Analysis of Reportable Segments
Monster Beverage Corp. operates in 4 segments: Monster Energy® Drinks; Strategic Brands; Alcohol Brands; and Other.
Segment Profit Margin
Monster Beverage Corp., profit margin by reportable segment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Monster Energy® Drinks | 35.73% | 31.77% | 38.16% | 42.29% | 40.14% |
| Strategic Brands | 55.02% | 55.97% | 58.94% | 58.21% | 59.67% |
| Alcohol Brands | -44.04% | -31.33% | — | — | — |
| Other | 15.37% | 13.25% | 26.76% | 21.94% | 16.72% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Monster Energy® Drinks | Monster Energy® Drinks segment profit margin ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 not reaching 2021 level. |
| Strategic Brands | Strategic Brands segment profit margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. | |
| Alcohol Brands | Alcohol Brands segment profit margin ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level. | |
| Other | Other segment profit margin ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |
Segment Profit Margin: Monster Energy® Drinks
Monster Beverage Corp.; Monster Energy® Drinks; segment profit margin calculation
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||
| Income before tax | 2,342,355) | 1,853,011) | 1,992,185) | 1,820,625) | 1,567,022) |
| Net sales | 6,555,089) | 5,833,211) | 5,220,673) | 4,305,246) | 3,904,029) |
| Segment Profitability Ratio | |||||
| Segment profit margin1 | 35.73% | 31.77% | 38.16% | 42.29% | 40.14% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Segment profit margin = 100 × Income before tax ÷ Net sales
= 100 × 2,342,355 ÷ 6,555,089 = 35.73%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Monster Energy® Drinks | Monster Energy® Drinks segment profit margin ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 not reaching 2021 level. |
Segment Profit Margin: Strategic Brands
Monster Beverage Corp.; Strategic Brands; segment profit margin calculation
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||
| Income before tax | 207,202) | 197,843) | 173,739) | 155,047) | 164,049) |
| Net sales | 376,589) | 353,490) | 294,762) | 266,354) | 274,925) |
| Segment Profitability Ratio | |||||
| Segment profit margin1 | 55.02% | 55.97% | 58.94% | 58.21% | 59.67% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Segment profit margin = 100 × Income before tax ÷ Net sales
= 100 × 207,202 ÷ 376,589 = 55.02%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Strategic Brands | Strategic Brands segment profit margin ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Segment Profit Margin: Alcohol Brands
Monster Beverage Corp.; Alcohol Brands; segment profit margin calculation
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||
| Income before tax | (81,405) | (31,772) | —) | —) | —) |
| Net sales | 184,855) | 101,405) | —) | —) | —) |
| Segment Profitability Ratio | |||||
| Segment profit margin1 | -44.04% | -31.33% | — | — | — |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Segment profit margin = 100 × Income before tax ÷ Net sales
= 100 × -81,405 ÷ 184,855 = -44.04%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Alcohol Brands | Alcohol Brands segment profit margin ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level. |
Segment Profit Margin: Other
Monster Beverage Corp.; Other; segment profit margin calculation
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||
| Income before tax | 3,610) | 3,041) | 6,935) | 5,933) | 3,655) |
| Net sales | 23,494) | 22,944) | 25,917) | 27,038) | 21,865) |
| Segment Profitability Ratio | |||||
| Segment profit margin1 | 15.37% | 13.25% | 26.76% | 21.94% | 16.72% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Segment profit margin = 100 × Income before tax ÷ Net sales
= 100 × 3,610 ÷ 23,494 = 15.37%
| Segment profitability ratio | Reportable segment | The company |
|---|---|---|
| Segment profit margin | Other | Other segment profit margin ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023. |
Net sales
Monster Beverage Corp., net sales by reportable segment
US$ in thousands
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Monster Energy® Drinks | 6,555,089) | 5,833,211) | 5,220,673) | 4,305,246) | 3,904,029) |
| Strategic Brands | 376,589) | 353,490) | 294,762) | 266,354) | 274,925) |
| Alcohol Brands | 184,855) | 101,405) | —) | —) | —) |
| Other | 23,494) | 22,944) | 25,917) | 27,038) | 21,865) |
| Total | 7,140,027) | 6,311,050) | 5,541,352) | 4,598,638) | 4,200,819) |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
Income before tax
Monster Beverage Corp., income before tax by reportable segment
US$ in thousands
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Monster Energy® Drinks | 2,342,355) | 1,853,011) | 1,992,185) | 1,820,625) | 1,567,022) |
| Strategic Brands | 207,202) | 197,843) | 173,739) | 155,047) | 164,049) |
| Alcohol Brands | (81,405) | (31,772) | —) | —) | —) |
| Other | 3,610) | 3,041) | 6,935) | 5,933) | 3,655) |
| Corporate and unallocated | (403,280) | (450,159) | (371,440) | (355,448) | (318,764) |
| Total | 2,068,482) | 1,571,964) | 1,801,419) | 1,626,157) | 1,415,962) |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).