Mondelez International Inc (MDLZ)

Activity ratios

Short-term

Turnover ratios

	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover	6.16	5.97	6.45	6.10	6.10
Receivables turnover	7.98	8.06	9.01	9.00	8.84
Payables turnover	2.67	2.67	2.60	2.60	2.65
Working capital turnover	—	—	—	—	—

- Inventory Turnover: Mondelez International Inc.'s inventory turnover ratio has been relatively stable over the past five years, ranging from 5.97 to 6.45 times. This indicates that the company is efficient in managing its inventory levels and converting them into sales.

- Receivables Turnover: The receivables turnover ratio has shown a slight fluctuation but generally remained healthy, ranging from 7.98 to 9.01 times. This suggests that Mondelez is effective in collecting payments from its customers in a timely manner.

- Payables Turnover: The payables turnover ratio has been relatively consistent, ranging from 2.60 to 2.67 times. This indicates that the company is able to manage its payments to suppliers efficiently.

- Working capital turnover: The data for working capital turnover is missing for all years, making it difficult to assess how effectively Mondelez is utilizing its working capital to generate sales. Additional information would be needed to analyze this aspect of the company's operations.

Overall, Mondelez International Inc. demonstrates healthy activity ratios, indicating efficient management of inventory, receivables, and payables.

Average number of days

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Days of inventory on hand (DOH)	days	59.30	61.14	56.59	59.88	59.83
Days of sales outstanding (DSO)	days	45.73	45.28	40.52	40.56	41.30
Number of days of payables	days	136.49	136.75	140.64	140.46	137.55

The activity ratios of Mondelez International Inc. over the past five years indicate the efficiency of the company in managing its operations related to inventory, accounts receivable, and accounts payable.

- Days of inventory on hand (DOH) measures how quickly the company sells its inventory. Mondelez International's DOH has shown some variability over the years, ranging from 56.59 days to 61.14 days. A lower DOH is generally favorable as it indicates the company is selling its inventory faster.

- Days of sales outstanding (DSO) measures the average number of days it takes for the company to collect its accounts receivable. Mondelez International has maintained a relatively stable DSO over the years, ranging from 40.52 days to 45.73 days. A lower DSO is preferable as it reflects a faster collection of receivables.

- Number of days of payables measures how long it takes for the company to pay its suppliers. Mondelez International's number of days of payables has fluctuated, with values ranging from 136.49 days to 140.64 days. A higher number of days of payables can indicate favorable payment terms with suppliers, providing some flexibility in managing cash flow.

Overall, Mondelez International Inc. has shown efficiency in managing its inventory, accounts receivable, and accounts payable over the years, with relatively stable DSO and varying DOH and number of days of payables figures.

Long-term

	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Fixed asset turnover	3.84	3.61	3.41	3.03	3.00
Total asset turnover	0.50	0.44	0.43	0.39	0.40

Mondelez International Inc.'s long-term activity ratios indicate the efficiency of the company in utilizing its assets to generate sales. The fixed asset turnover has been showing a positive trend over the past five years, increasing from 2.96 in 2019 to 3.72 in 2023. This suggests that the company has improved its ability to generate sales using its fixed assets, such as property, plant, and equipment.

On the other hand, the total asset turnover ratio has also been increasing steadily over the years, from 0.40 in 2019 to 0.50 in 2023. This indicates that Mondelez International has been more efficient in utilizing all its assets, including current and non-current assets, to generate revenue.

Overall, the improvement in both the fixed asset turnover and total asset turnover ratios reflects positively on Mondelez International's operational efficiency and effectiveness in generating sales relative to its asset base.