Monster Beverage Reports 2024 Fourth Quarter and Full-Year Financial Results
Monster Beverage (MNST) reported Q4 2024 financial results with record net sales rising 4.7% to $1.81 billion. When adjusted for foreign currency changes, net sales increased 7.8%. The Monster Energy Drinks segment saw a 4.5% growth to $1.67 billion, while Strategic Brands increased 11.1% to $102.0 million.
Gross profit margin improved to 55.5% on a non-GAAP adjusted basis. Operating income rose 7.9% to $517.9 million (adjusted). The company reported adjusted earnings per diluted share of $0.38. International sales grew significantly, representing 39.3% of total net sales at $711.5 million, up 11.7% from the previous year.
The company implemented a 5% price increase on most brands in the US effective November 1, 2024. The Alcohol Brands segment faced challenges, with impairment charges of $130.7 million and a slight decrease in sales of 0.8% to $34.9 million.
Monster Beverage (MNST) ha riportato i risultati finanziari del Q4 2024 con vendite nette record in aumento del 4,7% a 1,81 miliardi di dollari. Una volta adeguate per le variazioni del cambio estero, le vendite nette sono aumentate del 7,8%. Il segmento delle bevande energetiche Monster ha registrato una crescita del 4,5% a 1,67 miliardi di dollari, mentre i Marchi Strategici sono aumentati dell'11,1% a 102,0 milioni di dollari.
Il margine di profitto lordo è migliorato al 55,5% su base rettificata non-GAAP. L'utile operativo è aumentato del 7,9% a 517,9 milioni di dollari (rettificato). L'azienda ha riportato utili rettificati per azione diluita di 0,38 dollari. Le vendite internazionali sono cresciute significativamente, rappresentando il 39,3% delle vendite nette totali a 711,5 milioni di dollari, in aumento dell'11,7% rispetto all'anno precedente.
L'azienda ha implementato un aumento dei prezzi del 5% sulla maggior parte dei marchi negli Stati Uniti, efficace dal 1 novembre 2024. Il segmento dei Marchi di Alcol ha affrontato sfide, con oneri di impairment di 130,7 milioni di dollari e una leggera diminuzione delle vendite dello 0,8% a 34,9 milioni di dollari.
Monster Beverage (MNST) informó los resultados financieros del Q4 2024 con ventas netas récord que aumentaron un 4.7% a 1.81 mil millones de dólares. Ajustadas por cambios en la moneda extranjera, las ventas netas aumentaron un 7.8%. El segmento de Bebidas Energéticas Monster vio un crecimiento del 4.5% a 1.67 mil millones de dólares, mientras que las Marcas Estratégicas aumentaron un 11.1% a 102.0 millones de dólares.
El margen de beneficio bruto mejoró al 55.5% en una base ajustada no-GAAP. El ingreso operativo aumentó un 7.9% a 517.9 millones de dólares (ajustado). La compañía reportó ganancias ajustadas por acción diluida de 0.38 dólares. Las ventas internacionales crecieron significativamente, representando el 39.3% de las ventas netas totales a 711.5 millones de dólares, un aumento del 11.7% respecto al año anterior.
La compañía implementó un aumento del 5% en los precios de la mayoría de las marcas en EE. UU., efectivo a partir del 1 de noviembre de 2024. El segmento de Marcas de Alcohol enfrentó desafíos, con cargos por deterioro de 130.7 millones de dólares y una ligera disminución en las ventas del 0.8% a 34.9 millones de dólares.
몬스터 음료 (MNST)는 2024년 4분기 재무 결과를 보고하며, 기록적인 순매출이 4.7% 증가하여 18억 1천만 달러에 도달했습니다. 외환 변동을 조정하면 순매출이 7.8% 증가했습니다. 몬스터 에너지 음료 부문은 4.5% 성장하여 16억 7천만 달러에 이르렀고, 전략 브랜드는 11.1% 증가하여 1억 2천만 달러에 도달했습니다.
총 이익률은 비 GAAP 조정 기준으로 55.5%로 개선되었습니다. 운영 소득은 7.9% 증가하여 5억 1천7백90만 달러(조정됨)에 달했습니다. 회사는 희석 주당 조정 수익이 0.38달러라고 보고했습니다. 국제 판매는 크게 증가하여 총 순매출의 39.3%를 차지하며 7억 1천5백만 달러에 이르렀고, 이는 전년 대비 11.7% 증가한 수치입니다.
회사는 2024년 11월 1일부터 미국 내 대부분의 브랜드에 대해 5%의 가격 인상을 시행했습니다. 알코올 브랜드 부문은 1억 3천7백만 달러의 손상 비용과 함께 0.8%의 매출 감소를 겪으며 3천4백90만 달러에 그쳤습니다.
Monster Beverage (MNST) a annoncé les résultats financiers du Q4 2024 avec des ventes nettes record en hausse de 4,7 % à 1,81 milliard de dollars. Lorsqu'elles sont ajustées pour les variations de change, les ventes nettes ont augmenté de 7,8 %. Le segment des boissons énergétiques Monster a connu une croissance de 4,5 % pour atteindre 1,67 milliard de dollars, tandis que les Marques Stratégiques ont augmenté de 11,1 % pour atteindre 102,0 millions de dollars.
