Mondelēz International Inc. (NASDAQ:MDLZ)

Inventory Turnover

The inventory turnover ratio shows moderate variability over the analyzed periods. It started at 6.1 and experienced fluctuations, reaching a higher point of 6.45 before gradually declining to 5.06 in the latest quarter. This indicates that the speed at which inventory is sold and replaced has slowed somewhat over time.

Receivables Turnover

The receivables turnover ratio exhibits noticeable oscillations, beginning at 11.57, declining to below 10 at several points, and varying with occasional recoveries up to around 12.5. The recent trend shows a decline towards 8.44, suggesting a slower collection of receivables in recent quarters.

Payables Turnover

The payables turnover ratio has remained relatively stable, fluctuating modestly between 2.35 and 2.88. The data suggests consistent payment patterns to suppliers, with no significant trend toward either accelerated or delayed payments.

Average Inventory Processing Period

This period generally ranges between 57 and 72 days, showing some variability with an increasing trend in certain stretches, particularly reaching a peak at 72 days in March 2025. Increased days indicate lengthier inventory holding times, which may reflect changes in inventory management or demand patterns.

Average Receivable Collection Period

The receivable collection period exhibits fluctuations from 29 up to 43 days. Notable increases in collection days occur intermittently, with peaks around 40 to 43 days in the latter periods, which aligns with the declining receivables turnover ratio, suggesting slower cash inflows from customers.

Operating Cycle

The operating cycle varies mostly within the range of 87 to 108 days. The cycle has shown some upward movement over time, indicating the overall process of converting inventory and receivables into cash has become longer, especially in more recent quarters.

Average Payables Payment Period

This metric oscillates between 127 and 155 days, showing some increases and decreases but generally indicating a relatively long payment period to suppliers. The longer payables period partly offsets extended operating cycles but may imply favorable supplier credit or slower payments.

Cash Conversion Cycle

The cash conversion cycle remains negative throughout the observed periods, ranging from approximately -53 to -28 days. A negative cash conversion cycle indicates the company collects cash from sales faster than it pays its suppliers, which is a positive liquidity indicator. The cycle shows some fluctuations but generally remains stable, with occasional slight improvements and deteriorations across the periods.

The cost of sales demonstrates a generally increasing trend over the observed periods with some fluctuations. Starting at 4,256 million US dollars in March 2020, it decreases to a low of 3,580 million in June 2020 but then rises steadily, peaking at 6,883 million in March 2025 before a slight decrease to 6,047 million in June 2025. This indicates a rising expense on sold goods over time, with some volatility possibly reflecting market or operational changes.

Net inventories show an overall upward trend with some intermediate declines. Beginning at 2,441 million US dollars in March 2020, inventories increase to a peak of 4,951 million by June 2025, despite periodic dips such as those seen from December 2023 to March 2024 and from June to September 2025. This growth in inventory holdings suggests an expansion in stock levels, which may signal increased production, stockpiling, or changes in supply chain management.

The inventory turnover ratio fluctuates around an average level, with values generally ranging between approximately 5.06 and 6.45. After being unreported initially, the ratio is first noted at 6.1 in September 2020, shows periodic slight declines into 2024 with lows around 5.18, and recovers modestly in some quarters. The ratio's variability indicates changing efficiency in inventory management; a lower turnover might suggest slower sales or higher stock accumulation, while higher turnover suggests more rapid inventory movement.

Cost of Sales

Marked by an overall rising trend across the quarterly periods, signifying increased production or material costs over time. Intermittent troughs imply temporary cost reductions or shifts in sales volume.

Net Inventories

Show consistent growth with occasional pullbacks, reflecting the company's increasing stock investment or accumulation patterns. The rise aligns with potential strategic inventory increases or preparation for future sales growth.

Inventory Turnover

Displays some variability but stays within a moderate range, indicating fluctuating but generally stable inventory management efficiency. Periods of lower turnover might suggest slower inventory sales or overstocking, whereas higher turnover reflects more effective inventory use.

