Cadbury chocolate and Oreo Cookie maker Mondelez International posted revenue as well as profit that were better than had been expected, as a mix of higher prices and volumes in some markets helped to offset the impact from a strong dollar.
The company reaffirmed its forecast for 2016. Shares were up more than 4% during early morning trading.
Volumes increased in certain markets like Asia Pacific and North American were prices were also increased. In Europe, its largest market by revenue, its volumes increased but the company lowered its prices there.
Total revenue nevertheless, declined for a tenth consecutive quarter as it was hit by the strong U.S. dollar and as the consumer increasingly avoided the sugary and high calorie foods in favor of food that is considered healthier.
To offset dropping sales and spruce up its profit, the company has cut costs and is selling its coffee businesses. It is also making candies and snacks that are healthier.
Profit that is attributable to Mondelez was up by 71% to over $554 million equal to 35 cents a share during the first quarter that ended on March 31.
Rival candy maker Hershey Co posted sales that are disappointing for its third consecutive quarter on Tuesday due to demand for chocolates in North America dropping.
The CCO at Mondelez, Mark Clouse, is leaving the business to take the CEO position at Pinnacle Foods, said Mondelez on Tuesday.
Excluding certain items, the company had earnings per share of 48 cents and said net revenue dropped 16.8% to end the quarter at $6.46 billion.
Analysts had expected earnings per share to be 39 cents on revenue that exceeded $6.43 billion.
The company has reaffirmed its forecast for 2016, but said it was now expecting the strong U.S. dollar to reduce its growth in net revenue by over 3% from its previous estimate of approximately 6%.
Many foods that were once hugely popular amongst adults and children are now losing their popularity as people are learning more about the health problems that obesity and poor diet can produce.