| MNST 怪物饮料 | | | | --- | --- | --- | | 30 800 + +1.300 +2.18% | | 收盘价 08/07 16:00 美东 | | 65,500 + 4.700 +7.73% | | 盘前价 08/08 05:11 美东 | | 三 7 24 15 8 8 日 9 白 9 白 一 白选 | | ● 快捷交易 | | 最高价 60.970 | 开盘价 59.960 | 成交量 903.05万 | | 最低价 59.800 | 昨收价 59.500 | 成交额 5.48亿 | | 平均价 60.633 | 市盈率TM 40.00 | 总市值 592.95亿(-) | | 振 幅 1.97% | 市盈率(静) 40.81 | 总股本 9.75亿 | | 换手率 1.30% | 市净率 9.094 | 流通值 421.36亿 | | 52周最高 64.450 | 李 七 33.33% | 流通股 6.93亿 | | 52周最低 45.700 | 量 比 0.89 | 每 手 1股 | | 历史最高 64.450 | 股息TIM -- | | | 历史最低 0.010 | ...

[Part I. FINANCIAL INFORMATION](index=4&type=section&id=Part%20I.%20FINANCIAL%20INFORMATION) [Item 1. Condensed Consolidated Financial Statements (Unaudited)](index=4&type=section&id=Item%201.%20Condensed%20Consolidated%20Financial%20Statements%20(Unaudited)) The unaudited statements reveal significant growth in revenue and net income, an increase in total assets, and the full repayment of long-term debt [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets grew to $8.73 billion, stockholders' equity rose to $7.19 billion, and long-term debt was eliminated by June 30, 2025 Balance Sheet Items (In Thousands) | Balance Sheet Items (In Thousands) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **$8,729,888** | **$7,719,089** | | Cash and cash equivalents | $1,926,927 | $1,533,287 | | Total current assets | $4,429,340 | $3,641,504 | | **Total Liabilities** | **$1,538,584** | **$1,761,371** | | Total current liabilities | $1,258,618 | $1,097,519 | | Long-term debt | $— | $373,951 | | **Total Stockholders' Equity** | **$7,191,304** | **$5,957,718** | [Condensed Consolidated Statements of Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) Net sales and net income increased for both the second quarter and first half of 2025, driving higher diluted earnings per share Income Statement (Q2) | Income Statement (In Thousands, Except EPS) | Q2 2025 | Q2 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Net Sales | $2,111,593 | $1,900,597 | +11.1% | | Gross Profit | $1,176,413 | $1,019,506 | +15.4% | | Operating Income | $631,622 | $527,163 | +19.8% | | Net Income | $488,794 | $425,369 | +14.9% | | Diluted EPS | $0.50 | $0.41 | +22.0% | Income Statement (H1) | Income Statement (In Thousands, Except EPS) | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Net Sales | $3,966,150 | $3,799,695 | +4.4% | | Gross Profit | $2,224,375 | $2,046,634 | +8.7% | | Operating Income | $1,201,367 | $1,069,154 | +12.4% | | Net Income | $931,787 | $867,418 | +7.4% | | Diluted EPS | $0.95 | $0.83 | +14.5% | [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations increased, while significant changes in investing and financing activities resulted in a net cash increase for H1 2025 Cash Flow Summary | Cash Flow Summary (In Thousands) | Six-Months Ended June 30, 2025 | Six-Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $973,616 | $848,433 | | Net cash (used in) provided by investing activities | $(357,729) | $903,304 | | Net cash used in financing activities | $(308,972) | $(2,440,475) | | **Net Increase (Decrease) in Cash** | **$393,640** | **$(732,941)** | - Financing activities in H1 2025 included a **$375.0 million repayment of credit facilities**, contrasting with H1 2024 which saw **$750.0 million in borrowings** and over **$3.2 billion in treasury stock purchases**[17](index=17&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail accounting policies, segment performance, the full repayment of a term loan, and a new share repurchase program - The company operates four reportable segments: **Monster Energy® Drinks, Strategic Brands, Alcohol Brands, and Other**[28](index=28&type=chunk)[90](index=90&type=chunk) - The outstanding balance of **$200.0 million on long-term debt was repaid in April 2025**, and the company's **$750.0 million Term Loan was fully repaid**[57](index=57&type=chunk) - The Board of Directors authorized a **$500.0 million share repurchase program** in August 2024, with the full amount remaining available as of August 6, 2025[64](index=64&type=chunk)[65](index=65&type=chunk) Net Sales by Segment (Q2 2025) | Net Sales by Segment (Q2 2025, In Thousands) | Amount | % of Total | | :--- | :--- | :--- | | Monster Energy® Drinks | $1,937,321 | 91.7% | | Strategic Brands | $129,893 | 6.2% | | Alcohol Brands | $37,971 | 1.8% | | Other | $6,408 | 0.3% | | **Total Net Sales** | **$2,111,593** | **100.0%** | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=39&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses strong Q2 2025 sales growth driven by volume and pricing, improved margins, and a robust liquidity position - Price increases implemented in late 2024 and into 2025 **positively impacted gross profit margins**[127](index=127&type=chunk) - Net sales to customers outside the United States **grew 