Hansen Natural 2Q Profit Up 14% On Sales, Margins

Hansen Natural Corp.'s (HANS) second-quarter profit grew 14% as the all-natural soda and juice maker reported higher sales led by its Monster Energy drink and improved margins.

Following the results, shares were up 7.6% to $33 in after-hours trading. The shares have lost about half their value from the all-time high in 2007.

The earnings results were in line with Wall Street expectations, although revenue came in a bit under expectations as consumers have tightened their budgets, leading some to replace their consumption of soda and energy drinks with tap water.

But Chairman and Chief Executive Rodney C. Sacks said Thursday the results come at a time when the North American beverage market, which is Hansen's primary market, is suffering in almost all categories.

Hansen Natural reported earnings of $57.3 million, or 60 cents a share, up from $50.2 million, or 51 cents a share, a year earlier. Net sales improved 6.4% to $300.2 million.

Analysts polled by Thomson Reuters expected per-share earnings of 60 cents on revenue of $309 million.

Gross margin jumped to 53.9% from 51.8%.

Case sales, in 192-ounce equivalents, rose 1.9%. Average net sales price per case grew 4.4%.

Hansen's products include soda, juice, energy and tea beverages under its namesake line. It has long been seen as a potential acquisition target, with Coca-Cola Enterprises Inc. (CCE) often named as a possible acquirer.

-By John Kell, Dow Jones Newswires; 212-416-2480; [e-mail]