Cadbury Acquisition Drives Profit at Kraft Foods

 Breaking News
  • Ornua Delivers Record Revenue Ornua, Ireland’s largest exporter of Irish dairy products which supplies to over 110 countries worldwide, has reported record revenue of €2.1 billion for the year ended 30 December 2017. It marks the first year of Ornua’s new five-year growth plan, ‘Ornua 2021’, which positions the business as a leading global dairy organisation that delivers results [...]...
  • Danish Crown Becomes European Market Leader in Pepperoni Toppings For Pizzas Danish Crown has acquired the Danish pepperoni giant DK-Foods to become the European market leader in pepperoni toppings for pizzas. DK-Foods will operate as a separate business unit under Danish Crown’s subsidiary Tulip Food Company and will spearhead the group’s global focus on pizza toppings. Pizza is the favourite choice of fast food in Denmark, and [...]...
  • Iceland Seafood International Acquires Oceanpath Iceland Seafood International is acquiring Oceanpath Group, the leading fresh fish company in Ireland owning the iconic Dunn’s of Dublin brand, which has been operating since 1822. The acquisition marks a significant step in Iceland Seafood International’s strategy of delivering strong organic growth combined with strategic acquisitions of first rate seafood companies into the group. Iceland [...]...
  • KHS Presents Innovative Block Systems For the Sensitive Range Yoghurt is no longer spooned out of the pot but drunk. Breakfast is no longer just eaten at the kitchen table but also on the hoof. And it should all be as healthy and sustainable as possible. This is one of the reasons why the demand for smoothies, milk and dairy products is steadily growing. [...]...
  • MOGUNTIA Establishing New Future-oriented IT Infrastructure With Infor Infor, a leading provider of industry-specific cloud applications, has announced that MOGUNTIA FOOD GROUP, a spice producer focusing on meat processing based in Basel, Switzerland, has decided to introduce Infor’s Food & Beverage suite in the cloud to consolidate its IT infrastructure. This will help enable MOGUNTIA to adhere to customary certifications more efficiently and [...]...

Cadbury Acquisition Drives Profit at Kraft Foods

Cadbury Acquisition Drives Profit at Kraft Foods
August 06
12:22 2010

The acquisition of Cadbury has helped Kraft Foods to report higher than expected second quarter profit despite a decline in its North American sales. Cadbury contributed 91% of the 25% rise in the US-based food and beverage giant’s net revenues to $12.3b during the quarter.

Kraft Foods’ operating income increased 16.8% to $1.70b, including a favourable impact of 17.8 percentage points from Cadbury’s operations, partially offset by a negative 11.0 percentage point impact from integration program and acquisition-related costs.

Irene Rosenfeld, chairman and chief executive of Kraft Foods.

“We delivered strong earnings in the quarter and the first half of the year, despite difficult conditions in many markets that tempered top-line growth,” says Irene Rosenfeld, chairman and chief executive of Kraft Foods. “We’re making excellent progress on the Cadbury integration and expect to realise even greater synergies. In light of our strong earnings momentum, we will reinvest our 2010 upside to build our brands and to harmonise business practices. We will deliver at least $2.00 of operating EPS this year while building a stronger foundation to achieve top-tier growth in 2011.”

Kraft Foods has increased its estimate of total cost synergies expected from the integration of Cadbury from $675m to at least $750m and has accordingly adjusted the total costs of the integration programme from approximately $1.3b to $1.5b.

About Author



Related Articles

Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • March 21, 2018World Olive Oil Exhibition
  • March 28, 2018FOOD INDUSTRY
  • April 4, 2018The leading event for the snack and food-on-the-go market
  • April 5, 2018Slow food The forum for good taste
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber

Subscribe Here