La marge brute a été améliorée à 55,5 % sur une base ajustée non-GAAP. Le résultat opérationnel a augmenté de 7,9 % pour atteindre 517,9 millions de dollars (ajusté). L'entreprise a annoncé un bénéfice ajusté par action diluée de 0,38 dollar. Les ventes internationales ont considérablement augmenté, représentant 39,3 % des ventes nettes totales à 711,5 millions de dollars, en hausse de 11,7 % par rapport à l'année précédente.
L'entreprise a mis en œuvre une augmentation de prix de 5 % sur la plupart des marques aux États-Unis, effective à partir du 1er novembre 2024. Le segment des Marques d'Alcool a rencontré des défis, avec des charges de dépréciation de 130,7 millions de dollars et une légère baisse des ventes de 0,8 % à 34,9 millions de dollars.
Monster Beverage (MNST) berichtete über die finanziellen Ergebnisse des Q4 2024 mit Rekordnettoverkäufen, die um 4,7% auf 1,81 Milliarden Dollar stiegen. Bereinigt um Wechselkursänderungen stiegen die Nettoverkäufe um 7,8%. Das Segment der Monster Energy Drinks verzeichnete ein Wachstum von 4,5% auf 1,67 Milliarden Dollar, während die Strategischen Marken um 11,1% auf 102,0 Millionen Dollar zunahmen.
Die Bruttogewinnmarge verbesserte sich auf 55,5% auf einer nicht-GAAP-bereinigten Basis. Das Betriebsergebnis stieg um 7,9% auf 517,9 Millionen Dollar (bereinigt). Das Unternehmen berichtete über bereinigte Erträge pro verwässerter Aktie von 0,38 Dollar. Der internationale Umsatz wuchs erheblich und machte 39,3% des gesamten Nettoverkaufs mit 711,5 Millionen Dollar aus, was einem Anstieg von 11,7% im Vergleich zum Vorjahr entspricht.
Das Unternehmen führte am 1. November 2024 eine Preiserhöhung von 5% für die meisten Marken in den USA ein. Das Segment der Alkoholmarken sah sich Herausforderungen gegenüber, mit Wertminderungen von 130,7 Millionen Dollar und einem leichten Rückgang des Umsatzes um 0,8% auf 34,9 Millionen Dollar.
- Record Q4 net sales up 4.7% to $1.81 billion
- Operating income rose 7.9% to $517.9 million (adjusted)
- Gross profit margin improved to 55.5% (adjusted)
- International sales grew 11.7% to $711.5 million
- Strategic Brands segment increased 11.1%
- $130.7M impairment charges in Alcohol Brands segment
- Alcohol Brands sales declined 0.8%
- Net income decreased 26.2% to $270.7M
- Higher effective tax rate of 29.9% vs 18.5% previous year
Insights
Monster Beverage delivered record Q4 2024 sales of $1.81 billion, increasing 4.7% year-over-year despite significant foreign currency headwinds. On a currency-neutral basis, growth was even stronger at 7.8%, demonstrating robust underlying demand for Monster's products.
The company's profitability metrics showed meaningful improvement, with adjusted gross margin expanding 100 basis points to 55.5%, driven by lower input costs. This margin expansion is particularly impressive given the challenging input cost environment many consumer packaged goods companies continue to face.
International markets are increasingly becoming Monster's growth engine, with sales outside the U.S. surging 19.9% on a currency-adjusted basis, now representing 39.3% of total revenue versus 36.8% a year ago. This geographic diversification reduces Monster's reliance on the maturing U.S. market while capitalizing on lower energy drink penetration rates internationally.
The November 2024 price increase of approximately 5% on core U.S. products appears to have been implemented without significant volume impact, demonstrating Monster's pricing power and strong brand equity with consumers. This successful pricing action should continue to benefit margins in coming quarters.
The company's Alcohol Brands segment remains problematic, with Q4 sales declining 0.8% and requiring a substantial $130.7 million impairment charge. Management acknowledged performance issues in this segment, which has consistently underperformed expectations since acquisition. The continued struggles in alcohol raise questions about Monster's diversification strategy beyond its core energy drink business.
While reported EPS declined 20.8% to $0.28, adjusted EPS held steady at $0.38, matching the prior year despite a significantly higher effective tax rate (29.9% vs. 18.5%). This tax rate increase, driven by lower stock-based compensation deductions and higher state taxes, reduced earnings by approximately $0.04 per share.
With $500 million remaining in its share repurchase authorization and continued innovation in the core energy portfolio, Monster appears well-positioned to sustain growth despite increasing competition in the energy category.
Monster Beverage's Q4 results reveal a company effectively leveraging its global brand strength while managing through challenges in its non-core segments. The 7.8% currency-neutral revenue growth significantly outpaces the broader non-alcoholic beverage industry average of approximately 3-4%, indicating continued market share gains in the energy category.
