In This Article:
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Net Revenues: $81 million, a 7.6% increase year over year.
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Net Revenue per Pound: Increased 15.8% overall; 22.6% in US retail and 10.5% in international retail.
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Gross Margin: 17.7%, compared to negative 9.6% in the previous year.
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Operating Expenses: $45.2 million, a $17.2 million reduction year over year.
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Net Loss: $26.6 million, compared to $70.5 million in the previous year.
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Adjusted EBITDA: Loss of $19.8 million, compared to a loss of $57.5 million in the previous year.
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Cash and Cash Equivalents: $134.9 million as of September 28, 2024.
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Total Outstanding Debt: $1.1 billion as of September 28, 2024.
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Inventory: Increased by $5.6 million to $125.2 million quarter over quarter.
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Full Year Revenue Outlook: Expected to be in the range of $320 million to $330 million.
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Capital Expenditures: $4.5 million for the nine months ended September 28, 2024.
Release Date: November 06, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Beyond Meat Inc (NASDAQ:BYND) reported a 7.6% increase in net revenues for the third quarter of 2024, marking the first year-over-year growth since Q1 2022.
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The company achieved a significant improvement in gross margin, reaching 17.7% compared to a negative 9.6% in the same quarter last year.
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Operating expenses were reduced to $45.2 million, the lowest level in four years, contributing to a narrower adjusted EBITDA loss.
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Beyond Meat Inc (NASDAQ:BYND) successfully launched Beyond IV, its fourth-generation product line, which has been well-received and recognized by leading health organizations.
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The company expanded its international presence, notably entering the German retail market and launching new products in McDonald's France.
Negative Points
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Despite revenue growth, Beyond Meat Inc (NASDAQ:BYND) experienced a 7.1% decrease in the volume of products sold.
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The international food service channel saw a 17.2% decline in net revenues, primarily due to decreased sales to a large QSR customer in the EU.
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The company continues to face challenges in consumer perception regarding the health benefits and ingredients of plant-based meats.
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Beyond Meat Inc (NASDAQ:BYND) has a substantial amount of outstanding debt, totaling $1.1 billion as of the end of the third quarter.
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The company is still working on restructuring its balance sheet and plans to raise additional liquidity, indicating ongoing financial pressures.
Q & A Highlights
Q: Can you provide insights on maintaining the current gross margin of 17.7% as we move into 2025? A: Ethan Brown, CEO, explained that the improvement in gross margin is due to network consolidation, reduced logistics costs, and better overhead absorption. He expects these improvements to hold and potentially improve further in 2025 as they continue to enhance plant efficiency.