Monster Beverage Corporation · NASDAQ:MNST
Monster Beverage — Hansen Natural — Investor Presentation (January 2006)
38 slides from Monster Beverage's investor presentation, Jan 10, 2006
Slide 1: January 2006
January 2006
Slide 2: Safe Harbor Statement
Safe Harbor Statement This material contains certain “forward-looking” statements. These statements are based on management’s current expectations and are naturally subject to uncertainty and changes in circumstances. Actual results may vary materially from the expectations contained herein and list
Slide 3: “anuary 2006,
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Slide 4: Introduction, cont'd.
Introduction, cont’d. Hansen’s is a 70 year old trusted brand that stands for high quality, “better for you” natural beverages. Hansen’s formulates and markets unique premium beverages at the forefront of consumer trends. Hansen’s enjoys leadership positions across several categories, including the
Slide 5: Since 2000, Hansen's has enjoyed strong annual growth
Since 2000, Hansen’s has enjoyed an annual growth rate of 27.5% compounded through 2004. Introduction, cont’d . In 2005, Hansen’s has continued its upward growth trend. A comparison of the first nine-months ended September 30, 2005 to the nine- months ended September 30, 2004 shows: The business gre
Slide 6: Financial Performance
Financial Performance Hansen’s continues to enjoy excellent operating performance, with continuing growth. The Company’s operating results are summarized below: 2002 2003 2004 2004 2005 Gross Sales net of discounts/returns (Millions except per share data) 112.9 $ 135.7 $ 224.1 $ 162.3 $ 301.8 $ Net
Slide 7: Product Line Overview - Warehouse
Product Line Overview A Brief Snapshot of the Major Product Portfolios Warehouse Exclusive contracts for apple and blended juice 64 oz. for CA WIC Program (started July ‘04). Additional blended juice launched in 2005.
Slide 8: Product Line Overview - DSD
Product Line Overview A Brief Snapshot of the Major Product Portfolios DSD Includes Monster, Lost, Hansen’s Energy and Energade Represents 72% of total YTD gross sales through September 30, 2005 Packaged in 8 oz., 16 oz., and 23.5 oz. size cans
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Slide 11: Hansen's Natural Soda Portfolio
Hansen’s Natural Soda Portfolio Hansen’s is the leading natural soda in the U.S. Blue Sky is the leading natural soda in the health food category All natural, no preservatives, caffeine free, and in the case of Hansen’s, sodium free, no artificial colors or flavors Predominantly Western distribution
Slide 12: Hansen's 100% Juice & Juice Blends
Hansen’s 100% Juice & Juice Blends
Slide 13: “anuary 2006,
“anuary 2006, Page 18
Slide 14: Hansen's Tetra Pack Juice Drinks
Hansen’s Tetra Pack Juice Drinks
Slide 15: Hansen's Juice Portfolio
Hansen’s Juice Portfolio First shelf-stable smoothies in the U.S. Enhanced with vitamins and/or calcium Hansen’s 64 oz. apple juice is the #1 shelf-stable bottled juice in Southern and Northern California.* Hansen’s 64 oz. apple grape juice is the #4 and #7 shelf-stable bottled juice in Southern and
Slide 16: Elan ny
Elan ny “anuary 2006, Page 16
Slide 17: Monster Energy Drinks
Monster Energy Drinks
Slide 18: Page
Page 18 “anuary 2006,
Slide 19: Hansen's Energade
Hansen’s Energade
Slide 20: Controlled Label Energy Drinks
Controlled Label Energy Drinks
Slide 21: Nat
Nat AURINE “anuary 2006, Paget
Slide 22: Hansen's Energy Portfolio
Hansen’s Energy Portfolio Energy Product Attributes Great tasting 16 oz. value size Efficacious formulations, taste profiles, and image are important contributors to success Products cover broad energy demographics
Slide 23: Hansen's Energy Portfolio
Hansen’s Energy Portfolio Energy drink market is the fastest growing segment of U.S. beverage industry. $1 billion at wholesale in 2004. 1 2005, 3Q sales-convenience suggest growth 50%+ (per Nielsen). 2 Monster is one of the fastest growing major energy drinks in U.S. (per Nielsen). 2 Monster has hi
Slide 24: Category Leaders
16 oz Category Leaders Hansen’s: #1 Player Overall!. 39% 20% 18% 14% Source: AC Nielsen 12 Wks Ending 10/1/05 Total US – Convenience Trade Major Market
Slide 25: Category Share by Brand
Category Share by Brand Source: Total US – AC Nielsen 12 Wks Ending 10/1/05 Market Share - Energy Drinks $ Share Share Change Red Bull 39.7% (8.7) Monster 17.3% +7.7 Rockstar 9.9% +0.9 No Fear 7.3% +0.4 Full Throttle 5.9% +5.9 Adrenaline 4.6% (1.8) Amp 4.3% (1.7) . . . Lost 1.1% (0.0) Hansens 0.6% (
Slide 26: Focus on Monster Energy
Focus on Monster Energy Proven products with potential for even greater sales velocity and distribution through effective distribution system. Significant convenience chain distribution gains. Monster Khaos recently launched. Separate brand facilitates aggressive, extreme marketing to youth-culture
Slide 27: Pro Circuit/Kawasaki Racing
PRO CIRCUIT/KAWASAKI RACING MX/SX is the pinnacle of Action Sports. Pro Circuit Racing is a well respected “perennial winner” with 14 championships in 15 years. Nearly one million spectators attended the 2005 MX/SX racing season. TV coverage - approximately 5 million plus viewers.
