Upcoming AWS Coverage on SodaStream International Post-Earnings Results

LONDON, UK / ACCESSWIRE / May 18, 2017 / Active Wall St. announces its post-earnings coverage on Monster Beverage Corp. (NASDAQ: MNST). The Company released its first quarter fiscal 2017 financial results on May 04, 2017. The Energy-drink giant outperformed top- and bottom-line estimates. Register with us now for your free membership at:

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One of Monster Beverage's competitors within the Beverages - Soft Drinks space, SodaStream International, Ltd (NASDAQ: SODA), released its financial results for Q1 2017 on Wednesday, May 10, 2017. AWS will be initiating a research report on SodaStream in the coming days.

Today, AWS is promoting its earnings coverage on MNST; touching on SODA. Get our free coverage by signing up to:

http://www.activewallst.com/register/

Earnings Reviewed

For the three months ended March 31, 2017, Monster Beverage's net sales increased 9.1% to $742.1 million compared to net sales of $680.2 million in Q1 2016. The Company achieved record first quarter gross sales of $845.5 million compared to $777.5 million in the same period last year. Monster Beverage's reported numbers surpassed analysts' consensus of $741.4 million.

For Q1 2017, Monster Beverage's gross profit, as a percentage of net sales, increased to 64.8% compared to 62.2% for Q1 2016. The Company's operating expenses for the reported quarter were $216.6 million versus $168.4 million in the prior year's comparable quarter. Included in operating expenses were distributor termination expenses of $19.9 million and $3.4 million for Q1 2017 and Q1 2016, respectively. Monster Beverage's distribution costs, as a percentage of net sales, were 3.1% for Q1 2017 compared with 3.4% for Q1 2016.

General and administrative expenses for Q1 2017 were $107.1 million, or 14.4% of net sales, compared with $75.8 million, or 11.1% of net sales, for Q1 2016. Monster Beverage's operating income for Q1 2017 increased to $264.3 million compared to $254.7 million in Q1 2016.

Monster Beverage's net income Q1 2017 increased 8.6% to $178.0 million from $163.9 million in Q1 2016. The Company's net income per diluted share for the reported quarter grew 15.8% to $0.31 compared to earnings of $0.26 per share in the prior year's same quarter. The Company estimates that distributor termination expenses in Q1 2017 of $19.9 million reduced reported earnings by approximately $0.02 per share, after tax. The Company's adjusted earnings exceeded Wall Street's estimates of $0.32 per share.

Segment Results

During Q1 2017, net sales for the Company's Monster Energy® Drinks segment, which is comprised of the Company's Monster Energy® drinks, as well as Mutant® Super Soda drinks, increased 7.5% to $668.6 million compared to $621.7 million in Q1 2016. Net sales for the Company's Strategic Brands segment, which includes the various energy drink brands acquired from The Coca-Cola Company, increased 16.4% to $68.0 million in the reported quarter versus sales of $58.5 million in the year ago comparable quarter. Net sales for the Company's Other segment, which includes certain products of American Fruits & Flavors sold to independent third parties totaled $5.5 million for Q1 2017. There were no net sales for the Other segment for Q1 2016.

Monster Beverage's net sales to customers outside the United States rose to $190.9 million in Q1 2017 from $149.1 million in Q1 2016. In Europe, Middle-East, and Africa, net sales in the reported quarter increased 17.7% in dollars and 21.7% in local currencies over the same period last year. Gross profit in this region as a percentage of net sales increased from 50.2% in Q1 2016 to 50.3% during Q1 2017.

In Asia/Pacific, Monster Beverage's net sales in Q1 2017 increased 58.1% in dollars and 60.5% in local currencies over the same period last year. Gross profit in this region, as a percentage of net sales, increased from 45.2% in the year ago same period to 47.7% during the reported quarter.

In Oceana, which includes Australia, New Zealand, Tahiti, French Polynesia, New Caledonia, and Guam, Monster Beverage's net sales increased 44.7%, or 50% in local currencies, on a y-o-y basis.

Cash Matters

As of March 31, 2017, Monster Beverage's cash and cash equivalents amounted to $576.3 million compared to $377.6 million at December 31, 2016. Short-term investments were $209.4 million at the end of Q1 2017 compared to $220.6 million at December 31, 2016. Long-term investments decreased to $0.5 million from $2.4 million at December 31, 2016.

Monster Beverage's accounts receivable increased to $509.5 million at March 31, 2017, from $448.1 million at December 31, 2016. Days outstanding for accounts receivable were 54.9 days at the end of reported quarter compared to 48.2 days at December 31, 2016. Inventories increased to $171.3 million at March 31, 2017, from $162 million at December 31, 2016. Average days of inventory were 59 days at March 31, 2017, compared to 57 days at December 31, 2016.

Stock Performance

At the closing bell, on Wednesday, May 17, 2017, Monster Beverage's stock marginally fell 0.02%, ending the trading session at $46.80. A total volume of 2.17 million shares were traded at the end of the day. In the last month and previous three months, shares of the Company have advanced 3.29% and 7.96%, respectively. Moreover, the stock gained 5.55% since the start of the year. Shares of the company currently have a market cap of $26.72 billion and a PE ratio of 37.99.

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SOURCE: Active Wall Street