The company's core Monster Energy Drinks segment, representing 92% of total revenue, delivered 4.5% growth (7.6% currency-adjusted), while the smaller Strategic Brands segment surged 11.1%. This performance in the core business is offsetting the persistent struggles in the Alcohol Brands segment, which suffered its second consecutive year of significant impairments ($130.7 million in Q4 2024 following $39.9 million in Q4 2023).
Monster's international expansion strategy is delivering exceptional results, with currency-neutral growth of 19.9% outside the U.S. This international momentum is increasingly critical as Monster's growth algorithm shifts toward global markets where energy drink penetration remains significantly lower than in the mature U.S. market. The company's market share leadership expansion into new countries like Ireland demonstrates the global appeal of the Monster brand.
The successful implementation of a 5% price increase in November without apparent volume deterioration highlights Monster's pricing power – a important competitive advantage in the current inflationary environment. This pricing strength, combined with moderating input costs, drove the 100 basis point improvement in adjusted gross margin to 55.5%.
While the significant tax rate increase to 29.9% from 18.5% masked some of the operational improvements in the reported figures, the underlying business fundamentals remain strong. The $52.3 million currency headwind represents approximately 3% of quarterly revenue, meaning organic growth was robust despite these external pressures.
The continued innovation pipeline, including the recent launch of Monster Energy Ultra Vice Guava and additional products in early 2025, should help sustain momentum. With $500 million remaining in share repurchase authorization and improving gross margins, Monster appears positioned to deliver enhanced shareholder returns while continuing to invest in global expansion.
-- Record Fourth Quarter Net Sales Rise 4.7 Percent to
-- Net Sales, Adjusted for Changes in Foreign Currency Rise 7.8 Percent in the 2024 Fourth Quarter --
-- Gross Profit as a Percentage of Net Sales Improves to 55.5 Percent on a Non-GAAP Adjusted Basis (55.3 Percent on a Reported Basis) in the 2024 Fourth Quarter –
-- Operating Income Rose 7.9 Percent to
-- Net Income Per Diluted Share was
CORONA, Calif., Feb. 27, 2025 (GLOBE NEWSWIRE) -- Monster Beverage Corporation (NASDAQ: MNST) today reported financial results for the three- and twelve-months ended December 31, 2024.
Items Impacting Profitability
The tables at the end of this press release provide a reconciliation of non-GAAP financial measures to the Company’s results, as reported under GAAP. (See “Adjusted Condensed Consolidated Statements of Income and Other Information” and “Reconciliation of GAAP and Non-GAAP Information” below).
2024 Fourth Quarter
$130.7 million adverse impact relating to Alcohol Brands segment impairment charges.$4.1 million adverse impact relating to reserves for excess inventory in the Alcohol Brands segment.$1.8 million adverse impact of the Hansen Litigation (described in greater detail in the Company’s SEC filings).
2023 Fourth Quarter
$39.9 million adverse impact relating to Alcohol Brands segment impairment charges.$5.0 million adverse impact relating to Bang inventory purchased at fair value.$1.0 million adverse impact relating to Bang transaction costs.$0.3 million adverse impact of the Hansen Litigation.
Operating income, adjusted for these items (non-GAAP), was
Net income per diluted share, adjusted for these items net of tax (non-GAAP), was
2024 Full Year
$138.8 million adverse impact relating to Alcohol Brands segment impairment charges.$20.0 million adverse impact of the Hansen Litigation (described in greater detail in the Company’s SEC filings).$14.7 million adverse impact relating to reserves for excess inventory in the Alcohol Brands segment.
2023 Full Year
$42.7 million adverse impact relating to Alcohol Brands segment impairment charges.$16.1 million adverse impact relating to Bang transaction costs.$12.8 million adverse impact relating to Bang inventory purchased at fair value.$2.6 million adverse impact of the Hansen Litigation.$45.4 million favorable impact relating to the gain on the Bang transaction.
Net income per diluted share, adjusted for these items net of tax (non-GAAP), was
Fourth Quarter Results
Net sales for the 2024 fourth quarter increased 4.7 percent to
Net sales for the Company’s Monster Energy® Drinks segment, which primarily includes the Company’s Monster Energy® drinks, Reign Total Body Fuel® high performance energy drinks, Reign Storm® total wellness energy drinks and Bang Energy® drinks, increased 4.5 percent to
Net sales for the Company’s Strategic Brands segment, which primarily includes the various energy drink brands acquired from The Coca-Cola Company, as well as the Company’s affordable energy brands Predator® and Fury®, increased 11.1 percent to
Net sales for the Alcohol Brands segment, which is comprised of The Beast™, Nasty Beast® Hard Tea, as well as various craft beers and hard seltzers, decreased 0.8 percent to
Net sales for the Company’s Other segment, which primarily includes certain products of American Fruits and Flavors, LLC, a wholly owned subsidiary of the Company, sold to independent third-party customers, increased 4.6 percent to
Net sales to customers outside the United States increased 11.7 percent to
Gross profit as a percentage of net sales for the 2024 fourth quarter was 55.3 percent, compared with 54.2 percent in the 2023 fourth quarter. Adjusted gross profit as a percentage of net sales for the 2024 fourth quarter was 55.5 percent, compared with 54.5 percent in the 2023 fourth quarter. (See “Adjusted Condensed Consolidated Statements of Income and Other Information” and “Reconciliation of GAAP and Non-GAAP Information” below). The increase in gross profit as a percentage of net sales for the 2024 fourth quarter was primarily the result of reduced input costs, partially offset by geographical sales mix.
