Stock Analysis on Net
Stock Analysis on Net

Monster Beverage Corp. (NASDAQ:MNST)

This company has been moved to the archive! The financial data has not been updated since May 7, 2024.

Common-Size Balance Sheet: Liabilities and Stockholders’ Equity

Monster Beverage Corp., common-size consolidated balance sheet: liabilities and stockholders’ equity

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Accounts payable 5.83 5.36 5.18 4.79 5.32
Current finance lease liabilities 0.07 0.01 0.01 0.01 0.03
Accrued liabilities 1.83 2.08 2.69 2.29 2.19
Accrued promotional allowances 2.78 3.08 2.71 3.01 3.24
Deferred revenue 0.43 0.52 0.54 0.73 0.86
Accrued compensation 0.90 0.87 0.84 0.89 0.92
Income taxes payable 0.15 0.16 0.39 0.38 0.29
Current liabilities 11.99% 12.08% 12.37% 12.09% 12.84%
Deferred revenue 2.11 2.70 3.12 4.26 5.58
Noncurrent finance lease liabilities 0.00 0.00 0.00 0.00 0.00
Other liabilities 0.95 0.51 0.38 0.44 0.59
Noncurrent liabilities 3.06% 3.21% 3.49% 4.71% 6.17%
Total liabilities 15.05% 15.29% 15.86% 16.80% 19.01%
Common stock, $0.005 par value 0.06 0.04 0.04 0.05 0.06
Additional paid-in capital 51.36 57.64 59.61 73.16 85.38
Retained earnings 61.32 108.54 100.06 103.70 97.52
Accumulated other comprehensive income (loss) -1.29 -1.92 -0.89 0.05 -0.63
Common stock in treasury, at cost -26.49 -79.59 -74.69 -93.76 -101.34
Stockholders’ equity 84.95% 84.71% 84.14% 83.20% 80.99%
Total liabilities and stockholders’ equity 100.00% 100.00% 100.00% 100.00% 100.00%

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).

The capital structure of the organization exhibits a consistent trend toward decreased leverage and an increased reliance on equity financing over the five-year period from 2019 to 2023. Total liabilities have steadily declined as a percentage of total liabilities and stockholders’ equity, falling from 19.01% in 2019 to 15.05% in 2023. Concurrently, stockholders’ equity has expanded from 80.99% to 84.95%, indicating a strengthening of the solvency position and a reduction in total obligations relative to the asset base.

Liability Composition and Trends
Current liabilities have remained relatively stable, moving from 12.84% in 2019 to 11.99% in 2023. Within this category, accounts payable show a gradual increase, rising from 5.32% to 5.83%, suggesting a slight increase in reliance on trade credit. Conversely, deferred revenue within current liabilities has decreased from 0.86% to 0.43%.
Noncurrent liabilities have experienced a significant reduction, decreasing from 6.17% in 2019 to 3.06% in 2023. This decline is primarily driven by a sharp contraction in noncurrent deferred revenue, which fell from 5.58% in 2019 to 2.11% in 2023.
Equity Component Dynamics
While total stockholders’ equity has grown, the internal components of the equity section have undergone substantial volatility. Additional paid-in capital decreased significantly from 85.38% in 2019 to 51.36% in 2023.
Retained earnings exhibited fluctuating trends, peaking at 108.54% in 2022 before dropping sharply to 61.32% in 2023. This shift coincides with a dramatic change in the common stock in treasury account, which moved from -79.59% in 2022 to -26.49% in 2023. The reduction in the magnitude of treasury stock suggests a major reallocation or accounting adjustment within the equity accounts during the 2023 fiscal year.
Accumulated other comprehensive income has remained a marginal factor, though it has trended more negative since 2020, moving from 0.05% to -1.29% by 2023.

Overall, the analysis reveals a highly equity-funded balance sheet with minimal reliance on long-term debt, as finance lease liabilities remain negligible across all periods. The organization has successfully reduced its total liability footprint while managing a complex evolution of its equity components.

AI Ask an analyst for more

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.

How can I help you?