Return on Assets (ROA)
since 2005
Calculation
Monster Beverage Corp., ROA, long-term trends, calculation
| ROA | = | 100 | × | Net income1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2023 | 16.84% | = | 100 | × | 1,630,988) | ÷ | 9,686,522) |
| Dec 31, 2022 | 14.37% | = | 100 | × | 1,191,624) | ÷ | 8,293,105) |
| Dec 31, 2021 | 17.65% | = | 100 | × | 1,377,475) | ÷ | 7,804,784) |
| Dec 31, 2020 | 22.73% | = | 100 | × | 1,409,594) | ÷ | 6,202,716) |
| Dec 31, 2019 | 21.51% | = | 100 | × | 1,107,835) | ÷ | 5,150,352) |
| Dec 31, 2018 | 21.94% | = | 100 | × | 993,004) | ÷ | 4,526,891) |
| Dec 31, 2017 | 17.13% | = | 100 | × | 820,678) | ÷ | 4,791,012) |
| Dec 31, 2016 | 17.16% | = | 100 | × | 712,685) | ÷ | 4,153,471) |
| Dec 31, 2015 | 9.63% | = | 100 | × | 546,733) | ÷ | 5,675,189) |
| Dec 31, 2014 | 24.92% | = | 100 | × | 483,185) | ÷ | 1,938,875) |
| Dec 31, 2013 | 23.84% | = | 100 | × | 338,661) | ÷ | 1,420,509) |
| Dec 31, 2012 | 32.59% | = | 100 | × | 340,020) | ÷ | 1,043,325) |
| Dec 31, 2011 | 21.01% | = | 100 | × | 286,219) | ÷ | 1,362,399) |
| Dec 31, 2010 | 19.59% | = | 100 | × | 212,029) | ÷ | 1,082,131) |
| Dec 31, 2009 | 26.09% | = | 100 | × | 208,716) | ÷ | 800,070) |
| Dec 31, 2008 | 14.18% | = | 100 | × | 108,032) | ÷ | 761,837) |
| Dec 31, 2007 | 27.43% | = | 100 | × | 149,406) | ÷ | 544,603) |
| Dec 31, 2006 | 31.76% | = | 100 | × | 97,949) | ÷ | 308,372) |
| Dec 31, 2005 | 38.30% | = | 100 | × | 62,775) | ÷ | 163,890) |
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), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
An analysis of the financial performance from 2005 to 2023 reveals a period of massive scale expansion characterized by substantial growth in both net income and total assets, alongside a general compression in asset utilization efficiency.
- Net Income and Asset Growth
- Net income experienced consistent long-term growth, increasing from 62.775 million US dollars in 2005 to 1.63 billion US dollars in 2023. Concurrently, total assets expanded from 163.89 million US dollars to 9.69 billion US dollars over the same period. The growth in assets significantly outpaced the growth in net income, which contributed to the long-term downward pressure on the return on assets.
- Return on Assets (ROA) Trends
- ROA exhibited high volatility in the first decade of the observed period. A peak of 38.30% was recorded in 2005, followed by a sharp decline to 14.18% by 2008. While the ratio recovered to 32.59% in 2012, a significant contraction occurred in 2015, where ROA reached a series low of 9.63%. This decline correlates with a substantial surge in total assets, which jumped from 1.94 billion US dollars in 2014 to 5.68 billion US dollars in 2015.
- Stabilization and Recent Performance
- Since 2016, the ROA has entered a phase of relative stabilization, fluctuating within a narrower band between 14.37% and 22.73%. Despite the continued growth of the asset base to 9.69 billion US dollars by 2023, the return on assets has remained resilient, ending the period at 16.84%. This suggests a more mature operational phase where income growth is scaling more proportionately with the expanded asset base compared to the volatility seen between 2005 and 2015.