Operating expenses for the 2024 fourth quarter were
Distribution expenses for the 2024 fourth quarter were
Selling expenses for the 2024 fourth quarter were
General and administrative expenses for the 2024 fourth quarter were
Operating income for the 2024 fourth quarter was
The effective tax rate for the 2024 fourth quarter was 29.9 percent, compared with 18.5 percent in the 2023 fourth quarter. The increase in the effective tax rate for the 2024 fourth quarter was primarily attributable to a decrease in the stock-based compensation deduction for the 2024 fourth quarter, an adjustment to the 2024 full year effective tax rate, higher 2024 state income taxes and the establishment of a state tax valuation allowance relating to certain net operating losses of the Alcohol Brands segment.
Net income for the 2024 fourth quarter decreased 26.2 percent to
Net income per diluted share for the 2024 fourth quarter decreased 20.8 percent to
Hilton H. Schlosberg, Vice Chairman and Co-Chief Executive Officer, said, “We recorded strong operating results on an adjusted basis in the 2024 fourth quarter and for the 2024 full year.
“Our results were again impacted by unfavorable foreign currency exchange rates in certain markets. On a foreign currency adjusted basis, net sales increased 7.8 percent in the quarter.
“Adjusted gross profit margins improved to 55.5 percent in the 2024 fourth quarter, compared with adjusted gross profit margins of 54.5 percent in the 2023 fourth quarter.
“We continued to see sustained growth in the global energy drink category. In the United States, we are seeing a resurgence of growth in the energy drink category in convenience, as well as in all measured channels reported by Nielsen. Our non-Nielsen measured channels continued to grow.
“Growth opportunities in household penetration and per capita consumption, along with consumers’ growing need for energy are positive trends for the category.
“We implemented an approximately 5.0 percent price increase on our brands and packages, excluding Bang Energy®, Reign® and Reign Storm® in the United States, effective November 1, 2024, which contributed to our strong results,” Schlosberg added.
Rodney C. Sacks, Chairman and Co-Chief Executive Officer, said, “Following the successful launch of Monster Energy® Ultra Vice Guava® in October 2024, we launched a number of new products in the first two months of 2025. Innovation globally continues to play a key role in our strategy and we maintain a robust innovation pipeline.
“We continue to have market share leadership in a number of countries for our Monster Energy® brand, and I am pleased to report that in the Republic of Ireland, Monster Energy® has gained market share leadership in the last 13 weeks, as reported by Nielsen.
“We incurred additional impairments within our Alcohol Brands segment in the quarter due to financial performance, which is being addressed. We are exploring opportunities for distribution of our alcohol products in certain international jurisdictions,” Sacks said.
2024 Full-Year Results
Net sales for the year ended December 31, 2024, increased 4.9 percent to
Gross profit, as a percentage of net sales, for the year ended December 31, 2024, was 54.0 percent, compared with 53.1 percent in 2023. Adjusted gross profit as a percentage of net sales for the year ended December 31, 2024, was 54.2 percent, compared with 53.3 percent in 2023. (See “Adjusted Condensed Consolidated Statements of Income and Other Information” and “Reconciliation of GAAP and Non-GAAP Information” below).
Operating expenses for the year ended December 31, 2024, were
Operating income for the year ended December 31, 2024, was
The effective tax rate was 24.1 percent for the year ended December 31, 2024, compared with 21.2 percent in 2023.
Net income for the year ended December 31, 2024, decreased 7.5 percent to
Share Repurchase Program
During the 2024 fourth quarter, no shares of the Company common stock were repurchased. As of February 26, 2025, approximately
Investor Conference Call
The Company will host an investor conference call today, February 27, 2025, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time). The conference call will be open to all interested investors through a live audio web broadcast via the internet at www.monsterbevcorp.com in the “Events & Presentations” section. For those who are not able to listen to the live broadcast, the call will be archived for approximately one year on the website.
Monster Beverage Corporation
Based in Corona, California, Monster Beverage Corporation is a holding company and conducts no operating business except through its consolidated subsidiaries. The Company’s subsidiaries develop and market energy drinks, including Monster Energy® drinks, Monster Energy Ultra® energy drinks, Juice Monster® Energy + Juice energy drinks, Java Monster® non-carbonated coffee + energy drinks, Monster Killer Brew™ Triple Shot, Rehab® Monster® non-carbonated energy drinks, Monster Energy® Nitro energy drinks, Reign® Total Body Fuel high performance energy drinks, Reign Storm® total wellness energy drinks, NOS® energy drinks, Full Throttle® energy drinks, Bang Energy® drinks, BPM® energy drinks, BU® energy drinks, Burn® energy drinks, Live+® energy drinks, Mother® energy drinks, Nalu® energy drinks, Play® and Power Play® (stylized) energy drinks, Relentless® energy drinks, Samurai® energy drinks, Ultra Energy® drinks, Predator® energy drinks and Fury® energy drinks. The Company’s subsidiaries also develop and market still and sparkling waters under the Monster Tour Water® brand name. The Company’s subsidiaries also develop and market craft beers, flavored malt beverages and hard seltzers under a number of brands, including Jai Alai® IPA, Dale’s Pale Ale®, Dallas Blonde®, Wild Basin® hard seltzers, The Beast™ and Nasty Beast® Hard Tea. For more information visit www.monsterbevcorp.com.
