. This decline aligns with the increase in current liabilities and the reduction in cash assets, indicating a weakened liquidity position over time.

Overall Assessment

The data indicates that while the company initially accumulated cash assets and maintained moderate current liabilities, the subsequent periods involved increasing current liabilities and diminished cash reserves, leading to a notable decline in liquidity as reflected in the cash ratio. This may suggest increased financial leverage or operational spending outpacing cash inflows, warranting closer monitoring of liquidity risks and working capital management strategies.