MNST · 8-K · 20260806PR092046

Gross Margin Drivers

Monster Beverage Corp · 2026-08-06 · Importance 52 · Surprise 30

Second-quarter gross margin increased to 55.9% from 55.7% year over year, with gross profit rising 20.7% to $1.42 billion. Pricing actions and product sales mix supported the margin improvement. Higher aluminum can costs, geographic sales mix, and increased freight-in costs partially offset those benefits. Six-month gross margin declined to 55.5% from 56.1%, while adjusted gross margin excluding Alcohol Brands was 56.3% versus 56.2% in the second quarter.

Key facts

• The increase in gross profit percentage for the 2026 second quarter was primarily the result of pricing actions and product sales mix, partially offset by increased aluminum can costs, geographical sales mix and increased freight-in costs. source
• Gross profit as a percentage of net sales for the 2026 second quarter was 55.9 percent, compared with 55.7 percent in the 2025 second quarter. source
• Adjusted gross profit as a percentage of net sales, excluding the Alcohol Brands segment, for the 2026 second quarter was 56.3 percent, compared with 56.2 percent in the 2025 second quarter. source
• Gross profit as a percentage of net sales for the six-months ended June 30, 2026 was 55.5 percent, compared with 56.1 percent in the comparable period last year. source