Beyond Meat's Dismal Performance: A Closer Look at Declining Revenues and Margins
Revenue declines
Beyond Meat has been seeing continued revenue declines over the past several quarters. In the first quarter of 2024, net revenue decreased 18% year-over-year to $75.6 million. The fall in net revenue per pound was driven by higher trade discounts as well as pricing changes.
Losses and low margins
Beyond Meat continues to post losses and its margins are not gaining much traction. In Q1, the company delivered a net loss of $54.4 million, or $0.84 per share. Adjusted loss per share also narrowed to $0.72 from $0.92 last year.
Segment revenue declines
Beyond Meat saw revenues decline across all its segments and channels in Q1 2024. US revenues were down 16% while international revenues were down over 21% YoY.
Decrease in distribution points
Beyond Meat has been seeing a drop in its distribution points over the past couple of quarters. In Q1 2024, total distribution points dropped to 130,000 from 146,000 in the same period a year ago.
Outlook
Beyond Meat continues to face challenges from low demand and inflationary pressures. For the second quarter of 2024, revenues are expected to range between $85-90 million.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.