Monster Beverage beats top-line estimates, shares rise over 2%

Published 27/02/2025, 23:04
Monster Beverage beats top-line estimates, shares rise over 2%

CORONA, Calif. - Monster Beverage Corporation (NASDAQ:MNST) reported fourth-quarter revenue that exceeded analyst expectations, sending shares up 2.7% in after-hours trading.

The energy drink maker posted revenue of $1.81 billion for the quarter, surpassing the consensus estimate of $1.8 billion. Net sales increased 4.7% YoY, or 7.8% on a foreign currency adjusted basis.

However, adjusted earnings per share came in at $0.38, missing analyst projections of $0.40. This was flat compared to the year-ago quarter.

Gross profit margin improved to 55.5% on an adjusted basis, up from 54.5% in Q4 2023, driven by reduced input costs but partially offset by geographical sales mix.

"We recorded strong operating results on an adjusted basis in the 2024 fourth quarter and for the 2024 full year," said Hilton H. Schlosberg, Vice Chairman and Co-Chief Executive Officer. "Our results were again impacted by unfavorable foreign currency exchange rates in certain markets."

The company implemented an approximately 5% price increase on most of its brands in the U.S. effective November 1, 2024, which contributed to the strong results.

Net sales to customers outside the U.S. rose 11.7% to $711.5 million, representing 39.3% of total net sales compared to 36.8% in Q4 2023.

Monster incurred additional impairment charges of $130.7 million related to its Alcohol Brands segment in the quarter due to underperformance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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