The energy drink company reported an increase in Q2 earnings of 30%, however missed analysts expectations. Gross sales grew by 28.7% to $678.9 million with net sales up 28.2% to $592.6 million. Analysts’ expectations for sales were $596.1 million. Profit rose to $109.8 million or 59 cents a share, missing expectations of 61 cents a share. Last year at this time, MNST reported profit of 45 cents a share or $84.2 million.
In recent years the energy drink industry has taken off. Year-to-date MNST is up 47%. Although production costs have risen, MNST’s customer base remains strong as the energy drink sector remains popular. I myself prefer coffee, so I am not drawn to MNST’s product line, however the numbers do not lie, people want Monster Energy drinks.
David Cornes holds a degree in economics from the University of Montana.
