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codie

05/13/15 6:43 PM

#75604 RE: TheExpertHimself #75603

What are you talking about? Year over year quarter 1 is down 20%.

Demand is decreasing.

CWS1987

05/14/15 11:35 AM

#75624 RE: TheExpertHimself #75603

The backlog was a product of poor inventory planning and, if you believe management, a massive shift of buying schedules from international buyers due to currency headwinds, not inherent demand.

The comparisons to Monster, Red Bull, and particularly 5 Hour Energy are off-base. Those companies were effective first-movers in a category that exploded. Sports nutrition's trajectory is nothing compared to energy drinks in the early to mid-2000's or energy shots in the late 2000's. I think with better planning MSLP could consistently grow top-line sales at a 10-15% CAGR for the next few years, but turning the energy drink into a real revenue driver will be difficult, given the category's consolidation.