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Comparison to Competitors
Monster Beverage Corp., ROA, long-term trends, comparison to competitors
| Monster Beverage Corp. | Coca-Cola Co. | Mondelēz International Inc. | PepsiCo Inc. | Philip Morris International Inc. | |
|---|---|---|---|---|---|
| Dec 31, 2023 | 16.84% | 10.97% | 6.95% | 9.03% | 11.96% |
| Dec 31, 2022 | 14.37% | 10.29% | 3.82% | 9.67% | 14.67% |
| Dec 31, 2021 | 17.65% | 10.36% | 6.41% | 8.25% | 22.06% |
| Dec 31, 2020 | 22.73% | 8.87% | 5.24% | 7.66% | 17.98% |
| Dec 31, 2019 | 21.51% | 10.33% | 6.00% | 9.31% | 16.76% |
| Dec 31, 2018 | 21.94% | 7.73% | 5.39% | 16.12% | 19.88% |
| Dec 31, 2017 | 17.13% | 1.42% | 4.63% | 6.09% | 14.05% |
| Dec 31, 2016 | 17.16% | 7.48% | 2.70% | 8.54% | 18.91% |
| Dec 31, 2015 | 9.63% | 8.16% | 11.56% | 7.83% | 20.24% |
| Dec 31, 2014 | 24.92% | 7.71% | 3.27% | 9.24% | 21.29% |
| Dec 31, 2013 | 23.84% | 9.53% | 5.40% | 8.70% | 22.47% |
| Dec 31, 2012 | 32.59% | 10.47% | 4.01% | 8.28% | 23.36% |
| Dec 31, 2011 | 21.01% | 10.72% | 3.76% | 8.84% | 24.21% |
| Dec 31, 2010 | 19.59% | 16.19% | 4.32% | 9.27% | 20.71% |
| Dec 31, 2009 | 26.09% | 14.02% | 4.53% | 14.92% | 18.35% |
| Dec 31, 2008 | 14.18% | 14.33% | 4.60% | 14.29% | 20.90% |
| Dec 31, 2007 | 27.43% | 13.82% | 3.81% | 16.34% | — |
| Dec 31, 2006 | 31.76% | 16.95% | 5.51% | 18.85% | — |
| Dec 31, 2005 | 38.30% | 16.56% | 4.57% | 12.85% | — |
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), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Food, Beverage & Tobacco)
Monster Beverage Corp., ROA, long-term trends, comparison to sector (food, beverage & tobacco)
| Monster Beverage Corp. | Food, Beverage & Tobacco | |
|---|---|---|
| Dec 31, 2023 | 16.84% | 9.72% |
| Dec 31, 2022 | 14.37% | 9.51% |
| Dec 31, 2021 | 17.65% | 10.44% |
| Dec 31, 2020 | 22.73% | 9.04% |
| Dec 31, 2019 | 21.51% | 10.02% |
| Dec 31, 2018 | 21.94% | 11.48% |
| Dec 31, 2017 | 17.13% | 5.50% |
| Dec 31, 2016 | 17.16% | 8.27% |
| Dec 31, 2015 | 9.63% | 10.50% |
| Dec 31, 2014 | 24.92% | 8.80% |
| Dec 31, 2013 | 23.84% | 10.00% |
| Dec 31, 2012 | 32.59% | 9.86% |
| Dec 31, 2011 | 21.01% | 9.62% |
| Dec 31, 2010 | 19.59% | 10.87% |
| Dec 31, 2009 | 26.09% | 11.66% |
| Dec 31, 2008 | 14.18% | 12.02% |
| Dec 31, 2007 | 27.43% | 9.75% |
| Dec 31, 2006 | 31.76% | 11.94% |
| Dec 31, 2005 | 38.30% | 9.75% |
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), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Consumer Staples)
Monster Beverage Corp., ROA, long-term trends, comparison to industry (consumer staples)
| Monster Beverage Corp. | Consumer Staples | |
|---|---|---|
| Dec 31, 2023 | 16.84% | 8.28% |
| Dec 31, 2022 | 14.37% | 8.95% |
| Dec 31, 2021 | 17.65% | 8.75% |
| Dec 31, 2020 | 22.73% | 8.24% |
| Dec 31, 2019 | 21.51% | 6.41% |
| Dec 31, 2018 | 21.94% | 8.40% |
| Dec 31, 2017 | 17.13% | 7.42% |
| Dec 31, 2016 | 17.16% | 7.94% |
| Dec 31, 2015 | 9.63% | 7.69% |
| Dec 31, 2014 | 24.92% | 7.96% |
| Dec 31, 2013 | 23.84% | 8.75% |
| Dec 31, 2012 | 32.59% | 8.63% |
| Dec 31, 2011 | 21.01% | 8.89% |
| Dec 31, 2010 | 19.59% | 9.45% |
| Dec 31, 2009 | 26.09% | 9.43% |
| Dec 31, 2008 | 14.18% | 9.11% |
| Dec 31, 2007 | 27.43% | 8.07% |
| Dec 31, 2006 | 31.76% | 8.42% |
| Dec 31, 2005 | 38.30% | 9.55% |
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), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).