Caution Concerning Forward-Looking Statements
Certain statements made in this announcement may constitute “forward-looking statements” within the meaning of the U.S. federal securities laws, as amended, regarding the expectations of management with respect to our future operating results and other future events including revenues and profitability. The Company cautions that these statements are based on management’s current knowledge and expectations and are subject to certain risks and uncertainties, many of which are outside of the control of the Company, that could cause actual results and events to differ materially from the statements made herein. Such risks and uncertainties include, but are not limited to, the following: our ability to sustain the current level of sales of and/or achieve growth for our Monster Energy® Reign Total Body Fuel®, Reign Storm®, Bang Energy® and NOS® brand energy drinks and/or our other products, including our Strategic Brands and Alcohol Brands, decreased demand for our products resulting from changes in consumer preferences; the impact on our business of competitive products and pricing pressures and our ability to increase or maintain our market share as a result of actions by competitors; changes in U.S. trade policies as a result of any legislation proposed or implemented by the recently inaugurated U.S. presidential administration or U.S. Congress, which include tariffs; the impact of military conflicts, including supply chain disruptions, volatility in commodity prices, increased economic uncertainty and escalating geopolitical tensions; our extensive commercial arrangements with The Coca-Cola Company (TCCC) and, as a result, our future performance’s substantial dependence on the success of our relationship with TCCC; our ability to implement our growth strategy, including expanding our business in existing and new sectors and achieving profitability within our Alcohol Brands segment; the inherent operational risks presented by the alcoholic beverage industry that may not be adequately covered by insurance or lead to litigation relating to the abuse or misuse of our products; our ability to recognize the anticipated benefits of the acquisition of Bang Energy® business; exposure to significant liabilities due to litigation, legal or regulatory proceedings; intellectual property injunctions; unanticipated litigation concerning the Company’s products; the current uncertainty and volatility in the national and global economy and changes in demand due to such economic conditions, including a slowdown in consumer spending generally or reduced demand for consumer goods; adverse publicity surrounding obesity, alcohol consumption and other health concerns related to our products, product safety and quality; changes in the price and/or availability of raw materials; other supply issues, including the availability of products and/or suitable production facilities including limitations on co-packing availability including retort production; disruption to our manufacturing facilities and operations related to climate, labor, production difficulties, capacity limitations, regulations or other causes; product distribution and placement decisions by retailers; the effects of retailer and/or bottler/distributor consolidation on our business; unilateral decisions by bottlers/distributors, buying groups, convenience chains, grocery chains, mass merchandisers, specialty chain stores, e-commerce retailers, e-commerce websites, club stores and other customers to discontinue carrying all or any of our products that they are carrying at any time, restrict the range of our products they carry, impose restrictions or limitations on the sale of our products and/or the sizes of containers for our products and/or devote less resources to the sale of our products; changes in governmental regulation; the imposition of new and/or increased excise sales and/or other taxes on our products; our ability to adapt to the changing retail landscape with the rapid growth in e-commerce retailers and e-commerce websites; the impact of proposals to limit or restrict the sale of energy or alcohol drinks to minors and/or persons below a specified age and/or restrict the venues and/or the size of containers in which energy or alcohol drinks can be sold; possible recalls of our products and/or the consequences and costs of defective production; or our ability to absorb, reduce or pass on to our bottlers/distributors increases in commodity costs, including freight costs. For a more detailed discussion of these and other risks that could affect our operating results, see the Company’s reports filed with the Securities and Exchange Commission, including our annual report on Form 10-K for the year ended December 31, 2023 and our subsequently filed quarterly reports. The Company’s actual results could differ materially from those contained in the forward-looking statements. The Company assumes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.
