Monster Beverage Corporation (MNST) Earnings

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Sep 2026upcoming

Next quarter

Reports Nov 5, 2026.

Consensus is $0.29 EPS for Sep 2026 across 9 estimates, ranging $0.14 to $0.34.

MNST Jun 2026

Reported Aug 6, 2026 · after the close

: 3.45%
: -4.04%

: $0.29
: $0.30
: —
: $2.54B

Reported results

: $2.54B; from $2.11B
: 55.95%; from 55.71%
: $740.44M; from $631.62M
: 29.18%; from 29.91%
: $584.54M; from $488.79M

Highlights

Revenue growth: Second-quarter net sales increased 20.2% year over year to $2.54 billion, including a $48.5 million foreign-exchange benefit; currency-neutral growth was 17.9%.
Earnings: Adjusted diluted EPS was $0.60 versus consensus of $0.59, a 1.69% surprise; GAAP diluted EPS was $0.59, up 19.0% from $0.50.
Core energy portfolio: Monster Energy Drinks revenue rose 21.6% to $2.36 billion, with energy-drink case sales up 22.3% to 304.9 million cases.
International expansion: Sales outside the United States increased 34.6% to $1.16 billion, or approximately 46% of total revenue; currency-neutral international growth was 29.0%.
Marketing investment: Selling expense increased 36.7% to $269.2 million and distribution expense rose 44.9% to $118.8 million as Monster increased digital, media, sponsorship and endorsement spending.
Margins: Gross margin improved to 55.9% from 55.7%, helped by pricing and mix, but operating margin declined to 29.2% from 29.9% as operating expenses rose faster than sales.
Other segments: Strategic Brands revenue grew 10.6% to $143.7 million, while Alcohol Brands revenue fell 15.2% to $32.2 million and remained loss-making at the segment level.
Balance sheet and capital allocation: Monster held $2.19 billion of cash, $1.23 billion of short-term investments and $781.3 million of long-term investments at June 30, with no debt outstanding; $900.0 million remained available for repurchases.

Analysis

Monster delivered a strong second quarter, with revenue and earnings growth led by the core energy-drink business and international markets. Net sales of $2.54 billion rose 20.2% from $2.11 billion a year earlier and increased approximately 8% sequentially from $2.35 billion in the first quarter. GAAP diluted EPS was $0.59, while adjusted diluted EPS was $0.60, modestly above the $0.59 consensus expectation. Net income increased 19.6% year over year to $584.5 million and 2.6% from $569.5 million in the prior quarter.

The central feature of the print was volume-led growth: energy-drink case sales rose 22.3% to 304.9 million, although average net sales per case declined to $8.20 from $8.29. International revenue grew 34.6% and reached 46% of sales, with Europe, Middle East and Africa particularly important to the expansion. Pricing actions and mix held gross margin slightly above last year, but heavier investment in marketing and distribution reduced operating margin by 70 basis points to 29.2%. Alcohol Brands remained a drag, with revenue down 15.2% and a $7.3 million segment loss, although that loss narrowed from $14.6 million. The first-half result showed similar momentum, with revenue up 23.3% to $4.89 billion and net income up 23.9% to $1.15 billion.

Core energy growth

Monster Energy Drinks: Segment revenue increased 21.6% to $2.36 billion, contributing nearly all of the company’s year-over-year sales increase. Currency-neutral segment growth was 19.3%.
Volume: Energy-drink case sales rose 22.3% to 304.9 million 192-ounce case equivalents, led by increased worldwide demand and product additions including Monster Nitro Blue Flash, new Reign and Bang flavors, and other regional launches.
Realization: Average net sales per energy-drink case declined to $8.20 from $8.29. The combination of higher volume and lower revenue per case indicates that mix, geography and promotional activity remained important to reported growth.

International expansion

Geographic mix: Revenue outside the United States climbed 34.6% to $1.16 billion, increasing to approximately 46% of total sales from 41% a year earlier.
Underlying growth: International sales rose 29.0% on a currency-neutral basis, so foreign exchange accounted for $48.5 million of the reported increase but was not the primary growth driver.
Profit contribution: International operating income excluding Canada increased to $247.5 million from $164.1 million, reinforcing the growing earnings contribution from markets outside the United States.
Distribution exposure: International full-service bottlers and distributors represented 48% of gross billings, compared with 43% in the prior-year quarter, while U.S. bottlers declined to 40% from 45%.

Margins and investment

Monster’s pricing actions and product mix helped offset higher aluminum-can and freight-in costs, lifting reported gross margin to 55.9% from 55.7%. That benefit was more than absorbed by operating investment: total operating expenses rose 24.7% to $679.2 million, versus 20.2% sales growth. Selling expense increased $72.3 million to $269.2 million, primarily for social, digital, media, sponsorship and endorsement activity, while distribution expense increased $36.8 million to $118.8 million. As a result, operating income rose 17.2% to $740.4 million, but operating margin fell to 29.2% from 29.9%. Adjusted operating income increased 13.3% to $748.1 million.

Pricing: Management attributed the gross-margin improvement primarily to pricing actions implemented in the United States and selected international markets during 2025.
Six-month view: First-half gross margin was 55.5%, down from 56.1%, while operating margin was 30.1%, down from 30.3%, showing that cost and geographic mix pressures remain visible despite strong growth.

Portfolio segments

Strategic Brands: Revenue increased 10.6% to $143.7 million, led by Fury, Predator and Burn, but segment operating profit declined 2.2% to $66.3 million as operating expenses increased.
Alcohol Brands: Revenue fell 15.2% to $32.2 million, primarily because of lower sales of The Beast product line. The segment posted a $7.3 million operating loss, an improvement from a $14.6 million loss last year.
Other: Revenue declined 15.3% to $5.4 million, and the segment moved to a $0.2 million operating loss from $1.3 million of operating income in the prior-year quarter.

Cash and capital allocation

Liquidity: Cash and cash equivalents totaled $2.19 billion at June 30, 2026, alongside $2.01 billion of short- and long-term investments. No borrowings were outstanding under the company’s credit facilities.
Cash generation: First-half operating cash flow increased to $1.11 billion from $973.6 million, despite $290.4 million of cash absorbed by higher accounts receivable and $73.8 million by inventories.
Repurchases: Monster made no open-market repurchases during the quarter; approximately $900.0 million remained available under authorized programs as of August 5.
Stock split: The company declared a two-for-one stock split, with the split-adjusted shares expected to begin trading on August 11, 2026.

Monster Beverage Corporation

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