Net Revenues

Net revenues exhibit a general upward trend over the analyzed period despite some fluctuations. Starting at 6,707 million US dollars in the first quarter of 2020, revenues declined in the second quarter of the same year, reaching 5,911 million. Following this trough, revenues steadily increased, peaking at 9,166 million in the first quarter of 2023. After this peak, there was some volatility with values oscillating between approximately 8,343 million and 9,604 million, showing no clear sustained direction but maintaining generally elevated levels compared to earlier periods.

Trade Receivables, Net of Allowance

Trade receivables show a somewhat cyclical pattern interspersed with rising trends in certain intervals. Initially, receivables declined from 2,628 million in the first quarter of 2020 down to 1,979 million in the second quarter. Thereafter, the figures generally increased, peaking at 4,318 million in the third quarter of 2025. Notably, there are recurring decreases at various points, indicative of possible collection efforts or seasonality in receivable balances.

Receivables Turnover Ratio

The receivables turnover ratio appears to fluctuate recurrently, reflecting variations in how efficiently the company manages its receivables collection relative to sales. Ratios oscillate from a high of 12.51 in the third quarter of 2020 to a low of 8.44 in the third quarter of 2025. The general trend shows moderate declines in later periods, suggesting a potential easing in collection efficiency or changes in sales patterns impacting turnover measurement.

The analysis of the financial data reveals several notable trends in the company's cost of sales, accounts payable, and payables turnover ratio over the observed quarterly periods.

Cost of Sales

The cost of sales demonstrates a fluctuating yet generally upward trend from March 31, 2020, through June 30, 2025. Beginning at 4,256 million USD in Q1 2020, the figure experiences periodic increases and decreases, with noticeable peaks in Q4 of many years, which may suggest seasonal variation. For instance, the cost peaked at 5,844 million USD in Q4 2023 and later reached 6,883 million USD by Q1 2025, indicating an increase in the expenses related to company sales over the period. There are occasional declines, such as in Q2 2023 and Q1 2024; however, the overall tendency points towards growth in cost of sales over time.

Accounts Payable

Accounts payable steadily increase across the entire timeline. Starting at 5,554 million USD in Q1 2020, the payable balance grows significantly to 9,975 million USD by Q2 2025. The rise is relatively consistent, with minor short-term fluctuations. This upward trend indicates that the company is taking longer or more volume in settling its payables or purchasing more on credit, which may reflect an expansion in business activities or changes in supplier payment terms.

Payables Turnover Ratio

The payables turnover ratio remains relatively stable but with slight downward movement in recent years. The data available from Q3 2020 shows ratios ranging between approximately 2.35 and 2.88. The ratio peaks near Q4 2021 at about 2.88 and then gradually decreases to around 2.47 by Q2 2025. A decreasing payables turnover ratio suggests that the company may be taking longer to pay its suppliers, consistent with the increasing accounts payable figures observed. This could indicate a strategic approach to manage cash flows, or it may highlight potential challenges in payment cycles.

The analysis of the quarterly financial data reveals several notable trends across the key metrics of working capital and net revenues over the observed periods.

Working Capital

Working capital figures consistently exhibit negative values throughout all reported quarters, indicating a persistent current liabilities excess over current assets. Initial values in early 2020 start at approximately -7,936 million USD and show a general pattern of fluctuation without sustained improvement. The working capital reaches relatively less negative levels during mid-2020, peaking near -3,239 million USD in September 2020, suggesting a temporary reduction in net current liabilities.

Following this, there is a reversion to more negative values towards the end of 2020 and throughout 2021, fluctuating roughly between -3,800 and -5,700 million USD. In 2022 and into 2023, working capital continues to display negative values that deepen again, hitting approximately -7,421 million USD by September 2023, with slight improvements and declines thereafter.

Recent data from 2024 and projected into 2025 maintain this negative trend, with values oscillating between around -5,860 million USD and -8,273 million USD. This sustained negative working capital suggests continued operational or financial structure factors that impact liquidity or short-term asset management.

Net Revenues

Net revenues demonstrate a generally positive and upward trend over the course of the periods. Starting near 6,707 million USD in March 2020, revenues show some quarter-to-quarter volatility but maintain a broad upward trajectory. There is a discernible dip around mid-2020, correlating with macroeconomic or operational impacts.