(tables below)
| MONSTER BEVERAGE CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND OTHER INFORMATION FOR THE THREE- AND TWELVE-MONTHS ENDED DECEMBER 31, 2024 AND 2023 (In Thousands, Except Per Share Amounts) (Unaudited) | |||||||||||||||
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Net sales¹ | $ | 1,812,041 | $ | 1,730,108 | $ | 7,492,709 | $ | 7,140,027 | |||||||
| Cost of sales | 809,596 | 791,736 | 3,443,831 | 3,345,821 | |||||||||||
| Gross profit¹ | 1,002,445 | 938,372 | 4,048,878 | 3,794,206 | |||||||||||
| Gross profit as a percentage of net sales | |||||||||||||||
| Operating expenses | 621,221 | 504,414 | 2,118,584 | 1,840,851 | |||||||||||
| Operating expenses as a percentage of net sales | |||||||||||||||
| Operating income¹ | 381,224 | 433,958 | 1,930,294 | 1,953,355 | |||||||||||
| Operating income as a percentage of net sales | |||||||||||||||
| Interest and other income (expense), net | 4,854 | 16,117 | 59,165 | 115,127 | |||||||||||
| Income before provision for income taxes¹ | 386,078 | 450,075 | 1,989,459 | 2,068,482 | |||||||||||
| Provision for income taxes | 115,367 | 83,097 | 480,411 | 437,494 | |||||||||||
| Income taxes as a percentage of income before taxes | |||||||||||||||
| Net income | $ | 270,711 | $ | 366,978 | $ | 1,509,048 | $ | 1,630,988 | |||||||
| Net income as a percentage of net sales | |||||||||||||||
| Net income per common share: | |||||||||||||||
| Basic | $ | 0.28 | $ | 0.35 | $ | 1.50 | $ | 1.56 | |||||||
| Diluted | $ | 0.28 | $ | 0.35 | $ | 1.49 | $ | 1.54 | |||||||
| Weighted average number of shares of common stock and common stock equivalents: | |||||||||||||||
| Basic | 972,742 | 1,040,584 | 1,004,566 | 1,044,887 | |||||||||||
| Diluted | 980,942 | 1,052,524 | 1,013,107 | 1,057,981 | |||||||||||
| Energy Drink Case sales (in thousands) (in 192-ounce case equivalents) | 203,630 | 185,304 | 846,663 | 769,241 | |||||||||||
| Average net sales per case2 | $ | 8.70 | $ | 9.12 | $ | 8.62 | $ | 9.01 | |||||||
¹Includes
2Excludes Alcohol Brands segment and Other segment net sales.
| MONSTER BEVERAGE CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS AS OF DECEMBER 31, 2024 AND 2023 (In Thousands, Except Par Value) (Unaudited) | ||||||||
| December 31, 2024 | December 31, 2023 | |||||||
| ASSETS | ||||||||
| CURRENT ASSETS: | ||||||||
| Cash and cash equivalents | $ | 1,533,287 | $ | 2,297,675 | ||||
| Short-term investments | - | 955,605 | ||||||
| Accounts receivable, net | 1,221,646 | 1,193,964 | ||||||
| Inventories | 737,107 | 971,406 | ||||||
| Prepaid expenses and other current assets | 107,262 | 116,195 | ||||||
| Prepaid income taxes | 42,202 | 54,151 | ||||||
| Total current assets | 3,641,504 | 5,588,996 | ||||||
| INVESTMENTS | - | 76,431 | ||||||
| PROPERTY AND EQUIPMENT, net | 1,047,024 | 890,796 | ||||||
| DEFERRED INCOME TAXES, net | 184,260 | 175,003 | ||||||
| GOODWILL | 1,331,643 | 1,417,941 | ||||||
| OTHER INTANGIBLE ASSETS, net | 1,414,252 | 1,427,139 | ||||||
| OTHER ASSETS | 100,406 | 110,216 | ||||||
| Total Assets | $ | 7,719,089 | $ | 9,686,522 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| CURRENT LIABILITIES: | ||||||||
| Accounts payable | $ | 466,775 | $ | 564,379 | ||||
| Accrued liabilities | 220,764 | 183,988 | ||||||
| Accrued promotional allowances | 267,711 | 269,061 | ||||||
| Deferred revenue | 45,809 | 41,914 | ||||||
| Accrued compensation | 92,454 | 87,392 | ||||||
| Income taxes payable | 4,006 | 14,955 | ||||||
| Total current liabilities | 1,097,519 | 1,161,689 | ||||||
| DEFERRED REVENUE | 179,008 | 204,251 | ||||||
| OTHER LIABILITIES | 110,893 | 91,838 | ||||||
| LONG-TERM DEBT | 373,951 | - | ||||||
| STOCKHOLDERS' EQUITY: | ||||||||
| Common stock - 1,126,329 shares issued and 973,079 shares outstanding as of December 31, 2024; 1,122,592 shares issued and 1,041,571 shares outstanding as of December 31, 2023 | 5,632 | 5,613 | ||||||
| Additional paid-in capital | 5,144,922 | 4,975,115 | ||||||
| Retained earnings | 7,448,784 | 5,939,736 | ||||||
| Accumulated other comprehensive loss | (269,487 | ) | (125,337 | ) | ||||
