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Beyond Meat® Reports Fourth Quarter and Full Year 2024 Financial Results
BYNDBeyond Meat(BYND) GlobeNewswire·2025-02-26 21:05

Core Insights - Beyond Meat achieved its second consecutive quarter of year-over-year net revenue growth, with a 4.0% increase in net revenues to 76.7millioninQ42024comparedtothesameperiodlastyear[6][14]−Thecompanyreportedsignificantgrossmarginexpansion,withagrossprofitof76.7 million in Q4 2024 compared to the same period last year [6][14] - The company reported significant gross margin expansion, with a gross profit of 10.0 million and a gross margin of 13.1%, a notable improvement from a loss of 83.9millionandagrossmarginof−113.883.9 million and a gross margin of -113.8% in the prior year [6][25] - Operating expenses were reduced to 47.8 million in Q4 2024 from 76.9millionintheyear−agoperiod,contributingtoadecreaseinlossfromoperationsto76.9 million in the year-ago period, contributing to a decrease in loss from operations to 37.8 million from 160.8million[22][23]−Thecompanyplanstoimplementrestructuringinitiatives,includingareduction−in−forceandsuspensionofoperationsinChina,aimingforEBITDA−positiverun−ratebytheendof2026[2][10]FinancialPerformance−Q42024netrevenueswere160.8 million [22][23] - The company plans to implement restructuring initiatives, including a reduction-in-force and suspension of operations in China, aiming for EBITDA-positive run-rate by the end of 2026 [2][10] Financial Performance - Q4 2024 net revenues were 76.7 million, up 4.0% year-over-year, driven by a 6.3% increase in net revenue per pound, despite a 2.1% decrease in volume sold [6][14] - For the full year 2024, net revenues totaled 326.5million,adecreaseof4.9326.5 million, a decrease of 4.9% compared to 2023, with gross profit of 41.7 million and a gross margin of 12.8% [6][20] - Adjusted EBITDA loss improved to 26.0million,or−33.926.0 million, or -33.9% of net revenues, compared to a loss of 125.1 million, or -169.9% of net revenues in the prior year [6][26] 2025 Outlook - The company expects net revenues for 2025 to be in the range of 320millionto320 million to 335 million, with a gross margin target of approximately 20% [13] - Operating expenses are projected to be between 160millionand160 million and 180 million, with capital expenditures estimated at 15millionto15 million to 20 million [13] - Beyond Meat aims to strengthen its balance sheet and improve liquidity as part of its long-term growth strategy in the plant-based meat industry [5][13] Restructuring Initiatives - The company plans to reduce its workforce in North America and the EU by approximately 44 employees, representing about 17% of its global non-production workforce [7] - In connection with the restructuring, one-time cash charges are estimated to be between 1.0millionand1.0 million and 1.5 million, primarily for severance and related costs [8] - The suspension of operations in China will involve a workforce reduction of approximately 20 employees, or 95% of its China workforce, with estimated one-time cash charges of 0.5millionto0.5 million to 1.0 million [10][11] Market Dynamics - The increase in net revenue per pound was attributed to lower trade discounts and price increases, while the decrease in volume sold was linked to weak category demand and price elasticity effects in the U.S. retail channel [14][15] - The U.S. retail channel saw a 5.7% increase in net revenues, while the foodservice channel experienced a 2.1% decline in Q4 2024 [15][16] - International retail channel revenues decreased by 1.7%, while international foodservice revenues increased by 9.2% in the same period [17][18]