🥇 First rule of investing? Know when to save! Up to 55% off InvestingPro before BLACK FRIDAYCLAIM SALE

Beyond Meat Slumps as Consumers Go Slow on Plant-Based Meat

Published 11/11/2021, 14:24
©  Reuters
BYND
-

By Dhirendra Tripathi

Investing.com – Beyond Meat stock (NASDAQ:BYND) tumbled more than 18% in premarket trading Thursday as the maker of plant-based meat signaled more pain ahead after a weak third quarter.

Beyond Meat is now forecasting current-quarter revenue at $110 million at the top end, well below Reuters estimates of around $132 million. On the lower side, it sees $85 million in revenue. Fourth-quarter revenue last year was $102 million.

The third quarter threw more than a little surprise at the fake meat maker as fewer people stocked plant-based burgers and sausages at home after they resumed eating out.

Sales of its products at restaurants also suffered as labor shortage forced owners to cut their hours and trim menus. Severe weather, leading to operational challenges, also played the spoilsport, according to the company.

Partnerships, like one with McDonald’s (NYSE:MCD), were slow to take off.

The retail segment in the U.S., the company’s biggest source of revenue, suffered the most. U.S. net revenue fell about 14%.

Total net revenue rose nearly 13% to over $106 million. The net loss was $54.8 million, or 87 cents a share. As a percentage of net revenue, it was over 51%, almost quadrupling from second quarter’s 13%.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.