| Common stock in treasury, at cost; 153,250 shares and 81,021 shares as of December 31, 2024 and December 31, 2023, respectively | (6,372,133 | ) | (2,566,383 | ) | ||||
| Total stockholders' equity | 5,957,718 | 8,228,744 | ||||||
| Total Liabilities and Stockholders’ Equity | $ | 7,719,089 | $ | 9,686,522 | ||||
| MONSTER BEVERAGE CORPORATION AND SUBSIDIARIES ADJUSTED CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND OTHER INFORMATION FOR THE THREE- AND TWELVE-MONTHS ENDED DECEMBER 31, 2024 AND 20231 (In Thousands, Except Per Share Amounts) (Unaudited) | |||||||||||||||
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Net sales | $ | 1,812,041 | $ | 1,730,108 | $ | 7,492,709 | $ | 7,140,027 | |||||||
| Cost of sales | 805,453 | 786,760 | 3,429,101 | 3,333,021 | |||||||||||
| Gross profit | 1,006,588 | 943,348 | 4,063,608 | 3,807,006 | |||||||||||
| Gross profit as a percentage of net sales | |||||||||||||||
| Operating expenses | 488,667 | 463,224 | 1,959,825 | 1,779,404 | |||||||||||
| Operating expenses as a percentage of net sales | |||||||||||||||
| Operating income | 517,921 | 480,124 | 2,103,783 | 2,027,602 | |||||||||||
| Operating income as a percentage of net sales | |||||||||||||||
| Interest and other income (expense), net | 4,854 | 16,117 | 59,165 | 69,745 | |||||||||||
| Income before provision for income taxes¹ | 522,775 | 496,241 | 2,162,948 | 2,097,347 | |||||||||||
| Provision for income taxes | 147,080 | 93,799 | 521,045 | 444,375 | |||||||||||
| Income taxes as a percentage of income before taxes | |||||||||||||||
| Net income | $ | 375,695 | $ | 402,442 | $ | 1,641,903 | $ | 1,652,972 | |||||||
| Net income as a percentage of net sales | |||||||||||||||
| Net income per common share: | |||||||||||||||
| Basic | $ | 0.39 | $ | 0.39 | $ | 1.63 | $ | 1.58 | |||||||
| Diluted | $ | 0.38 | $ | 0.38 | $ | 1.62 | $ | 1.56 | |||||||
| Weighted average number of shares of common stock and common stock equivalents: | |||||||||||||||
| Basic | 972,742 | 1,040,584 | 1,004,566 | 1,044,887 | |||||||||||
| Diluted | 980,942 | 1,052,524 | 1,013,107 | 1,057,981 | |||||||||||
1See “Reconciliation of GAAP and non-GAAP Information” below for excluded items.
| Reconciliation of GAAP and Non-GAAP Information ($ in Thousands, Except Per Share Amounts, unaudited) |
Adjusted results are non-GAAP that exclude the following:
(i) Alcohol Brands Inventory Reserves – increased inventory reserves due to excess inventory levels in the Alcohol Brands segment.
(ii) Bang Inventory Step-Up – on July 31, 2023, the Company completed its acquisition of substantially all of the assets of Vital Pharmaceuticals, Inc. and its debtor affiliates (the “Bang Transaction”). Inventory purchased as part of the Bang Transaction was recorded at fair value. Certain of the purchased inventory was subsequently sold in the 2023 third and fourth quarters and was recognized through cost of sales at fair value
(iii) Alcohol Brands segment impairment charges – impairment charges related to the Alcohol Brands segment due to (a) operating and financial performance not meeting projections and (b) a decrease in projected ongoing operating and financial performance of the reporting unit. The impairment charges relate to reporting unit goodwill, certain non-amortizing intangibles as well as property and equipment.
(iii) Hansen Litigation – the Company recorded an expense provision and incurred legal expenses in connection with an intellectual property claim brought by the descendants of Hubert Hansen, in relation to the Company’s use of the Hubert Hansen name prior to the transaction with the Coca-Cola Company, which closed in 2015.
(iv) Bang Transaction Expenses - during 2023, the Company incurred acquisition expenses related to the Bang Transaction.
(v) Bang Transaction Gain - during the 2023 third quarter, in connection with the Bang Transaction, the Company recorded a gain of
The Company believes these non-GAAP items are useful to investors in evaluating the Company’s ongoing operating and financial results. The non-GAAP items should be considered in addition to, and not in lieu of, U.S. GAAP financial measures.
