Monster Beverage Corp released its full-year results yesterday

Monster Beverage Corp released its full-year results yesterday

Monster Beverage Corp's growth slowed last year but the energy drinks maker has still posted strong jumps in profits and sales.

Net profits rose by 20% to US$340m in the 12 months to the end of December, the US company said late yesterday (27 February). Net sales climbed by 21% to $2.06bn over the same period, while operating profits increased by 21%, hitting $550.6m.

Fourth-quarter numbers were also healthy. Net profits climbed by 5.4% to $68m in the three months to the end of September and net sales were up by 15% to $471.5m. Operating profits increased by 10% to $113.9m.

The results were slightly weaker compared to 2011, when the company saw full-year net profits climb by 35% and sales grow by 30%. Q4 results in 2011 were equally as strong. 

However, Monster chairman and CEO Rodney Sacks remained bullish on performance.

“While the growth of the energy drink market in the United States has softened from previous quarters, the Monster Energy brand continues to grow in excess of market growth," said Sacks. 

Gross sales outside the US exceeded $500m, or about one-quarter of overall sales, he added, and the company will continue to launch in new markets throughout this year.

Monster used the results to reiterate the safety of its products following months of increased scrutiny over energy drinks' effects on consumers, particularly young people.

Last year, two senators asked the Food and Drug Administration to examine energy drink effects on young people, while earlier this year, the senators, Richard Durbin and Richard Blumenthal, sent letters to 14 energy drink companies, including Monster, asking them questions over the safety of their products.

Sacks said: “The company's energy drinks are safe, based on both the company's and the industry's long successful track record and the scientific evidence supporting the safety of Monster Energy's ingredients.”

Monster released its results after trading closed yesterday. The stock received a slight bump in yesterday's trading, up by 1.4%.

To read the company's official statement, click here.

For analyst reaction to the results, click here.