Beyond Meat Inc (NASDAQ: NASDAQ:BYND) reported a second-quarter revenue decrease of 16% year-over-year to $147 million, missing the consensus of $151.8 million.
The decrease in net revenues was driven by a decline in net revenue per pound of ~14.2%, partially offset by a 14.6% increase in total pounds sold.
EPS was a loss of $(1.53), missing the consensus of $(1.18).
The company reported a gross loss of $(6.2) million, or a gross margin of -4.2% of net revenues. The gross profit was negatively impacted by ~$14.5 million, associated with sales to the liquidation channel and increased inventory reserves, and $7.7 million related to Beyond Meat Jerky.
Beyond Meat President and CEO Ethan Brown commented, “We recognize progress is taking longer than we expected, notwithstanding the increasing urgency and importance of our opportunity. Our transition to mass market consumption will occur as we actualize our vision: providing consumers with plant-based meats that are indistinguishable from, understood as healthier than, and at price parity with their animal protein equivalents.”
Loss from operations was $(89.7) million compared to $(18.6) million in the year-ago period. Adjusted EBITDA was a loss of $(68.8) million, compared to a loss of $(2.2) million in 2Q21.
BYND’s cash and cash equivalents balance was $454.7 million, and total outstanding debt was $1.1 billion as of July 2, 2022.
Its net cash used in operating activities year-to-date was $(235.7) million, compared to $(120.4) million for the year-ago period.
Beyond Meat announced a reduction in workforce, affecting ~4% of its global workforce. It is expected to result in total annualized savings of ~$8 million. The company stated that its operating environment continues to be affected by near-term uncertainty related to macroeconomic issues.
FY22 Outlook: BYND expects net revenues of $470 million to $520 million (prior expectation of $560 million to $620 million) vs. a consensus of $559.93 million.
Price Action: BYND shares are trading lower by 2.52% at $30.60 during the post-market session on Thursday.
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