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Cost of sales | $ | 809,596 | $ | 791,736 | $ | 3,443,831 | $ | 3,345,821 | |||||||
| Alcohol Brands inventory reserves | (4,143 | ) | - | (14,730 | ) | - | |||||||||
| Bang inventory step-up | - | (4,976 | ) | - | (12,800 | ) | |||||||||
| Cost of sales excluding above items | $ | 805,453 | $ | 786,760 | $ | 3,429,101 | $ | 3,333,021 | |||||||
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Gross profit | $ | 1,002,445 | $ | 938,372 | $ | 4,048,878 | $ | 3,794,206 | |||||||
| Alcohol Brands inventory reserves | 4,143 | - | 14,730 | - | |||||||||||
| Bang inventory step-up | - | 4,976 | - | 12,800 | |||||||||||
| Gross profit excluding above items | $ | 1,006,588 | $ | 943,348 | $ | 4,063,608 | $ | 3,807,006 | |||||||
| Reconciliation of GAAP and Non-GAAP Information (cont.) ($ in Thousands, unaudited) | |||||||||||||||
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Operating expenses | $ | 621,221 | $ | 504,414 | $ | 2,118,584 | $ | 1,840,851 | |||||||
| Alcohol Brands segment impairment charges | (130,711 | ) | (39,936 | ) | (138,762 | ) | (42,736 | ) | |||||||
| Hansen Litigation | (1,843 | ) | (263 | ) | (19,997 | ) | (2,617 | ) | |||||||
| Bang transaction expenses | - | (991 | ) | - | (16,094 | ) | |||||||||
| Operating expenses excluding above items | $ | 488,667 | $ | 463,224 | $ | 1,959,825 | $ | 1,779,404 | |||||||
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Operating income | $ | 381,224 | $ | 433,958 | $ | 1,930,294 | $ | 1,953,355 | |||||||
| Alcohol Brands inventory reserve | 4,143 | - | 14,730 | - | |||||||||||
| Bang inventory step-up | - | 4,976 | - | 12,800 | |||||||||||
| Alcohol Brands segment impairment charges | 130,711 | 39,936 | 138,762 | 42,736 | |||||||||||
| Hansen Litigation | 1,843 | 263 | 19,997 | 2,617 | |||||||||||
| Bang transaction expenses | - | 991 | - | 16,094 | |||||||||||
| Operating income excluding above items | $ | 517,921 | $ | 480,124 | $ | 2,103,783 | $ | 2,027,602 | |||||||
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Interest and other income (expense), net | $ | 4,854 | $ | 16,117 | $ | 59,165 | $ | 115,127 | |||||||
| Bang transaction gain | - | - | - | (45,382 | ) | ||||||||||
| Interest and other income (expense), net, excluding above item | $ | 4,854 | $ | 16,117 | $ | 59,165 | $ | 69,745 | |||||||
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Income before provision for income taxes | $ | 386,078 | $ | 450,075 | $ | 1,989,459 | $ | 2,068,482 | |||||||
| Alcohol Brands inventory reserve | 4,143 | - | 14,730 | - | |||||||||||
| Bang inventory step-up | - | 4,976 | - | 12,800 | |||||||||||
| Alcohol Brands segment impairment charges | 130,711 | 39,936 | 138,762 | 42,736 | |||||||||||
| Hansen Litigation | 1,843 | 263 | 19,997 | 2,617 | |||||||||||
| Bang transaction expenses | - | 991 | - | 16,094 | |||||||||||
| Bang transaction gain | - | - | - | (45,382 | ) | ||||||||||
| Income before provision for income taxes excluding above items | $ | 522,775 | $ | 496,241 | $ | 2,162,948 | $ | 2,097,347 | |||||||
| Reconciliation of GAAP and Non-GAAP Information (cont.) ($ in Thousands, unaudited) | |||||||||||||||
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Provision for income taxes | $ | 115,367 | $ | 83,097 | $ | 480,411 | $ | 437,494 | |||||||
| Alcohol Brands inventory reserve | 961 | - | 3,555 | - | |||||||||||
| Bang inventory step-up | - | 1,229 | - | 2,966 | |||||||||||
| Alcohol Brands segment impairment charges | 30,325 | 9,185 | 32,193 | 9,807 | |||||||||||
| Hansen Litigation | 427 | 60 | 4,886 | 602 | |||||||||||
| Bang transaction expenses | - | 228 | - | 3,581 | |||||||||||
| Bang transaction gain | - | - | - | (10,075 | ) | ||||||||||
| Provision for income taxes excluding above items | $ | 147,080 | $ | 93,799 | $ | 521,045 | $ | 444,375 | |||||||
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Net income | $ | 270,711 | $ | 366,978 | $ | 1,509,048 | $ | 1,630,988 | |||||||
| Alcohol Brands inventory reserve | 3,182 | - | 11,175 | - | |||||||||||
| Bang inventory step-up | - | 3,747 | - | 9,834 | |||||||||||
| Alcohol Brands segment impairment charges | 100,386 | 30,751 | 106,569 | 32,929 | |||||||||||
| Hansen Litigation | 1,416 | 203 | 15,111 | 2,015 | |||||||||||
| Bang transaction expenses | - | 763 | - | 12,513 | |||||||||||
| Bang transaction gain | - | - | - | (35,307 | ) | ||||||||||
| Net income excluding above items | $ | 375,695 | $ | 402,442 | $ | 1,641,903 | $ | 1,652,972 | |||||||
Adjustments in this table are net of tax.
| Three-Months Ended | Twelve-Months Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Net income per common share – Diluted | $ | 0.28 | $ | 0.35 | $ | 1.49 | $ | 1.54 | |||||||
| Cumulative adjustments, net of tax | 0.10 | 0.03 | 0.13 | 0.02 | |||||||||||
| Net income per common share – Diluted, excluding above items | $ | 0.38 | $ | 0.38 | $ | 1.62 | $ | 1.56 | |||||||
| CONTACTS: | Rodney C. Sacks Chairman and Co-Chief Executive Officer (951) 739-6200 Hilton H. Schlosberg Vice Chairman and Co-Chief Executive Officer (951) 739-6200 Roger S. Pondel / Judy Lin PondelWilkinson Inc. (310) 279-5980 |
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