Hansen Natural has reported record sales for the first quarter ending March 31. The company claimed the results reflected new product introductions and growth in core beverage lines.
Gross sales for the second quarter increased 23.1 per cent to $27.7 million from $22.5 million a year earlier. Net sales for the first quarter increased 18.8 per cent to $22.1 million from $18.6 million a year ago.
Operating income for the first quarter advanced 43.3 per cent to $1.1 million, from $765,000 a year ago. Net income for the first quarter increased 54.2 per cent to $633,000, from $411,000, last year.
Rodney C. Sacks, chairman and chief executive officer, said: "Our record sales and profit performance in the first quarter of 2003 reflect the strength of the company's new Monster Energy drink and the Hansen's brand. Monster Energy, Hansen's Diet Red Energy, which was introduced in October 2002, as well as natural sodas in cans, Junior Juice, apple juice and juice blends all contributed to the increase in sales."
The company said that the sales increase was partially offset by lower sales of functional drinks, E(2)O Energy Water, Energade energy sports drinks and smoothies.
Gross profit as a percentage of net sales for the quarter rose to 37.6 per cent from 36.6 per cent for the three months ended March 31, 2002. Selling, general and administrative expenses were $7.2 million for the quarter ended March 31, 2003, compared with $6.0 million a year ago.
Sacks also said that sales of the company's new 16-ounce Monster Energy drink line were ahead of plan and that the company was optimistic about this new product line.
Hansen Natural markets and distributes a range of sodas, sports, tea and fruit beverages. The company's subsidiary, Hard e Beverage Co., markets and distributes Hard e malt beverages.