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Mar 31

Monster Beverage Q1 2025 Earnings Report

Results for the three-months ended March 31, 2025

Key Takeaways

Monster Beverage Corporation reported a slight decrease in net sales for the first quarter of 2025 compared to the same period last year, totaling $1.85 billion. However, gross profit as a percentage of net sales improved to 56.5%, and operating income increased by 5.1%. Diluted earnings per share also saw a 7.4% increase to $0.45.

Net sales for Q1 2025 were $1.85 billion, a 2.3% decrease from Q1 2024.

Gross profit margin improved to 56.5% in Q1 2025, up from 54.1% in Q1 2024.

Operating income increased by 5.1% to $569.7 million in Q1 2025.

Diluted EPS rose by 7.4% to $0.45 in Q1 2025.

Total Revenue
$1.85B
Previous year: $1.9B
-2.3%
EPS
$0.47
Previous year: $0.42
+11.9%
Gross Profit % of Net Sales
56.5%
Previous year: 54.1%
+4.4%
Operating Expenses
$478M
Previous year: $485M
-1.4%
Operating Expenses % of Net Sales
25.8%
Previous year: 25.5%
+1.2%
Gross Profit
$1.05B
Previous year: $1.03B
+1.9%
Cash and Equivalents
$1.9B
Previous year: $3.56B
-46.5%
Total Assets
$8.23B
Previous year: $10.1B
-18.5%

Monster Beverage

Monster Beverage

Monster Beverage Revenue by Segment

Monster Beverage Revenue by Geographic Location

Forward Guidance

The company's forward guidance is optimistic regarding consumer retail sales and innovation pipeline, while acknowledging headwinds from ordering patterns, currency exchange rates, and the Alcohol Brands segment.

Positive Outlook

  • Consumer retail sales for energy drinks are strong and accelerating in most geographies.
  • April 2025 sales were robust.
  • Gross profit margins improved due to pricing actions and supply chain optimization.
  • Distribution expenses as a percentage of net sales decreased.
  • Solid percentage increases in operating income and diluted earnings per share were achieved.

Challenges Ahead

  • First quarter revenues were impacted by bottler/distributor ordering patterns.
  • Unfavorable foreign currency exchange rates in certain markets had a negative impact.
  • Adverse weather in certain geographies affected sales.
  • Overall global economic uncertainties contributed to headwinds.
  • The Alcohol Brands segment continued to put negative pressure on financial results.

Revenue & Expenses

Visualization of income flow from segment revenue to net income