Mondelez International Inc (MDLZ)

Interest coverage

		Dec 31, 2024	Sep 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	6,684,000	6,452,000	6,724,000	5,502,000	5,143,000	4,443,000	3,945,000	3,534,000	3,904,000	4,519,000	4,464,000	4,653,000	4,598,000	4,439,000	4,280,000	3,853,000	3,610,000	3,351,000	3,663,000	3,843,000
Interest expense (ttm)	US$ in thousands	511,000	518,000	534,000	565,000	574,000	554,000	498,000	436,000	391,000	364,000	365,000	372,000	383,000	400,000	418,000	430,000	437,000	455,000	474,000	487,000
Interest coverage		13.08	12.46	12.59	9.74	8.96	8.02	7.92	8.11	9.98	12.41	12.23	12.51	12.01	11.10	10.24	8.96	8.26	7.36	7.73	7.89

December 31, 2024 calculation

Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $6,684,000K ÷ $511,000K
= 13.08

Mondelez International Inc's interest coverage ratio has shown a generally positive trend over the analyzed period from December 31, 2019, to December 31, 2024. The interest coverage ratio measures the company's ability to meet its interest obligations with its operating income.

From December 2019 to March 2021, the interest coverage ratio increased steadily from 7.89 to 10.24, indicating an improvement in the company's ability to cover its interest expenses. This upward trend continued through December 31, 2021, reaching 12.51, reflecting a strong financial position.

However, from March 31, 2022, to June 30, 2023, there was a slight decline in the interest coverage ratio, which dropped to 8.02. This decrease may suggest a temporary strain on the company's ability to cover its interest payments efficiently.

Subsequently, from March 31, 2024, to December 31, 2024, the interest coverage ratio increased again to 13.08, indicating a favorable improvement in Mondelez International Inc's ability to handle its interest obligations.

Overall, the company's interest coverage ratio fluctuated during the analyzed period, but it generally remained at healthy levels, reflecting a stable financial position and the company's capacity to meet its interest expenses comfortably.