Mondelez Raises Quarterly Dividend 4.0% to $0.52

Mondelez International increased its quarterly dividend 4.0% to $0.52 from $0.50. The shares traded ex-dividend on September 30, 2026, and payment is due October 14, 2026. The new rate puts the annual dividend at $2.08.

Why the dividend changed

Mondelez’s declaration did not give a specific reason for the increase. It described the distribution as a regular quarterly dividend. The company’s quarterly filing says dividend decisions depend on net earnings, financial condition, cash requirements, future prospects and other factors considered by the board. There was no split, merger, spin-off or special distribution behind the change.

The business backdrop was mixed but supportive of a measured increase. In the second quarter, net revenue rose 4.1%, organic net revenue increased 2.2% and volume and mix improved 0.7%. Adjusted earnings per share declined 2.7% in constant currency, while year-to-date free cash flow was $0.7 billion. Higher pricing and lower manufacturing costs helped gross profit, but higher raw-material expenses, geopolitical costs and spending on an enterprise-resource-planning project remained pressures, according to the second-quarter results.

Management raised its full-year organic revenue growth outlook while maintaining its adjusted earnings and free-cash-flow guidance. Chief Executive Dirk Van de Put pointed to strength in emerging markets and North America, with early improvement in Europe. In its prepared remarks, the company said it remained focused on reinvestment behind brands and customer loyalty while absorbing incremental costs related to the Middle East conflict. That combination helps explain why the board continued dividend growth but limited the step-up relative to the company’s recent annual growth rate.

Dividend track record

The payment history shows a consistent pattern of increases. Annual dividends rose from $1.20 in 2020 to $1.33 in 2021, $1.47 in 2022, $1.62 in 2023, $1.79 in 2024 and $1.94 in 2025. The annual increases ranged from 8.4% to 10.8% over that period. The latest 4.0% quarterly increase is therefore more restrained than the recent annual progression.

Mondelez has increased its dividend for 12 consecutive years, and its five-year dividend growth rate is 10.1% annual growth. The last annual cut occurred in 2013. Recent quarterly payments reinforce the pattern: the rate moved from $0.47 to $0.50 and then to $0.52. The record indicates an established commitment to annual increases, while the smaller latest increase reflects less room for expansion than in the preceding years.

Is the dividend covered?

The dividend consumes 73% of earnings. That leaves an earnings cushion, but the payout is no longer low enough to absorb a major profit decline without increasing pressure on coverage. Future dividend growth will depend more heavily on earnings and cash generation than it would with a lower payout ratio.

SmarterDividends rates the dividend B, with a safety score of 67. That falls within the safe range of 66-79. In plain terms, the current payment appears supported, but the grade does not imply an unusually wide margin of safety. The combination of a 73% earnings payout and a smaller increase supports that measured assessment.

Yield and valuation

The forward yield is 3.51%, compared with a 3.23% median for the Consumer Defensive sector. The income advantage over the sector is present but modest. At the $2.08 annual rate, 100 shares produce $208.00 in annual dividend income before taxes.

Against a share price of $57.82, SmarterDividends estimates fair value at $52.58 and assigns a fair valuation verdict. The estimate indicates 9% downside to fair value. The shares have recorded a 4.9% gain over one year, while the market value stands at $74.2 billion.

What to watch

The immediate item is the October 14, 2026 payment for shares that traded ex-dividend on September 30, 2026. A subsequent ex-dividend date has not been set.

The next quarterly results will show whether volume and mix continue improving, whether Europe’s early share trends persist and how raw-material and geopolitical costs affect margins. Cash generation, progress against maintained full-year guidance and the balance between brand investment and shareholder distributions will provide the clearest evidence on the capacity for further dividend growth. Mondelez’s quarterly filing also makes clear that future declarations remain at the board’s discretion.