(Reuters) - Mondelez International Inc (MDLZ.O) on Tuesday beat Wall Street estimates for quarterly results, driven by a strong demand in North America, even as the Oreo cookie maker withdrew its 2020 outlook, citing the uncertainty caused by the coronavirus pandemic.
The rapid spread of the coronavirus outbreak that has claimed more than 211,000 lives and infected over 3 million across the globe, prompted people across the globe to stockpile essential supplies as well as snacks and chocolates.
The Toblerone chocolate maker said it saw a significant increase in demand in March for its snacks in developed markets, particularly in North America. About 15% increase in sales in North America helped offset weakness in emerging markets.
Revenue rose to $6.71 billion in the first quarter ended March 31 from $6.54 billion a year ago, beating analysts’ average estimate of $6.61 billion, according to IBES data from Refinitiv.
Excluding certain items, Mondelez earned 69 cents per share, above analysts’ estimate of 66 cents.
Shares of the company rose 1.6% in extended trading.
Meanwhile, rival Hershey (HSY.N) pulled reut.rs/2S7vru8 its 2020 forecast last week and warned of weak sales in certain categories as households, worried about their financial future, cut spending on snacks and chocolates.
Reporting by Praveen Paramasivam in Bengaluru; Editing by Vinay Dwivedi