NASDAQ$MNST

Monster Beverage Corp · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Monster Beverage's Q3 2024 financial results were reported, with net sales increasing slightly, but net income decreasing due to specific expenses.

Monster Beverage reported a 1.3% increase in net sales to $1.88 billion for Q3 2024. However, net income decreased by 18.1% to $370.9 million, and net income per diluted share decreased to $0.38, compared to $0.43 in Q3 2023. The results were impacted by unfavorable foreign currency exchange rates and certain expenses.

  • Net sales increased by 1.3% to $1.88 billion.
  • Net income decreased by 18.1% to $370.9 million.
  • Net sales, excluding the Alcohol Brands segment, adjusted for adverse changes in foreign currency, increased by 5.0%.
  • Adjusted net income per diluted share was $0.40, compared to $0.41 in the same quarter last year.

Headline financials

Total Revenue

$1.88B

Previous: $1.86B+1.3%
EPS

$0.38

Previous: $0.43-11.6%
Gross Margin

53.2%

No prior period
Operating Expenses

$520M

No prior period
OpEx % of Sales

27.6%

No prior period
Operating Margin

25.5%

No prior period
Effective Tax Rate

21.8%

No prior period
Net Margin

19.7%

No prior period
Energy Drink Case Sales

219.4M

No prior period
Distribution Expenses

$82.7M

No prior period
Distribution % of Sales

4.4%

No prior period
Selling Expenses

$196M

No prior period
Selling % of Sales

10.4%

No prior period
G&A Expenses

$241M

No prior period
G&A % of Sales

12.8%

No prior period
Stock-Based Compensation

$27.5M

No prior period
Capital Expenditures

-$173M

Previous: -$110M-56.8%
Free Cash Flow

$1.07B

Previous: $1.15B-7.6%
Net Income

$1.24B

Previous: $1.26B-2.0%
Operating Income

$480M

Previous: $511M-6.0%
Gross Profit

$1B

Previous: $984M+1.6%
Cash & Equivalents

$1.63B

Previous: $1.77B-8.4%
Total Assets

$8.05B

Previous: $9.31B-13.5%

Revenue & EPS history

Monster Beverage · Revenue · Quarterly

$1.88B

Q3 2024+1.3%vs Q3 2023
Beat estimate in 5 of 15 quarters(33%)
ActualEstimate

Revenue by segment

Monster Beverage · $1.86B total across 4 segments · Q3 2023

  • Monster Energy Drinks
    $1.71B+14.0%
  • Strategic Brands
    $98.8M+11.3%
  • Alcohol Brands
    $42.3M+57.8%
  • Other
    $6.7M+4.7%

Forward guidance

Monster Beverage acknowledges the continued growth in the energy drink category and discusses innovation and strategic initiatives.

Tailwinds

  • Energy drink category continues to grow globally.
  • Growth opportunities exist in household penetration and per capita consumption.
  • Consumers' growing need for energy are positive trends for the category.
  • Innovation continues to play a key role in the company's strategy.
  • Plans are underway to accelerate the rollout of Predator Energy® Gold Strike into further markets in China.

Headwinds

  • Energy drink category in the United States continued to experience slower growth rates.
  • A number of other consumer packaged goods companies have also seen a tighter consumer spending environment for certain income groups and weaker demand in the quarter.
  • Third quarter financial results were impacted by unfavorable foreign currency exchange rates in certain markets.
  • Hurricanes Helene and Milton impacted sales at retail in certain states in September and October 2024.
  • Approximately 5.0 percent price increase on brands and packages, excluding Bang Energy®, Reign® and Reign Storm® in the United States, effective November 1, 2024

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+1.2%

Avg return

Earnings day

+1.5%

Avg return

5 days after

+2.1%

Avg return

30 days after

58%

40 / 69 earnings

Positive

+15.7%

Q1 2016

Best reaction

-19.9%

Q2 2012

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.6%+9.6%+16.1%
Q4 2025+1.5%-9.3%-17.1%
Q3 2025+5.1%+6.3%+11.2%
Q2 2025+0.0%-0.8%-2.6%
Q1 2025+1.5%+1.4%+5.4%
Q4 2024+5.3%+6.6%+11.4%
Q3 2024-0.6%+2.9%-4.0%
Q2 2024-11.4%-9.7%-4.2%
Q1 2024+2.7%+2.1%-3.0%
Q4 2023+5.3%+4.3%+5.6%
Q3 2023+7.6%+8.4%+6.9%
Q2 2023-4.4%-0.4%-1.9%
Q1 2023+2.3%+0.6%+1.9%
Q4 2022-3.0%-0.3%+2.6%
Q3 2022+6.8%+6.7%+13.4%
Q2 2022-4.9%-7.5%-8.0%
Q1 2022+0.0%-2.9%+2.5%
Q4 2021+6.5%+4.8%-0.9%
Q3 2021+4.9%+5.1%-4.1%
Q2 2021+5.4%+7.4%+6.1%
Q1 2021-3.4%-3.1%+1.0%
Q4 2020-0.6%-1.5%+3.9%
Q3 2020+0.7%-1.4%+5.7%
Q2 2020+6.8%+6.9%+6.2%
Q1 2020+7.3%+8.0%+17.8%
Q4 2019-5.3%-3.2%-14.4%
Q3 2019+3.9%+4.3%+7.2%
Q2 2019+3.3%-6.1%-5.0%
Q1 2019+8.9%+6.3%+6.8%
Q4 2018+8.7%+10.7%-7.1%
Q3 2018-1.2%-0.1%+4.8%
Q2 2018+2.0%+1.1%+0.9%
Q1 2018-7.9%-7.6%-0.9%
Q4 2017-15.5%-13.1%-10.8%
Q3 2017+1.3%+7.4%+9.2%
Q2 2017-1.6%+1.8%+6.6%
Q1 2017+5.6%+6.8%+14.1%
Q4 2016+14.3%+13.4%+11.4%
Q3 2016-6.3%-5.7%-7.6%
Q2 2016+3.0%+0.9%-2.5%
Q1 2016+15.7%
Q4 2015-1.2%
Q3 2015+13.1%
Q2 2015-3.2%
Q1 2015-8.5%
Q4 2014+14.0%
Q3 2014+9.3%
Q2 2014+5.2%
Q1 2014+2.9%
Q4 2013+4.2%
Q3 2013-4.7%
Q2 2013+2.0%
Q1 2013-5.6%
Q4 2012-1.3%
Q3 2012+1.8%
Q2 2012-19.9%
Q1 2012+9.6%
Q4 2011+0.7%
Q3 2011-4.7%
Q2 2011+11.0%
Q1 2010-0.7%
Q1 2011+1.2%
Q4 2008-3.7%
Q4 2010-3.7%
Q3 2010-2.8%
Q3 2009-2.8%
Q2 2010+1.6%
Q2 2009+1.6%
Q4 2009+1.6%

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