Slide 28: Monster Energy Pro Presented by Billabong
Monster Energy Pro Presented by Billabong North Shore, Oahu, Hawaii World Famous Bonsai Pipeline ASP 4-star event, $60,000 prize purse 30-minute Fox Sports Net TV Program (Summer ‘05) Billabong Hosted Web Cast MONSTER ENERGY PRO 2005
Slide 29: Billabong XXL Big Wave Awards
BILLABONG XXL BIG WAVE AWARDS The Billabong XXL Award is won by the surfer who, by any means available, catches and successfully rides the single biggest wave of the year based on analysis of the available images. Billabong Biggest Wave Award Monster Biggest Paddle Wave Award Monster Tube of the Yea
Slide 30: Vans Warped Tour sponsorship
Most popular, longest running Action Sports/Music Festival in the United States. MONSTER has been a sponsor for 3 years. 49 concert dates throughout U.S. and Canada. MONSTER is the “Official Energy Drink” of the Vans Warped Tour 2005. Van’s Warped Tour
Slide 31: Las Vegas Monster-Rail
LAS VEGAS MONSTER-RAIL Las Vegas is the “most visited city” in the world, approximately 40-million people visit Las Vegas every year. The monorail connects the “Las Vegas Strip” to the Las Vegas Convention Center and will connect to the Fremont Street Experience and McCarran International Airport in
Slide 32: Channel Mix Summary
Channel Mix Summary Hansen’s beverages can be found in all major channel types: Channel Mix Three Months Ended September 30, 2004 Channel Mix Three Months Ended September 30, 2005
Slide 33: Product Mix Summary
Product Mix Summary Hansen’s has continued to diversify its product lines: Product Mix Three Months Ended September 30, 2004 Product Mix Three Months Ended September 30, 2005
Slide 34: Geographic Mix Summary - Warehouse
Geographic Mix Summary - Warehouse Geographic Mix Three Months Ended September 30, 2004 Geographic Mix Three Months Ended September 30, 2005
Slide 35: Geographic Mix Summary - DSD
Geographic Mix Summary - DSD Geographic Mix Three Months Ended September 30, 2004 Geographic Mix Three Months Ended September 30, 2005
Slide 36: Distribution Strategy and Logistics
Distribution Strategy and Logistics Hansen’s Products Reach Customers Nationwide Whole Foods Wild Oats Trader Joes Health Food / Specialty Wal-Mart Target Savon Walgreen’s CVS Mass / Drug 7-11 Chevron BP / Arco / AM/PM Circle-K / Mac’s Speedway Exxon – Mobil Hess Sunoco Casey’s United Dairy Farmers
Slide 37: Growth Strategy
Growth Strategy Grow existing brands Develop and launch new products / brands including: Monster 23.5 oz and 8 oz. cans Monster 4 packs and 8 packs Monster Khaos …lost Five-O …lost Perfect 10 Rumba Energy Juice Joker Mad Energy Fizzit Others Expand distribution Increase quality and penetration of ex
Slide 38: Conclusion
Conclusion Hansen’s continues to excel in its markets. The Hansen’s brand is respected and trusted in the marketplace by an extremely loyal base of consumers. The premium healthier brand image enjoyed by Hansen’s Natural Sodas offers unlimited opportunity to capture substantial additional share of t
Hansen Natural — Investor Presentation (January 2006) on 6ix