15.8% to $864.2 million** in Q2 2025, representing **41% of total net sales**[135](index=135&type=chunk)[114](index=114&type=chunk) - Key customers include **Coca-Cola Europacific Partners (15% of Q2 net sales)**, **Coca-Cola Consolidated, Inc. (11%)**, and **Reyes Holdings, LLC (9%)**[141](index=141&type=chunk)[142](index=142&type=chunk)[143](index=143&type=chunk) [Results of Operations](index=42&type=section&id=Results%20of%20Operations) Q2 2025 featured double-digit growth in net sales and operating income, with a 210 basis point expansion in gross margin Key Metrics Comparison (Q2) | Key Metrics Comparison | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net Sales | $2,111.6M | $1,900.6M | | Gross Profit % | 55.7% | 53.6% | | Operating Income | $631.6M | $527.2M | | Net Income | $488.8M | $425.4M | - The increase in gross profit as a percentage of net sales for Q2 2025 was primarily due to **pricing actions, supply chain optimization, and lower input costs**[157](index=157&type=chunk) - Operating expenses **increased 10.7%** in Q2 2025, mainly due to higher payroll expenses, including **$14.4 million in stock-based compensation**[158](index=158&type=chunk)[160](index=160&type=chunk) [Key Business Metrics](index=51&type=section&id=Key%20Business%20Metrics) Gross billings grew 12.7% in Q2 2025, driven by a 17.5% increase in energy drink case sales Gross Billings Reconciliation (Q2) | Gross Billings Reconciliation (Q2, In Thousands) | 2025 | 2024 | % Change | | :--- | :--- | :--- | :--- | | Gross Billings | $2,500,676 | $2,218,152 | +12.7% | | Less: Promotional allowances, etc. | (399,064) | (327,533) | +21.8% | | Net Sales | $2,111,593 | $1,900,597 | +11.1% | - Energy drink case sales (192-ounce equivalents) **grew 17.5% YoY** in Q2 2025, reaching **249.3 million cases**[154](index=154&type=chunk) - The average net sales per case for energy drinks **decreased by 5.0% to $8.29** in Q2 2025, primarily due to geographical and product sales mix[154](index=154&type=chunk)[212](index=212&type=chunk) [Liquidity and Capital Resources](index=56&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains strong liquidity with $1.93 billion in cash, no long-term debt, and sufficient resources for future needs - As of June 30, 2025, the company had **$1.93 billion in cash and cash equivalents**[215](index=215&type=chunk) - The Term Loan was **fully repaid in April 2025**, and as of June 30, 2025, no borrowings were outstanding under the Credit Facilities[216](index=216&type=chunk) Contractual Commitments | Contractual Commitments (as of June 30, 2025, In Thousands) | Total | Less than 1 year | | :--- | :--- | :--- | | Contractual Obligations | $491,290 | $273,273 | | Leases (Finance & Operating) | $65,483 | $19,809 | | Purchase Commitments | $275,394 | $239,821 | | **Total** | **$832,167** | **$532,903** | [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=68&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company reported no material changes in its market risks during the quarter compared to its most recent Annual Report - There have been **no material changes in market risks** during the quarter ended June 30, 2025, compared with the disclosures in the most recent Form 10-K[239](index=239&type=chunk) [Item 4. Controls and Procedures](index=68&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes to internal controls during the quarter - The CEO and CFO concluded that the company's **disclosure controls and procedures are adequate and effective**[240](index=240&type=chunk) - **No changes occurred** in the company's internal controls over financial reporting during the quarter that have materially affected, or are reasonably likely to materially affect, internal controls[241](index=241&type=chunk) [Part II. OTHER INFORMATION](index=70&type=section&id=Part%20II.%20OTHER%20INFORMATION) [Item 1. Legal Proceedings](index=70&type=section&id=Item%201.%20Legal%20Proceedings) The company accrued $30.6 million for loss contingencies related to legal proceedings as of June 30, 2025 - Details on legal proceedings are provided in **Note 10 of the financial statements**[243](index=243&type=chunk)[61](index=61&type=chunk) - As of June 30, 2025, accrued loss contingencies totaled **$30.6 million**, an increase from **$16.8 million** at year-end 2024[62](index=62&type=chunk) [Item 1A. Risk Factors](index=70&type=section&id=Item%201A.