May 8--Fewer people can afford to jump on the energy drink bandwagon these days, but tighter cash is not stopping Hansen Natural Corp. from picking up more of the market.

The Corona-based company Thursday reported strong earnings and sales for the first quarter, mostly because of solid sales of its Monster Energy drink. The growth in energy drinks has declined sharply because consumers have less disposable income, but Monster continues to take market share from its main rivals.

Hansen reported earnings of $41.6 million, or 44 cents per share, for the quarter, up from $28.8 million, or 29 cents per share, for the same three months in 2008. Analysts had predicted earnings of 37 cents per share.

Net sales increased 15 percent to $244 million, topping analysts' expectations by some $14 million.

The growth of energy drinks has slowed in the last six months, mostly because blue-collar consumers -- a major part of the market for these products -- are slower to spend, Rodney Sacks, Hansen's chairman and chief executive officer, told analysts Thursday during a conference call.

"Monster Energy drinks continue to grow in excess of the energy drink category," Sacks said.

Sacks said it was hard to guess where the market might be going. A large can of these beverages can cost $3 in convenience stores, which some consumers might hesitate to spend in a steep and prolonged recession.

"We're still going through some pretty uncharted times in the U.S. and the rest of the world," Sacks said. "But we do feel we can continue to produce good results."

This was the first full quarter Hansen's products have been distributed by Coca-Cola Enterprises Inc., and the arrangement is going well in the United States. There have been some disappointments with the distribution deal in Great Britain.

Beverage industry consultant Stanley Makadok, president of Century Management Consultants, said he expects the 20-year Coca-Cola deal to pay off for Hansen.

"That's the wish for every beverage producer, to be on a Coca-Cola truck," Makadok said.

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