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Mar 31, 2024
Monster Beverage Q1 2024 Earnings Report
Reported record first quarter net sales with gross profit margin improvement.
Key Takeaways
Monster Beverage Corporation reported an 11.8% increase in net sales for the first quarter of 2024, reaching $1.90 billion. Net income increased by 11.2% to $442.0 million, with earnings per diluted share rising to $0.42. The company intends to commence a tender offer to repurchase up to $3.0 billion of common stock.
Net sales for the first quarter increased by 11.8% to $1.90 billion.
Net income for the first quarter increased by 11.2% to $442.0 million.
Gross profit as a percentage of net sales improved to 54.1%.
The company intends to commence a tender offer to repurchase up to $3.0 billion of common stock.
Revenue by Segment
Revenue by Geographic Location
Forward Guidance
The company expects to fund the tender offer with approximately $2.0 billion of cash on hand and approximately $1.0 billion in combined borrowings. Mr. Sacks is considering reducing his day-to-day management responsibilities starting in 2025, while continuing to manage certain areas of the Company's business.
Positive Outlook
- Innovation continues to play an important role in our strategy and contributed to our record sales in this quarter.
- We launched a number of new innovation products in the quarter, including Monster Energy® Ultra Fantasy Ruby Red™, Juice Monster® Rio Punch™ and Java Monster® Irish Créme in the United States.
- Predator Energy®, our affordable energy brand, was launched in the Philippines during the quarter.
- Initial response to Predator Energy® Gold Strike has been positive.
- Early response to our hard tea line has been positive.
Challenges Ahead
- The intended commencement of the tender offer.
- The intended $1.0 billion in combined borrowings, consisting of a new revolving credit facility and a new delayed draw term loan facility.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
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Avg. Return Before/After Earnings
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