Sector: Consumer Staples|Industry: Beverages - Non-Alcoholic|Market Cap: $50.12B|Employees: 6K
Monster Beverage Corporation primarily develops and markets energy drink beverages and concentrates, with a diverse portfolio of brands. The company also produces and distributes craft beers, hard seltzers, and flavored malt beverages. Monster leverages its brand recognition and distribution network to maintain a strong market position, with a global presence.
Net sales increased by 1.3% year-over-year to $1.88 billion, but were negatively impacted by foreign currency exchange rates, particularly in Argentina. On a currency-adjusted basis, net sales increased by 4.7% (3.3% excluding Argentina).
Gross profit margin increased to 53.2% from 53.0% year-over-year, but was negatively impacted by inventory reserves in the Alcohol Brands segment. Excluding the impact of these reserves, the gross profit margin would have been 53.7%.
Operating income decreased by 6.0% year-over-year to $479.9 million, primarily due to increased payroll, selling, marketing, and intellectual property claim expenses. Operating expenses increased by 9.9% year-over-year.