Fourth Quarter Net Sales Rise 9.5% to $318.7 Million
Full Year Net Sales Rise 14.1% to $1.3 Billion
CORONA, Calif., Feb. 24, 2011 (GLOBE NEWSWIRE) -- Hansen Natural Corporation (Nasdaq:HANS) today reported record financial results for the three- and twelve-months ended December 31, 2010.Gross sales for the 2010 fourth quarter increased 10.5 percent to $364.1 million from $329.6 million a year earlier. Net sales for the 2010 fourth quarter increased 9.5 percent to $318.7 million from $290.9 million in the same quarter last year. Both gross and net sales for the 2009 fourth quarter were positively impacted by advance purchases made by customers due to the Company's announcement in the fourth quarter of 2009 of a new per case marketing contribution program for Monster Energy® distributors commencing January 1, 2010, as well as to avoid potential interruptions in product supply due to our planned transition to the SAP enterprise resource planning system from January 1, 2010. The Company previously estimated that approximately 4 percent to 6 percent of our fiscal 2009 fourth quarter gross sales were attributable to such advance purchases. Gross profit as a percentage of net sales was 51.6 percent for the fourth quarter ended December 31, 2010, compared with 53.4 percent for the comparable 2009 quarter, in part due to increased promotional allowances, production variances and product mix. Distribution costs as a percentage of net sales were 4.2 percent for the fourth quarter of 2010, compared with 4.1 percent in the same quarter last year. Selling expenses as a percentage of net sales for the 2010 fourth quarter were 12.2 percent, compared with 10.4 percent in the same quarter a year ago primarily due to increased expenses to further promote the Monster Energy® brand in existing markets, as well as to increase awareness and to establish the brand in new international markets.