%20Risk%20Factors) The company directs investors to the risk factors discussed in its Annual Report on Form 10-K for the fiscal year ended December 31, 2024 - The company refers to the risk factors detailed in its **Annual Report on Form 10-K**, indicating no material updates in this quarterly filing[244](index=244&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=70&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No shares were repurchased during the quarter, with $500.0 million remaining available under the current repurchase plan - **No shares were repurchased** during the three months ended June 30, 2025[245](index=245&type=chunk)[247](index=247&type=chunk) - As of August 6, 2025, **$500.0 million remained available for repurchase** under all authorized plans[246](index=246&type=chunk) [Item 5. Other Information](index=72&type=section&id=Item%205.%20Other%20Information) No directors or officers adopted, modified, or terminated a Rule 10b5-1 trading arrangement during the second quarter of 2025 - No directors or officers adopted, modified, or terminated a **Rule 10b5-1 or non-Rule 10b5-1 trading arrangement** during the quarter[250](index=250&type=chunk) [Item 6. Exhibits](index=72&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including CEO and CFO certifications and iXBRL financial data - Exhibits filed include **certifications from the CEO and CFO** pursuant to the Sarbanes-Oxley Act of 2002[253](index=253&type=chunk)

Core Insights - Monster Beverage reported quarterly earnings of $0.52 per share, exceeding the Zacks Consensus Estimate of $0.48 per share, and up from $0.41 per share a year ago, representing an earnings surprise of +8.33% [1] - The company achieved revenues of $2.11 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 1.35% and increasing from $1.9 billion year-over-year [2] - Monster Beverage shares have increased approximately 13.2% year-to-date, outperforming the S&P 500's gain of 7.9% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.46, with expected revenues of $2.04 billion, and for the current fiscal year, the EPS estimate is $1.85 on revenues of $7.94 billion [7] - The estimate revisions trend for Monster Beverage was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Beverages - Soft drinks industry, to which Monster Beverage belongs, is currently ranked in the top 38% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8]

Financial Data and Key Metrics Changes - The company reported record net sales of $2,110,000,000 for the second quarter, marking an 11.1% increase compared to the same period in 2024 [5][12] - Gross profit as a percentage of net sales increased to 55.7% from 53.6% year-over-year, driven by pricing actions and lower input costs [15] - Net income for the second quarter rose 14.9% to $488,800,000, with earnings per diluted share increasing 21.1% to $0.50 [18][19] Business Line Data and Key Metrics Changes - Net sales for the Monster Energy Drinks segment increased 11.2% to $1,940,000,000, while the Strategic Brands segment saw an 18.9% increase to $129,900,000 [13][14] - The Alcohol Brands segment experienced an 8.6% decline in net sales to $38,000,000 [15][32] Market Data and Key Metrics Changes - In the U.S., the energy drink category grew by 13.2%, with Monster Energy Ultra family being a significant contributor [7][20] - EMEA region net sales increased by 26.8% in dollars and 23.7% on a currency-neutral basis [24] - Asia Pacific net sales rose 11.6% in dollars and on a currency-neutral basis [26] Company Strategy and Development Direction - The company is focused on innovation and expanding its product offerings, including the introduction of new flavors and strategic brand launches [9][22] - The company plans to implement selective price adjustments in the U.S. market, aiming to optimize trade spend [22] - The company is leveraging its relationship with Coca-Cola bottlers to enhance distribution and market presence [68] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the energy drink category's growth, citing increased household penetration and consumer demand for functional beverages [36][56] - The company anticipates modest tariff pressures but believes that planned price increases will help mitigate these impacts [42][43] Other Important Information - The company has a robust innovation pipeline and is excited about upcoming product launches, including new flavors and collaborations [9][55] - The company reported no share repurchases during the quarter, with approximately $500,000,000 remaining available for repurchase under the authorized program [33] Q&A Session Summary Question: Can you discuss the sustainability of gross margin performance and the impact of tariffs? - Management indicated that pricing increases will depend on packaging and channel, with modest tariff pressures expected in Q3 [41][42] Question: What is the status of supply chain optimization efforts? - The company has achieved a good balance between its own production and co-packing, aiming for the lowest delivered price to customers [46][47] Question: Is there any pull forward in sales ahead of pricing discussions? - Management noted that all regions are experiencing growth, driven by competitive pricing and consumer demand for functionality [54][55] Question: Can you elaborate on the visual identity changes for the Ultra line? - The company is establishing a separate identity for the Ultra line with new coolers and promotional strategies to enhance visibility [64][65]

