Monster Beverage shares tumble after disappointing Q2 earnings

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Monster Beverage shares tumble after disappointing Q2 earnings

The energy drink maker posted adjusted earnings per share of $0.41, missing the consensus estimate of $0.45. Revenue for the quarter came in at $1.90 billion, below analysts' projections of $2.02 billion but up 2.5% YoY.

"The energy drink category in the United States and in certain other countries experienced lower growth rates in the second quarter," said Hilton H. Schlosberg, Vice Chairman and Co-Chief Executive Officer. Despite the challenges, gross profit margins improved to 53.6% compared to 52.5% in the same quarter last year, driven by decreased freight costs and pricing actions in certain markets.

Monster Beverage's international sales grew 4.3% to $746.0 million, representing 39% of total net sales. On a foreign currency adjusted basis, international sales increased 13.7%.Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors.

 

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