Monster Beverage Corporation stock research
FY2023 Q4
Monster Beverage (MNST) Gross Margin — Quarter Ended Dec 31, 2023
Revenue decreased compared to the previous quarter but increased compared to the same quarter last year. Gross profit followed a similar pattern, while gross margin improved both sequentially and year-over-year, reflecting a lower cost of revenue relative to revenue.
Gross margin takeaway
Quarter ended Dec 31, 2023 · FY2023 Q4
Revenue decreased compared to the previous quarter but increased compared to the same quarter last year. Gross profit followed a similar pattern, while gross margin improved both sequentially and year-over-year, reflecting a lower cost of revenue relative to revenue.
- The gross margin improved sequentially, with cost of revenue declining proportionally more than the decline in revenue. Year-over-year, margin also improved as revenue grew faster than cost of revenue.
- Versus the prior quarter, revenue and gross profit were lower, but gross margin was higher. Versus the same quarter a year ago, revenue, gross profit, and gross margin were all higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
54.2%
Gross profit
$938.4M
Revenue
$1.7B
Cost of revenue
$791.7M
Quarter-over-quarter change
+1.2 pts
Year-over-year change
+2.4 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Mar 31, 2023 | $1.7B | $897.8M | $801.1M | 52.8% |
| Jun 30, 2023 | $1.9B | $974.2M | $880.7M | 52.5% |
| Sep 30, 2023 | $1.9B | $983.8M | $872.3M | 53.0% |
| Dec 31, 2023 | $1.7B | $938.4M | $791.7M | 54.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2023
+1.2 pts
Year-over-year change
Dec 31, 2022
+2.4 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin improved sequentially, with cost of revenue declining proportionally more than the decline in revenue. Year-over-year, margin also improved as revenue grew faster than cost of revenue.
Versus the prior quarter, revenue and gross profit were lower, but gross margin was higher. Versus the same quarter a year ago, revenue, gross profit, and gross margin were all higher.
Monitor the trend of cost of revenue as a percentage of revenue, as it has been the primary factor in margin changes.