Financial Data and Key Metrics Changes - The company reported record net sales of $2,110,000,000 for the second quarter of 2025, marking an 11.1% increase compared to $1,900,000,000 in the same quarter of 2024 [5][11] - Gross profit as a percentage of net sales increased to 55.7% from 53.6% year-over-year, driven by pricing actions and supply chain optimization [13] - Net income rose by 14.9% to $488,800,000 from $425,400,000 in the previous year [16] - Earnings per diluted share increased by 21.1% to $0.50 from $0.41 in the prior year [17] Business Line Data and Key Metrics Changes - Net sales for the Monster Energy Drinks segment increased by 11.2% to $1,940,000,000 [12] - The Strategic Brands segment saw a significant increase of 18.9% to $129,900,000 [12] - The Alcohol Brands segment experienced a decline of 8.6% to $38,000,000 [13] Market Data and Key Metrics Changes - In the U.S., the energy drink category grew by 13.2% year-over-year, with Monster Energy Ultra family being a key driver [6][18] - EMEA markets reported a growth of approximately 15.4% in the energy drink category [7] - APAC markets saw a growth of 20.9% in the energy drink category [7] - Net sales outside the U.S. accounted for approximately 41% of total net sales, up from 39% in the previous year [22] Company Strategy and Development Direction - The company is focused on innovation and expanding its product offerings, including the introduction of new flavors and products [8][20] - Strategic partnerships, such as with the Coca-Cola bottling system, are emphasized for growth [65] - The company plans to implement selective price adjustments and reduce promotional allowances in the U.S. [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the energy drink category's growth potential, citing increasing household penetration and consumer demand for energy [34][35] - The company remains optimistic about its innovation pipeline and market positioning despite potential tariff pressures [41][54] - Management noted that the energy drink category is becoming more competitive with traditional soft drinks, which is favorable for future growth [48] Other Important Information - The company is planning to launch several new products in the fall, including full sugar flavors and new strategic brands [20][25] - The impact of tariffs on operating results is currently deemed immaterial, but management is monitoring the situation closely [10][11] Q&A Session Summary Question: Sustainability of gross margin performance and pricing adjustments - Management indicated that pricing adjustments will depend on packaging and channel, with modest tariff pressures expected [40][41] Question: Supply chain optimization and category strength - Management highlighted a balanced co-packing model and noted strong sales trends across all regions, driven by innovation and competitive pricing [46][48] Question: Drivers of lower price per case - Management attributed the lower price per case to geographic and product mix, with a significant portion of sales coming from international markets and affordable brands [57][59] Question: Visual identity changes for the Ultra line - Management explained that the new visual identity aims to enhance merchandising and visibility for the Ultra line, which has been performing well [61][62]

[Financial Performance Highlights](index=1&type=section&id=Financial%20Performance%20Highlights) [Q2 2025 Key Financial Results](index=1&type=section&id=Q2%202025%20Key%20Financial%20Results) Monster Beverage reported record quarterly net sales for Q2 2025, surpassing the $2.0 billion threshold for the first time, with net sales increasing by 11.1% to $2.11 billion and net income per diluted share rising by 21.1% to $0.50 - The company achieved **record quarterly net sales**, exceeding the **$2.0 billion threshold** for the first time in its history[6](index=6&type=chunk)[19](index=19&type=chunk) Q2 2025 Financial Highlights (YoY Growth) | Metric | Value | Growth (GAAP) | Growth (Non-GAAP Adjusted) | | :--- | :--- | :--- | :--- | | **Net Sales** | $2.11 billion | 11.1% | 11.4% (FX Adjusted) | | **Operating Income** | $631.6 million | 19.8% | 21.5% | | **Net Income per Diluted Share** | $0.50 | 21.1% | 23.0% | [H1 2025 Key Financial Results](index=3&type=section&id=H1%202025%20Key%20Financial%20Results) For the first six months of 2025, net sales increased by 4.4% to $3.97 billion, with net income growing 7.4% to $931.8 million, resulting in a diluted EPS of $0.95 Six-Months