From late 2020 to 2021, revenues increase notably, reaching above 7,600 million USD per quarter, and continue to rise through 2022 and 2023 with some fluctuations. The peak values are close to 9,166 million USD in early 2023, signaling robust top-line performance and possible growth initiatives or favorable market conditions during this timeframe.

The data for 2024 and projected 2025 quarters suggests net revenues stabilizing in the range of approximately 8,300 to 9,600 million USD, reflecting sustained demand and revenue generation capability.

Working Capital Turnover

No data is provided for working capital turnover ratio, which limits the ability to assess efficiency in the use of working capital relative to revenue generation over the quarters.

In summary, the company's earnings performance appears to improve steadily over time as indicated by rising net revenues, whereas working capital remains consistently negative, signaling potential liquidity management challenges or strategic financial structuring choices. The absence of turnover ratio data constrains a complete operational efficiency analysis.

Inventory Turnover Ratio Trends

The inventory turnover ratio demonstrates fluctuations over the analyzed periods, beginning at 6.1 and experiencing slight variability around this range. Initially, it hovered near 6.1 to 5.67, showing moderate stability with minor decreases observed in certain quarters. Notably, there was a peak around 6.45, followed by a gradual decline towards values near 5.06 by the end of the timeline. These changes suggest periods of both improved and decreased efficiency in managing inventory. Overall, the ratio tends to oscillate between approximately 5.0 and 6.5, indicating relatively consistent inventory turnover with some signs of slowing down in more recent quarters.

Average Inventory Processing Period Trends

The average inventory processing period, measured in days, generally exhibits an inverse relationship with the inventory turnover. Starting around 60 days, the period fluctuates between 57 and 72 days throughout the timeline. There is a notable increase in recent quarters, reaching the highest values near 70 and 72 days, implying that inventory has been held longer on average before processing. Early periods showed relatively shorter processing times around 57 to 62 days, while the later rises may indicate challenges in inventory movement or strategic shifts in stock management.

Summary of Patterns and Insights

The data indicates that inventory management efficiency experienced a degree of reduction over time, as suggested by a decline in inventory turnover ratio coupled with an increase in the average inventory processing period. The inverse pattern between these two metrics is consistent with typical inventory behavior. The gradual lengthening of processing days alongside a declining turnover ratio may point to slower inventory cycles, potentially affecting working capital and operational efficiency. The variations seen could be influenced by external factors affecting demand or internal changes in inventory policies.

Receivables Turnover Ratio

The receivables turnover ratio exhibits fluctuations over the observed periods, starting from a level near 11.57 and experiencing variations between approximately 8.44 and 12.51. It shows a tendency to decline gradually toward the later periods, indicating a slower collection of receivables. Notably, peaks in the ratio around September 2020 and March 2022 reflect periods of relatively more efficient receivables management, while lows, such as those near December 2024, suggest reduced efficiency.

Average Receivable Collection Period (Days)

The average collection period ranges broadly between 29 to 43 days, displaying an inverse relationship with the receivables turnover ratio. Shorter collection periods around September 2020 and September 2022 correspond to higher turnover ratios, suggesting improved cash flow timing. Conversely, an upward trend in the collection period toward the later quarters, especially approaching the end of the dataset, indicates increased days to collect receivables, which potentially impacts liquidity negatively.

Overall Trend and Insights

The data reveals cyclical fluctuations in both receivables turnover and collection periods, reflecting variations in collection efficiency over time. The general pattern suggests a mild deterioration in receivables management effectiveness in the more recent quarters, as evidenced by decreasing turnover ratios and increasing collection days. These changes may signal challenges in credit management or customer payment behavior. Continuous monitoring and potential strategic actions may be beneficial to maintain optimal liquidity and working capital performance.

The data reveals the evolution of key efficiency metrics related to inventory, receivables, and the overall operating cycle over multiple quarterly periods.

Average Inventory Processing Period

The average inventory processing period demonstrates moderate fluctuations across the quarters. Starting from a base around 60 days in early 2020, it experienced a slight increase to 64 days in the third quarter of 2020, followed by variations mostly in the 57 to 65 days range throughout 2021 and 2022. There is a noticeable upward trend starting in late 2023, culminating in a peak of 72 days in the last quarter of 2024 before slightly easing back to around 63 days by mid-2025. This increase suggests occasional extensions in the time inventory remains on hand, particularly towards the later observed periods.

