Troubled plant-based meat company Beyond Meat posted a 30% revenue decline in the second quarter due to falling demand for its products, the company announced Monday.
Beyond Meat president and CEO Ethan Brown said in a statement that the company is reducing its revenue outlook to between $360 million and $380 million for 2023, a decrease of about 9% to 14% compared to 2022. But he added that he still believes the company will "play an important part of the global response to a climate crisis that appears to be rapidly intensifying, while also delivering health benefits."
The company cited "high inflation, rising interest rates, and ongoing concerns about the likelihood of a recession" for softer demand in the plant-based meat sector.
Once a Wall Street darling, a slew of problems and controversies plagued the company in 2022. Inflation pushed customers toward choosing cheaper basics and grocery stores and eating at home instead of dining out, and it's also facing growing competition.
Three members of its C-suite also left in 2022, including one executive who allegedly bit a man's nose.
This quarter's revenue was $102.1 million compared to $147 million this time a year ago.
US revenue plunged almost 40% while international revenue dropped 8.7%. Beyond Meat also announced a 24% decrease in volume of its products sold.
Shares for the Calfornia-based company fell almost 10% in after hours trading. Its shares have fallen more than 60% in the past year.
