Beyond Meat

Beyond Meat is a maker of fake meat burgers and sausages.

2023: Dismissal of 19% of employees after receiving losses

Beyond Meat reported a 19% job cut on Nov. 3, 2023. The plant-based meat producer is conducting layoffs amid losses.

The company plans to lay off 65 employees, Beyond Meat said. In addition, we are considering options for closing several production lines, changing prices, transferring production and restructuring the office in China. After these statements, Beyond Meat shares climbed 20%.

Beyond Meat reports 19% job cuts

We expected a slight return to growth in the third quarter, but this did not happen - commented on the news President and CEO Beyond Meat Ethan Brown.

Demand for U.S. plant-based meat plummeted in 2023. Sales of plant-based meats such as sausages and burgers were down 21.5 per cent. Sales of frozen "alternative" meat decreased by 6%.

Beyond Meat achieved more success than in the US in Europe, where their burgers and nuggets made the McDonalds menu. In the US, the fast food chain tested Beyond Meat products, but they were not added to the regular menu.

Brown also said that high inflation hit plant-based meat sales. In addition, plant meat constantly faces prejudices, for example, that it is harmful to health. This is partly caused by the advertising campaign of competitors in the form of companies selling traditional animal meat.

Third-quarter financials will be released on November 8, 2023. The company said it expects revenue of $75 million, down 8.5% from the same period a year ago. Full-year revenue is expected at $340 million, down 20% from a year earlier. In the second quarter of 2023, the company's revenue fell by 30.5%, and losses reached $53.5 million.

This is not the first wave of cuts in Beyond Meat. The company previously laid off 240 people in several rounds of restructuring, attributing it to high inflation and stiff competition in the market.^[1]

2022

Employees report problems with bacteria in the company's production. Shares fall 80% for the year

Information that pathogens were found in Beyond Meat products was contained in internal documents of the company, which were shared with the Bloomberg editorial board by a former Beyond Meat employee who was concerned about the working conditions there. Photographs taken by him in January-February 2022 show dirty containers, mold and examples of safety violations when working with equipment. Two other Beyond Meat employees, speaking on condition of anonymity, confirmed in November 2022 that there was indeed a bacteria problem at the facility. For the year, the vegetable meat producer's shares fell more than 80%.

McDonald's ditches Beyond Meat faux meat burgers

McDonald's has ditched Beyond Meat faux meat burgers. Beyond Meat declined 3.11% on July 28, 2022, and is down 51.7% year to date. Read more about the company's product sales at McDonald's here.

2019: Revenue take-off and first earnings

Beyond Meat increased revenue by 250% in the third quarter of 2019. Moreover, the American startup was able to earn a profit for the first time ($4.1 million).

The prospects for business development are clear: there are more and more people in the world who refuse animal products. Six months have passed since the IPO, the paper has grown 4 times relative to the initial offer, and on the day it went public, Beyond Meat shares "made" 163%. Startups say plant protein will be able to replace meat globally by 2035.