NASDAQ$BYND

Beyond Meat Inc. · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Beyond Meat experienced a challenging quarter with a sharp revenue decline and gross margin pressure due to macroeconomic factors, while implementing measures to achieve cash flow positive operations.

Beyond Meat reported a 22.5% decrease in net revenues to $82.5 million for the third quarter of 2022, with a gross loss of $14.8 million. The company's net loss was $101.7 million, and adjusted EBITDA was a loss of $73.8 million. The company is implementing measures to achieve cash flow positive operations within the second half of 2023.

  • Net revenues decreased by 22.5% year-over-year to $82.5 million.
  • Gross profit was a loss of $14.8 million, with a gross margin of -18.0%.
  • Net loss was $101.7 million, or $1.60 per common share.
  • Adjusted EBITDA was a loss of $73.8 million, or -89.5% of net revenues.

Headline financials

Total Revenue

$82.5M

Previous: $106M-22.5%
EPS (adj)

-$1.60

Previous: -$0.87-83.9%
Capital Expenditures

-$60M

Previous: -$104M+42.5%
Free Cash Flow

-$162M

Previous: -$159M-1.6%
Net Income

-$102M

Previous: -$54.8M-85.5%
Operating Income

-$89.7M

Previous: -$54M-66.2%
Gross Profit

-$14.8M

Previous: $23M-164.6%
Cash & Equivalents

$390M

Previous: $886M-56.0%
Total Assets

$1.14B

Previous: $1.43B-20.3%
Stock-Based Comp

$9.25M

Previous: $6.39M+44.9%

Revenue & EPS history

Beyond Meat · Revenue · Quarterly

$82.5M

Q3 2022-22.5%vs Q3 2021
Beat estimate in 8 of 14 quarters(57%)
ActualEstimate

Revenue by segment

Beyond Meat · $82.5M total across 4 segments · Q3 2022

  • U.S. Retail
    $46.2M-11.8%
  • U.S. Foodservice
    $16M+5.6%
  • International Retail
    $10.2M-52.3%
  • International Foodservice
    $10.1M-42.2%

Forward guidance

The Company expects 2022 net revenues to be in the range of approximately $400 million to $425 million, representing a decrease of approximately 14% to 9% compared to 2021. They are targeting cash flow positive operations within the second half of 2023.

Tailwinds

  • Targeting cash flow positive operations within the second half of 2023.
  • Reduction-in-force expected to result in approximately $27 million in cash operating expense savings over the next twelve months.
  • Additional approximately $12 million in non-cash savings related to previously granted, unvested stock-based compensation.
  • Expected to recognize approximately $3 million of one-time non-cash savings related to the reversal of previously expensed, unvested stock-based compensation in the third and fourth quarters of 2022.
  • Focus on key drivers of the business.

Headwinds

  • 2022 net revenues are expected to be in the range of approximately $400 million to $425 million, representing a decrease of approximately 14% to 9% compared to 2021.
  • Incur one-time cash charges of approximately $4 million in connection with the reduction-in-force.
  • Operating environment continues to be affected by near-term uncertainty related to macroeconomic issues, including inflation and rising interest rates.
  • Increasing concerns about the likelihood of a recession.
  • Challenges related to labor availability and supply chain disruptions.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

-2.0%

Avg return

Earnings day

-0.6%

Avg return

5 days after

-2.0%

Avg return

30 days after

38%

12 / 32 earnings

Positive

+35.1%

Q1 2019

Best reaction

-20.3%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-14.2%-23.7%-32.0%
Q4 2025+3.2%+25.2%+38.8%
Q3 2025-9.8%-19.4%-11.9%
Q1 2025-8.7%-1.2%+30.7%
Q4 2024-10.7%-9.3%-11.8%
Q3 2024-8.5%-17.4%-28.7%
Q2 2024+23.2%+11.3%+11.7%
Q1 2024-15.1%-3.9%-8.3%
Q4 2023+31.9%+31.1%+11.1%
Q3 2023-2.6%-8.3%+30.4%
Q2 2023-16.8%-17.5%-27.3%
Q1 2023-16.7%-12.7%-1.5%
Q4 2022+10.4%+4.3%-4.9%
Q3 2022+9.1%+19.4%+14.2%
Q2 2022+12.4%+8.8%-31.2%
Q1 2022-17.4%-10.3%-24.7%
Q4 2021-6.1%+0.0%+2.6%
Q3 2021-16.4%-14.5%-34.2%
Q2 2021+0.9%+3.1%-6.4%
Q1 2021-8.9%-9.8%+19.7%
Q4 2020-4.3%-8.1%-14.7%
Q3 2020-20.3%-20.5%-12.7%
Q2 2020-1.2%-2.1%-3.4%
Q1 2020+32.6%+40.3%+43.4%
Q4 2019-20.3%-15.2%-41.2%
Q3 2018+2.9%+5.2%-2.0%
Q3 2019-18.7%-18.7%-19.0%
Q2 2018-17.1%-24.6%-31.8%
Q2 2019-17.1%-24.6%-31.8%
Q1 2018+12.2%+34.8%+32.3%
Q4 2018+12.2%+34.8%+32.3%
Q1 2019+35.1%+22.8%+48.8%
Q4 2017
Q3 2017

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