By Jesse Newman

Oreo maker Mondelez says that economic anxiety has consumers skipping cookies and crackers--a fog that the company doesn't expect to lift this year.

Mondelez's U.S. biscuit business was a drag on its most recent quarter, driven down by consumers' inflation concerns. Shares dropped 4% in after-hours trading.

Chief Executive Dirk Van de Put says that consumer confidence is near a historic low. "They are fed up with the price increases," he says. "They don't feel good about their personal economic outlook. They have doubts about job security."

Van de Put says that the average shopping basket for U.S. consumers hasn't grown in the past two to three years. Consumers have been paying more for basic foods such as milk, meat and bread, leaving less money for discretionary snacks.

To boost demand, Mondelez is increasing advertising and expanding its presence in value and club stores, where Van de Put says consumers are increasingly shopping. The company is offering new product sizes at a broader range of price points. And it is accelerating its rollout of premium cookies and healthier crackers and protein bars, such as its recently launched sugar-free Oreos and high-protein Clif Builders bars.

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February 03, 2026 19:08 ET (00:08 GMT)

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