Ended June 30, 2025 Financial Summary | Metric | 2025 | 2024 | YoY Change | | :--- | :--- | :--- | :--- | | **Net Sales** | $3.97 billion | $3.80 billion | +4.4% | | **Operating Income** | $1.20 billion | $1.07 billion | +12.1% | | **Net Income** | $931.8 million | $867.4 million | +7.4% | | **Diluted EPS** | $0.95 | $0.83 | +14.5% | - Net sales on a foreign currency adjusted basis increased by **6.0%** for the six-month period[21](index=21&type=chunk) [Detailed Financial Analysis](index=1&type=section&id=Detailed%20Financial%20Analysis) [Sales Performance by Segment and Geography](index=1&type=section&id=Sales%20Performance%20by%20Segment%20and%20Geography) Sales growth in Q2 2025 was driven by the Monster Energy® Drinks segment (+11.2%) and the Strategic Brands segment (+18.9%), while international sales were a key growth driver, increasing 15.8% and accounting for 41% of total net sales Q2 2025 Net Sales by Segment (in millions) | Segment | Q2 2025 Net Sales | Q2 2024 Net Sales | YoY Growth | | :--- | :--- | :--- | :--- | | **Monster Energy® Drinks** | $1,940 | $1,740 | +11.2% | | **Strategic Brands** | $129.9 | $109.2 | +18.9% | | **Alcohol Brands** | $38.0 | $41.6 | -8.6% | | **Other** | $6.4 | $7.0 | -8.5% | - Net sales to customers outside the United States increased by **15.8%** to **$864.2 million**, representing **41%** of total net sales in Q2 2025, up from **39%** in Q2 2024[10](index=10&type=chunk) [Profitability and Expense Analysis](index=2&type=section&id=Profitability%20and%20Expense%20Analysis) Gross profit margin for Q2 2025 improved to 55.7% from 53.6% YoY, attributed to pricing actions, supply chain optimization, and lower input costs, while operating expenses as a percentage of sales remained stable at 25.8% - Gross profit as a percentage of net sales increased to **55.7%** from **53.6%** in Q2 2024, primarily due to pricing actions, supply chain optimization, and lower input costs[11](index=11&type=chunk) Q2 Operating Expenses as a Percentage of Net Sales | Expense Category | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **Distribution** | 3.9% | 4.6% | | **Selling** | 9.3% | 10.1% | | **General & Administrative** | 12.6% | 11.2% | | **Total Operating Expenses** | 25.8% | 25.9% | - General and administrative expenses included **$13.8 million** of litigation provisions and a **$14.4 million** increase in stock-based compensation compared to the prior year[13](index=13&type=chunk) - Operating income for Q2 2025 increased **19.8%** to **$631.6 million**, with the effective tax rate rising to **24.4%** from **22.9%** in the prior-year quarter[16](index=16&type=chunk)[17](index=17&type=chunk) [Corporate Developments](index=4&type=section&id=Corporate%20Developments) [Share Repurchase Program](index=4&type=section&id=Share%20Repurchase%20Program) The company did not repurchase any of its common stock during the second quarter of 2025, with approximately $500.0 million remaining available for repurchase under the existing authorization as of August 6, 2025 - **No shares** of the Company's common stock were repurchased during the 2025 second quarter[25](index=25&type=chunk) - As of August 6, 2025, approximately **$500.0 million** remained available for repurchase under the authorized program[25](index=25&type=chunk) [Management Commentary](index=3&type=section&id=Management%20Commentary) [CEO Remarks](index=3&type=section&id=CEO%20Remarks) CEO Hilton H. Schlosberg highlighted the record Q2 net sales, attributing the performance to brand strength, product innovations, and global team efforts, while noting positive category trends supporting long-term growth - The CEO emphasized that **record net sales** underscore the strength of the company's brands and the success of product innovations[19](index=19&type=chunk) - Management identified **increased household penetration** and **per capita consumption** of energy drinks as positive trends for the category[20](index=20&type=chunk) - A **robust pipeline of innovative products** is considered central to the company's long-term growth strategy[20](index=20&type=chunk) [Financial Statements](index=6&type=section&id=Financial%20Statements) [Condensed Consolidated Statements of Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) The income statement details the company's financial performance for Q2 2025, with net sales growing 11.1% to $2.11 billion and net income increasing 14.9% to $488.8 million, and for the six-month period, net sales rose 4.4% to $3.97 billion with net income up 7.4% to $931.8 million Q2 2025 Income Statement Highlights (in thousands) | Line Item | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **Net sales** | $2,111,593 | $1,900,597 | | **Gross profit** | $1,176,413 | $1,019,506 | | **Operating income** | $631,622 | $527,163 | | **Net income** | $488,794 | $425,369 | | **Diluted EPS** | $0.50 | $0.41 | H1 2025 Income Statement Highlights (in thousands) | Line Item | H1 2025 | H1 2024 | | :--- | :--- | :--- | | **Net sales** | $3,966,150 | $3,799,695 | | **Gross profit** | $2,224,375 | $2,046,634 | | **Operating income** | $1,201,367 | $1,069,154 | | **Net income** | $931,787 | $867,418 | | **Diluted EPS** | $0.95 | $0.83 | [Condensed Consolidated Balance Sheets](index=7&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet as of June 30, 2025, shows total assets of $8.73 billion, an increase from $7.72 billion at the end of 2024, with key changes including a rise in cash and cash equivalents to $1.93 billion and the elimination of long-term debt Key Balance Sheet Items (in thousands) | Account | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | **Cash and cash equivalents** | $1,926,927 | $1,533,287 | | **Total current assets** | $4,429,340 | $3,641,504 | | **Total Assets** | $8,729,888 | $7,719,089 | | **Total current liabilities** | $1,258,618 | $1,097,519 | | **Long-term debt** | $0 | $373,951 | | **Total stockholders' equity** | $7,191,304 | $5,957,718 | [Non-GAAP Financial Measures Reconciliation](index=8&type=section&id=Non-GAAP%20Financial%20Measures%20Reconciliation) [Reconciliation of Adjusted Performance Metrics](index=8&type=section&id=Reconciliation%20of%20Adjusted%20Performance%20Metrics) The company provides non-GAAP metrics to offer investors a clearer view of ongoing operations by adjusting for factors like foreign currency impact, the Alcohol Brands segment, litigation provisions, and certain stock-based compensation Q2 2025 Net Sales Reconciliation (in thousands) | Description | Amount | YoY Growth | | :--- | :--- | :--- | | **Net Sales (GAAP)** | $2,111,593 | 11.1% | | Currency Impact | $5,027 | N/A | | **Adjusted Net Sales (FX Neutral)** | $2,116,620 | 11.4% | Q2 2025 Operating Income Reconciliation (in thousands) | Description | Amount | | :--- | :--- | | **Operating Income (GAAP)** | $631,622 | | Alcohol Brands Segment Adj. | $14,632 | | Litigation Provisions | $13,818 | | Stock-Based Compensation Adj. | $7,869 | | **Adjusted Operating Income** | $667,941 | Q2 2025 Diluted EPS Reconciliation | Description | Amount | YoY Growth | | :--- | :--- | :--- | | **Diluted EPS (GAAP)** | $0.50 | 21.1% | | Alcohol Brands Segment Adj. | $0.01 | N/A | | Litigation Provisions Adj. | $0.01 | N/A | | **Adjusted Diluted EPS** | $0.52 | 23.0% |

Core Viewpoint - Monster Beverage Corporation reported record net sales for the second quarter of 2025, exceeding $2.0 billion for the first time, driven by strong performance across its energy drink segments and product innovations [10][16]. Financial Performance - Net sales for the second quarter of 2025 increased by 11.1% to $2.11 billion, compared to $1.90 billion in the same period last year [2][10]. - On a foreign currency adjusted basis, net sales increased by 11.4% in the second quarter of 2025 [2][10]. - For the six months ended June 30, 2025, net sales rose by 4.4% to $3.97 billion from $3.80 billion in the comparable period last year [18]. Segment Performance - The Monster Energy® Drinks segment saw net sales increase by 11.2% to $1.94 billion in the second quarter of 2025, up from $1.74 billion in the previous year [4][10]. - The Strategic Brands segment, which includes energy drink brands acquired from The Coca-Cola Company, reported an 18.9% increase in net sales to $129.9 million for the second quarter of 2025 [5][10]. - The Alcohol Brands segment experienced a decline of 8.6% in net sales, totaling $38.0 million for the second quarter of 2025 [6][10]. Profitability Metrics - Gross profit as a percentage of net sales increased to 55.7% in the second quarter of 2025, up from 53.6% in the same quarter of 2024 [9][10]. - Operating income for the second quarter of 2025 rose by 19.8% to $631.6 million, compared to $527.2 million in the second quarter of 2024 [14][10]. - Net income for the second quarter of 2025 increased by 14.9% to $488.8 million, up from $425.4 million in the same quarter of 2024 [15][10]. International Sales - Net sales to customers outside the United States increased by 15.8% to $864.2 million in the second quarter of 2025, compared to $746.0 million in the second quarter of 2024 [8][10]. Cost Management - Distribution expenses for the second quarter of 2025 were $82.0 million, or 3.9% of net sales, down from 4.6% in the same quarter of 2024 [11][10]. - Selling expenses decreased to 9.3% of net sales in the second quarter of 2025, compared to 10.1% in the same quarter of 2024 [11][10]. Shareholder Returns - As of August 6, 2025, approximately $500.0 million remained available for repurchase under the company's previously authorized share repurchase program [22].