Average Receivable Collection Period

The average receivable collection period shows more pronounced volatility compared to inventory days. It began in the low 30s in early measurement periods, fluctuated around the 29 to 40 days range from 2020 through 2023, and notably trended higher starting in the second quarter of 2023. It reached a peak of 43 days at the end of 2024 before slightly decreasing to 35 days by mid-2025. Overall, receivable collection times have generally increased, indicating that the company takes longer to convert receivables into cash in recent periods.

Operating Cycle

The operating cycle, which sums the inventory processing and receivable collection periods, reveals a consistent pattern of increases and peaks. After an initial baseline near the mid-90s days in 2020, the operating cycle ranged between 87 and 108 days across the reported quarters. There is a clear upward trend during late 2023 through 2024, peaking at 108 days in late 2024, indicating an overall lengthening of the time between resource investment and cash recovery. The prolonged operating cycle suggests a potential tightening in working capital management over the later periods.

In summary, the data points to a gradual extension of both inventory retention and receivable collection times, culminating in a longer operating cycle over the most recent quarters analyzed. These trends may reflect changes in supply chain dynamics, customer payment behavior, or internal operational adjustments, which could impact liquidity and overall cash flow management.

The analysis of the payables-related financial metrics over the observed periods reveals specific trends and fluctuations.

Payables Turnover (ratio)

This ratio first appears from March 31, 2020, with a value of 2.6. Subsequent quarters show a relatively stable pattern around this figure, with minor variations. The turnover ranged roughly between 2.35 and 2.88 throughout the timeline. Notably, peaks are observed during December 2022 (2.88) and December 2021 (2.63), while the lowest levels occur near the middle to end of 2024, dropping to values around 2.35 to 2.43. This indicates some moderation in the frequency of payables settlement toward the later part of the period.

Average Payables Payment Period (number of days)

The average time taken to pay payables emerges at 140 days in March 31, 2020, with some oscillations during the subsequent quarters. The period generally fluctuates between approximately 127 and 155 days. A decreasing trend can be identified between June 2021 (147 days) and December 2022 (127 days), suggesting an improvement in payment speed. However, following this point, the number of days tends to increase again, reaching 155 days in March 31, 2025, indicating a lengthening payment period. This change points to a potential shift in payment policies or cash flow management strategies over the longer term.

In summary, while payables turnover has remained relatively consistent with moderate variability, the average payables payment period demonstrates a more notable fluctuation, showing initial improvement in payment efficiency followed by an extended payment time in the latest quarters. These patterns suggest evolving management of payables, possibly influenced by changing operational or financial conditions.

Average Inventory Processing Period

The average inventory processing period exhibits moderate fluctuations over the observed quarters. Starting at 60 days in the first available quarter, it shows a slight increase peaking at 65 days in the third quarter of 2023, then fluctuates downward and upward again, reaching the highest value of 72 days by the third quarter of 2024. The trend demonstrates variability but generally remains within a range of approximately 57 to 72 days, indicating some inconsistency in inventory turnover efficiency.

Average Receivable Collection Period

The average receivable collection period displays variability without a clear directional trend. It oscillates between lows around 29-30 days and highs exceeding 40 days, with a particularly notable increase from the end of 2023 into 2024 where values reach above 40 days. These fluctuations suggest varying efficiency in receivables management, with some periods reflecting slower collections that could impact working capital.

Average Payables Payment Period

The average payables payment period shows a slight increasing trend over the quarters. Beginning at 140 days, the period extends gradually, peaking at 155 days around mid-2025. This lengthening payables period indicates that the company is taking longer to settle its obligations, potentially optimizing cash outflows or negotiating extended payment terms with suppliers. There are minor decreases in some quarters, but the general tendency is toward a longer payment cycle.

Cash Conversion Cycle

The cash conversion cycle remains negative throughout the measured periods, ranging roughly between -53 and -28 days. This persistent negative value indicates that the company collects cash from customers and manages inventory faster than it pays its suppliers, which is a positive liquidity indicator. However, the cycle shows some variation, shortening to less negative values around the end of 2022 and early 2023, then moving back to more negative values later, suggesting shifts in operational efficiency or working capital management strategies over time.