• 💰Monster’s Big 2B
• 📈 SunOpta: Volume Gains Drive ‘Outstanding’ Q2 Results
• 🚪 RTD Player Drynxmyth Shuts Doors
• 🏎️ F1 Champ Hits Gas on Non-Alc Innovation

New regulations and rising demand for clean, quality packaging have made glass a key advantage in spirits-based RTDs. This free guide offers expert insights from the Glass Packaging Institute, Via Carota Craft Cocktails, and Sandstrom Partners to help you assess glass’s role in your beverage company’s future. Learn more

The global economy may be walking on its toes, but Hilton Schlosberg isn’t sweating it.

The Monster Beverage Corp. vice chairman and CEO sang the praises of the company’s efforts to reduce costs and drive sales for its category-leading energy drink portfolio in its Q2 earnings report this week, celebrating the first $2 billion quarter in the company’s history.

“We believe that household penetration continues to increase in the energy drink category,” Schlosberg said on yesterday’s earnings call. “Growth opportunities in household penetration, per capita consumption, along with consumers' need for energy, are positive factors for the category.”

Let’s run the numbers:

• Net sales were up 11.1% yoy to $2.11 billion in the second quarter.
• The core Monster Energy drink segment (including Reign and Bang) was up 11.2% to $1.94 billion.
• Strategic Brands (NOS, Full Throttle, Predator, Fury) grew 18.9% to $129.9 million.
• Alcohol was the only sore spot, down 8.6% to $38 million.

While the energy drink category had looked to be plateauing in recent months, the summer has given the set a serious recharge.

NielsenIQ reported this week that the category was up 14.2% in U.S. retail in the two-week period ending July 26 – making it among the fastest growing categories across packaged beverage. 

• While a couple giants like PepsiCo and 5-Hour stumbled, most of the major players posted double-digits right alongside Monster, including Red Bull (13.3%), Celsius (37.4%), Nutrabolt (11.7%) and Ghost (15.2%).

From what we gleaned from Schlosberg, Monster is mostly going to keep doing what it’s been doing: optimizing its supply chain to swat back tariff fears, innovating around flavor across its best-selling lines, and keeping its eyes on the white space for new consumer acquisition.

And perhaps a little pricing action, as a treat. The company is currently in discussions with its production partners about “selectively” raising prices in the fourth quarter.

Insiders can read the full story on BevNET.

Broad-based volume gains helped beverage and fruit snacks producer SunOpta deliver “outstanding” second quarter results, reflecting “the strength of [its] competitive position and sharp execution by [its] team,” according to CEO Brian Kocher.

• Net revenue jumped 12.9% year-over-year to $191.5 million, driven by volume growth and partially offset by price reduction for pass-through pricing and certain raw material costs. 
• The results signal the success of SunOpta’s private label and co-manufacturing model amid the current macroeconomic environment.

💬 “Our revenue growth engine delivered again. Fueled by the capacity we are creating each and every day in our production facilities, we continue delivering volume growth that is among the highest of all publicly traded companies in the food and beverage space,” said Kocher. 

Read the full earnings recap on BevNET

Drnxmyth, a pioneering startup in the ready-to-drink cocktail space, is now shutting down.

Launched in 2020, the California-based company made a splash for partnering with top bartenders during the pandemic and for its unique, two-chamber “twist to mix” bottled cocktails using proprietary packaging and high quality ingredients.

🪂  But “the parachute couldn’t be fixed fast enough on the way up and down,” wrote co-founder Lawrence Cisneros on LinkedIn. 

⛓️ The closure comes after a number of challenges, including struggles to lower margins, a tough pivot from its original e-commerce focus, and difficulties in securing a viable wholesale path.

Insiders can read more about what went wrong.

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Nearly two years after the launch of their non-alc tequila alternative, Casa Lumbre and Formula One champion Lewis Hamilton are hitting the gas on a new product, with Casa Lumbre master distiller Ivan Saldaña and Hamilton announcing today the debut of their third collaboration: Almave Humo, a non-alc mezcal alternative.

0️⃣ The Pernod Ricard-backed zero-proof agave spirit line makes an entrance as the adult non-alc (ANA) category reaches a market value nearing a billion dollars in off-premise channels, according to NIQ. 

📈 While still a small segment, non-alc spirits are experiencing a high growth rate (+67%) since last year, and there are a few racing for first place as a smoky spirit alternative. 

Get the whole story here

Like the beach in August, this week’s new product gallery is PACKED. Luckily, there’s something for everyone — from protein and nootropics to caffeine to probiotics to THC. And SpongeBob, of course. 

All users can browse this week’s gallery, including new releases from Olipop, Not Beer, Vital Proteins, Bloom, Starbucks, AG1 and more. 

This week’s BevNET reviews will get you buzzing – whether that’s from caffeine, THC or nostalgic vibes is up to you. 

We wrote last month about how New York-based Pablo’s Mate is looking to ride pre-World Cup soccer fever to scale – but how does its flagship SKU taste? We have thoughts. Plus, we travel to Grandma’s House with soda maker Afro Pop for some butterscotch – and bring along some new THC seltzers from RYTHM, naturally. Grandma loves those. 

🆓 Check out this week’s review roundup on BevNET.