Financial Data and Key Metrics Changes - The company reported revenue of €10.3 billion for H1 2025, an increase of 2.5% compared to the previous year [24] - Comparable volumes were marginally ahead, up 0.3%, despite challenges in Indonesia [24] - Operating profit increased by 7.2% to €1.4 billion, with an operating margin expansion of approximately 60 basis points to 13.5% [26] - Comparable diluted earnings per share rose by 3.1% on an FX neutral basis [26] - Comparable free cash flow generation was €425 million for H1, with a target of at least €1.7 billion for the full year [27] Business Line Data and Key Metrics Changes - The core NARTD category grew by more than 5% in the last twelve months, with significant contributions from Monster and other brands [8] - Monster volumes increased nearly 15%, driven by innovation and distribution gains [17] - Fanta Zero volumes grew by around 7%, and Sprite Zero by approximately 13% [18] - The away-from-home business saw a return to volume growth in Q2, supported by better weather and Easter timing [11] Market Data and Key Metrics Changes - The European market returned to volume growth in Q2, contributing positively to overall performance [24] - The Philippines market performed well despite strong comparables from the previous year, with a 10 basis point increase in overall value share [12] - Indonesia faced a weaker consumer backdrop, impacting group volumes by around 1% in Q2 [9] Company Strategy and Development Direction - The company is focused on driving profitable revenue growth while maintaining affordability and relevance for consumers [13] - A multiyear view on promotional and pricing strategies is emphasized to create sustainable value [12] - The company is investing heavily in technology and digital capabilities to enhance productivity and efficiency [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the midterm growth objectives, reaffirming full-year profit and cash guidance [40] - The company anticipates volume growth for the full year, particularly in Europe and APS, despite challenges in Indonesia [30] - Management acknowledged the competitive landscape but remains focused on sustainable value creation [70] Other Important Information - The company completed around €460 million in share buybacks and maintained a dividend payout policy of around 50% [7] - The launch of new campaigns, such as "This Is My Taste" for Diet Coke, is expected to drive consumer engagement [32] - The company is transitioning to a partner distributor model in Indonesia to enhance distribution efficiency [37] Q&A Session Summary Question: Guidance on top line and bottom line growth - Management noted that despite a slight change in revenue guidance, they expect acceleration in the second half driven by volume growth and pricing strategies [44][46] Question: Performance in Europe and away-from-home growth - Management highlighted strong performance in Europe, particularly due to favorable weather and increased consumer engagement in away-from-home settings [52][54] Question: Medium-term growth outlook considering Indonesia - Management indicated that while Indonesia presents challenges, it is a small part of the overall business, and they remain optimistic about long-term opportunities [90] Question: Update on COGS and hedging for 2026 - The company is well-hedged for 2025 and has around 60% hedging in place for 2026, with expectations of flat commodity prices [94] Question: Australian margin turnaround - Management expressed confidence in the Australian business's margin recovery, emphasizing ongoing structural changes and efficiency improvements [99]

Financial Data and Key Metrics Changes - The company reported revenue of €10.3 billion for H1 2025, an increase of 2.5% compared to the previous year [23] - Comparable volumes were marginally ahead, up 0.3%, despite challenges in Indonesia [23] - Operating profit increased by 7.2% to €1.4 billion, with an operating margin expansion of 60 basis points to 13.5% [25] - Comparable diluted earnings per share rose by 3.1% to €2, reflecting a higher effective tax rate of 26% [25] Business Line Data and Key Metrics Changes - The core NARTD category grew by more than 5% in the last twelve months, with significant contributions from Monster and other brands [7] - Operating profit growth of 7.2% was driven by strong top-line performance and efficiency programs [13] - The energy category, particularly Monster, saw volumes increase nearly 15%, with retail value share growing by around 140 basis points [16] Market Data and Key Metrics Changes - European markets returned to volume growth in Q2, supported by favorable weather and the Easter holiday [11] - The Philippines market performed well despite strong comparables from the previous