Monster Beverage Corp

Monster Beverage delivered a mixed fourth quarter, posting revenue that edged past Wall Street expectations while falling short on the bottom line, as a troubled alcohol segment weighed heavily on reported results. Net sales rose 4.7% year-over-year to $1.81 billion, just ahead of the $1.80 billion consensus, though the top line absorbed $52.30 million in currency headwinds; on a constant-currency basis, growth reached 7.8%. Adjusted diluted EPS came in at $0.38, missing the $0.40 consensus by 4.86%, partly because a sharply higher effective tax rate of 29.9%, versus 18.5% a year ago, eroded profitability even as operating margins improved. The quarter was further burdened by $130.71 million in Alcohol Brands impairment charges, which dragged GAAP net income down 26.2% to $270.71 million. The core Monster Energy Drinks segment remained resilient, growing 4.5% to $1.67 billion, and management flagged a resurgence in U.S. convenience channel demand alongside a roughly 5% U.S. price increase enacted in November 2024. Adding to the forward-looking picture, a CEO succession, with Hilton Schlosberg set to take the helm in June 2025, signals a leadership transition as the company navigates its alcohol segment challenges.