year, with overall value share growing by 10 basis points [12] - Indonesia's weaker consumer backdrop impacted total first half volumes, contributing to a 1% decline in group volumes [11] Company Strategy and Development Direction - The company is focused on driving profitable revenue growth while maintaining affordability and relevance for consumers [13] - A multiyear view on promotional and pricing strategies is emphasized to create sustainable value [12] - The company is investing in technology and digital capabilities to enhance productivity and drive future growth [10] Management's Comments on Operating Environment and Future Outlook - Management reaffirmed full-year profit and cash guidance, indicating a revenue growth range of 3% to 4% for the year [8] - The company remains optimistic about long-term opportunities in Indonesia despite current challenges [37] - Management highlighted the importance of digital transformation and technology investments to unlock value [39] Other Important Information - The company completed around €460 million in share buybacks and maintained a dividend payout policy of approximately 50% [6] - The return of the "Share a Coke" campaign was well received, contributing positively to brand performance [15] - The company is recognized for its sustainability efforts, retaining inclusion on CDP's A List for Climate for nine consecutive years [21] Q&A Session Summary Question: Guidance on top line and bottom line growth - Management indicated that despite a slight change in revenue guidance, they expect acceleration in the second half driven by volume growth and pricing strategies [45][46] Question: Performance in Europe and away from home growth - Management noted strong performance in Europe due to favorable weather and increased consumer engagement, with a focus on cooler placements and promotional activities [52][55] Question: Competitiveness in the market - Management acknowledged ongoing competition but emphasized a commitment to sustainable value creation and effective pricing strategies [68][71] Question: Metrics for the "Share a Coke" campaign - Management tracks metrics such as shelf distribution and consumption rates to evaluate the success of the campaign, which has positively impacted volume and price mix [75][76] Question: Acceleration in away from home growth - Management highlighted the return of consumers to public spaces and the impact of weather on away from home sales, indicating a positive trend for the remainder of the year [80][86] Question: Medium-term growth outlook considering Indonesia - Management reiterated that while Indonesia presents challenges, it is not critical to achieving midterm growth objectives, as other markets can offset weaknesses [90][93] Question: Update on COGS and hedging - Management reported being over 90% hedged for 2025 and around 60% for 2026, with expectations of flat commodity prices [96][97] Question: Update on Australian margin turnaround - Management expressed optimism about the Australian business's margin recovery, supported by structural changes and efficiency improvements [101][102]

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for Primo Brands, driven by higher revenues, with a focus on how actual results compare to estimates impacting stock price [1][2]. Earnings Expectations - Primo Brands is expected to report quarterly earnings of $0.43 per share, reflecting a year-over-year increase of +65.4% [3]. - Revenues are projected to reach $1.8 billion, representing a significant increase of 271.2% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate for Primo Brands has been revised 0.21% higher in the last 30 days, indicating a slight positive reassessment by analysts [4]. - However, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -4.12%, suggesting a bearish outlook from analysts [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict the likelihood of actual earnings deviating from consensus estimates, with a strong predictive power for positive readings [9][10]. - Stocks with a positive Earnings ESP and a Zacks Rank of 1, 2, or 3 have historically shown a positive surprise rate of nearly 70% [10]. Historical Performance - In the last reported quarter, Primo Brands exceeded the expected earnings of $0.24 per share by delivering $0.29, resulting in a surprise of +20.83% [13]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [14]. Industry Comparison - Another player in the beverage industry, Monster Beverage, is expected to report earnings of $0.48 per share, reflecting a year-over-year change of +17.1%, with revenues projected at $2.08 billion, up 9.6% [18][19]. - Monster Beverage's consensus EPS estimate has been revised down by 1.1% in the last 30 days, resulting in an Earnings ESP of -1.72% [19][20].